The Budget 2023-24 was novel as it laid out green growth as one of its crucial development priorities. Green growth is indispensable for a developing country like India, and it cannot be powered without green startups. In this article, the Compliance Calendar traces some important government schemes that every eco-minded entrepreneur should consider.
Sustainable and Accelerated Adoption of Efficient Textile Technologies (SAATHI)
SAATHI is a joint scheme by the Ministry of Textiles and the Ministry of Power that promotes sustainable technologies in the textile sector. It offers financial assistance to startups and businesses for setting up facilities that promote resource efficiency, waste reduction, and clean production in the textile industry. Small-scale units are incentivised to accelerate the adoption of energy efficient textile technologies in the power loom sector and cost savings due to use of such technology.
Funding for innovation and technology leading to environmental protection National Innovation Foundation (NIF)
The NIF is a government initiative that supports grassroots innovations and provides financial support to startups working on eco-friendly technologies, renewable energy, and sustainable agriculture. It aims to create a knowledge-based society through its Grassroots Technological Innovation Acquisition Fund. NIF also offers funding, mentorship, and patent support to selected startups.
BIRAC (Biotechnology Industry Research Assistance Council)
BIRAC, a government entity under the Department of Biotechnology, supports startups and entrepreneurs working on biotechnology-based solutions for environmental conservation, waste management, and sustainable agriculture. BIRAC offers funding, mentorship, and access to resources through its various programs such as the Biotechnology Ignition Grant Scheme (which offers INR 50 lacs of funding to each successful initiative).
India and Green Energy
Central Financial Assistance for wind, solar and hydro projects
The Government of India supports startups working on clean energy solutions, by funding operationalisation of wind, solar and small hydro projects. It offers funding, mentorship, and access to networks for startups focused on renewable energy, energy efficiency, and sustainable green networks.
Paddy Pellets Scheme
The Ministry of Environment and Climate Change launched this scheme to incentivise entrepreneurs to manufacture pellets from paddy stubble. It aims to solve the problem of stubble burning by monetising the stubble by converting it into pellet. These pellets can be used along with coal in the thermal power plants as fuel. It will help convert waste to wealth and provide entrepreneurship opportunities to our rural youth in Punjab and Haryana.
National Hydrogen Mission
With a total financial outlay of almost INR 20,000 crores, the National Hydrogen Mission aims to expand use of hydrogen as an environmentally efficient alternative to fossil fuels. The Technology Development Board of the Ministry of Science and Technology, gives funding to individual startups indigenising hydrogen manufacturing, and hydrogen-based applications in India.
Waste to Wealth Mission
The Waste to Wealth Mission is a government initiative that aims to promote startups working on waste management and waste-to-energy solutions. It offers financial support, technical assistance, and mentorship to startups focused on converting waste into valuable resources and products. For Waste to Energy projects, a maximum grant of INR 2 crores per project can be availed from the Ministry of New and Renewable Energy.
Community Innovator Fellowship (CIF)
The Community Innovator Fellowship Program is an initiative of Atal Innovation Mission, NITI Aayog in collaboration with UNDP India, is a one-year-long intensive fellowship program. The Community Innovator Fellow is an individual with an entrepreneurial mindset, with an idea to solve a community challenge through his/her enterprise.
Why should you consider starting an eco-friendly business?
‘Entrepreneurship will be a key cornerstone of a sustainable economy’ - Mohammed Ali Hammadi.
Companies investing early in an environment friendly business or manufacturing style or sustainable processes and products are more likely to reap positive opportunities in the future. As ordinary citizens become more eco-conscious, a pro-environment approach not only brings greater interest in the company, but also delivers the promise of ‘business as trusteeship’, enunciated long ago by Mahatma Gandhi.
It's important to thoroughly research and understand the specific eligibility criteria, application process, and benefits offered by each scheme before applying. Additionally, startups may also explore funding opportunities from private investors, angel investors, and venture capital firms that are interested in supporting environmentally focused startups.