What you get
Project Interventions/Financial Assistance: | - One cluster of Solar Charkha would involve a maximum subsidy of ₹9.599 cr. | The scheme would cover three types of Interventions, namely- | A. Capital subsidy for individual and for Special Purpose Vehicle (SPV): | - 2000 Solar Charkhas at the maximum price of ₹45,000/- per charkha and a subsidy of ₹15,750/- per charkha works out to a cumulative subsidy of ₹3.15 crores for 1000 spinners. | - One unit of two Solar Charkhas would produce 2.0 kg of yarn on average per day, resulting in a production of 2.0 tons per 2000 charkhas. Thus, 500 Solar Looms would be required to convert the yarn into the fabric at the maximum price of ₹1,10,000/- per loom and subsidy @35% at ₹38,500/- per loom and the cumulative subsidy works out to ₹1.93 crores for 500 weavers. | - Capital cost of construction of work shed with a minimum space of 20,000 sq. feet with 100% subsidy at the maximum rate of up to ₹1.20 crore per cluster for the SPV. | - Capital cost of Solar Grid of 50 KW capacity with 100% subsidy at the maximum rate upto ₹0.40 crore per cluster for the SPV. | - One-time Capital Cost Subsidy for the SPV @35% works out to a maximum of ₹0.75 crore per Cluster for the purchase of twisting machines, dying machines, and stitching machines (500 in number) for making the unit self-sustainable and for value addition. | B. Interest subvention for Working Capital: | - It is proposed to have a ceiling of 8% of interest subvention on working capital irrespective of the interest rates being charged by the Banks/Financial Institutions for a period of six months. | - Recurring Working Capital cost for a period of six months at the rate of interest subvention of 8% works out to ₹1.584 crores for one cluster including the cost of roving, and wages of spinners and weavers. | C. Capacity building: | - The scheme envisages courses for the spinners/weavers and others involved in the garmenting unit at a total cost of ₹ 0.595 crore per cluster for a period of two years.
Who can apply
Required Paperwork
- Aadhaar Card
- PAN Card
- Income Certificate
- Residence Proof (Domicile)
Common Questions
What is the “Mission Solar Charkha”?
The 'Mission Solar Charkha' envisages setting up of Solar Charkha Clusters which would mean a focal village and other surrounding villages in a radius of 8 to 10 Kilometres. Further, such a cluster will have 200 to 2042 beneficiaries (spinners, weavers, stitches, and other skilled artisans). Each spinner will be given two charkhas of 10 spindles each. On average, it is considered that such a cluster will have about 1000 charkhas.
Which ministry has launched ‘Mission Solar Charkha (MSC)’?
Ministry of Micro, Small & Medium Enterprises (MSME), Government of India
What are the objectives of the scheme?
The objectives of the Scheme are as Follows :- | To ensure inclusive growth by the generation of employment, especially for women and youth, and sustainable development through solar charkha clusters in rural areas. | To boost the rural economy and help in arresting migration from rural to urban areas. | - To leverage low-cost, innovative technologies and processes for sustenance.
What is the maximum subsidy involved One cluster of Solar Charkha?
One cluster of Solar Charkha would involve a maximum subsidy of [?]9.599 cr.
Who can apply under the scheme?
Individual, Existing Khadi & Village Industry Institution and other Institutions such as SPV, Society, Trust, Section 8 Company or LLP under the Companies Act, 2013 registered under respective statutes could also apply for setting up a new Solar Charkha Cluster.
What are the eligibility criteria required for existing Khadi and Village Industry Institution (KVI) to apply for setting up a Cluster?
Existing Khadi and Village Industry Institution (KVI) could apply for setting up such a Cluster. However, the following parameters must be fulfilled: | KVI having a positive balance sheet and assets in favour of the institution. | KVI having an artisan base of not less than 200. | KVI having a sales turnover of not less than [?]1.00 Crore in each of the preceding three financial years. | Should have been an increase in a number of new artisans in the last three years.
What are the eligibility criteria required for other Institutions to apply for setting up a new Solar Charkha Cluster?
Other Institutions such as SPV, Society, Trust, Section 8 Company or LLP under Companies Act, 2013 registered under respective statutes could also apply for setting up a new Solar Charkha Cluster, with the Following criteria: | Vision and Mission | Board and Governing Structure with sufficient experience. | Proper Management Information System (MIS).Financial resources-equity and debt. | Financial Performance for last three years-profitability and IRR.
What role does the Scheme play in sustainable development?
The Scheme promotes sustainable development by introducing solar charkha clusters, ensuring environmentally friendly practices and creating long-term economic opportunities in rural regions.
Can institutions from any location apply to set up a Solar Charkha Cluster?
The eligibility criteria apply to institutions nationwide, but the governing council may specify additional criteria.
What is the significance of the baseline survey mentioned in the criteria?
The baseline survey helps the promoter identify a minimum of 200 members, with at least 50% being women, and gather essential details for project planning.
What happens if the promoter does not fulfill the deposit requirement for the working capital?
Non-fulfillment of the deposit requirement may impact the release of funds. Promoters are encouraged to adhere to this criterion to ensure a smooth process.
How can an applicant apply under the scheme?
Applicants can apply online through the Official Website https://kviconline.gov.in/msc/view1.jsp of the Khadi & Village Industries Commission.