ADEETIE Scheme Targets ₹1,000 Crore to Boost Energy-Efficient MSMEs

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The Assistance in Deploying Energy Efficient Technologies in Industries & Establishments (ADEETIE) scheme launched on July 15, 2025, by the Ministry of Power and the Bureau of Energy Efficiency (BEE). This ₹1,000 crore initiative supports MSMEs in industrial areas around India by promoting energy-efficient technologies.  

Financial & Technical Assistance for MSMEs

ADEETIE provides extensive support across various components:

  • Interest subvention: Micro and Small Enterprises will receive 5%, while Medium Enterprises will receive 3%.
  • Investment-Grade Energy Audits (IGEA) and Detailed Project Reports (DPRs) to aid project planning and financing.
  • Post‑implementation monitoring and verification (M&V) to ensure energy savings are realised.

A total of ₹875 crore is allocated for interest subvention, with ₹50 crore dedicated to energy audits and ₹75 crore for implementation and capacity-building.

Strategic Roll-Out Across Clusters & Sectors

ADEETIE’s initial phase includes 60 industrial clusters across 14 high-energy-demand sectors, such as textiles, pharmaceuticals, glass, foundry, food processing, and paper.

States like Andhra Pradesh, Telangana, Kerala, Karnataka, and Tamil Nadu are taking lead in the implementation. Districts such as West and East Godavari in Andhra have already been selected for sectors like glass and refractory industries.

Key Impacts & Investment Mobilisation

Expected outcomes under ADEETIE include:

  • Energy savings of 30–50%, improving power-to-product ratios and lowering operational costs for MSMEs.
  • The scheme is projected to mobilise 9,000 crore in total investments, including ₹6,750 crore in MSME lending from financial institutions. 

Aligned with India’s climate agenda, reducing emissions intensity by 45% by 2030 and achieving net‑zero by 2070, ADEETIE provides a pathway for sustainable industrialisation and green growth. 

Why ADEETIE Matters Now

ADEETIE represents more than just financial aid. It embodies a push toward bottom-up sustainability, empowering MSMEs to modernise operations, cut energy costs, and stay competitive in export- and climate-conscious markets. By blending financial resilience with carbon-conscious operations, the scheme is set to reshape how small industries operate—and how they contribute to India’s bigger environmental and economic goals.

Businesses ready to upgrade to cleaner technology would do well to explore ADEETIE’s portal, consult with their state-designated agencies, and prepare to take advantage before clusters expand further in phase two.

Also Read: How Abhijeet Anand Built abCoffee into India’s Fastest-Growing Coffee Brand

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