Home India Ministry of Heavy Industries Amendment in the Notification Dated 23.09.2021 for the Produ...
Date: 2023-12-29 Category: Not Applicable State: Union Government Country: India

Amendment in the Notification Dated 23.09.2021 for the Production Linked Incentive (Pli) Scheme for Automobile and Auto Component Industry(Size: 818.06 KB )

Issued by Ministry of Heavy Industries · Not Applicable

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Executive Summary & Key Takeaways

Executive Summary: This notification, dated December 29, 2023, amends the Production Linked Incentive (PLI) Scheme for the Automobile and Auto Component industry (PLI-AUTO). The amendments concern the applicability and disbursement of incentives, eligibility criteria based on sales value, and incentive outlay. These changes are effective from the date of publication in the Official Gazette. Key Points / Main Content: Incentive Applicability and Duration: * Incentives are applicable from Financial Year 2023-24, disbursed in the following Financial Year (2024-25), for five consecutive Financial Years. * Approved applicants can receive benefits for five consecutive Financial Years, but not beyond the Financial Year ending March 31, 2028. Sales Value Thresholds: * If an approved company fails to meet the Determined Sales Value increase threshold (₹125 crore or ₹25 crore, depending on the category) in a given year, no incentive will be provided for that year. * The company remains eligible for incentives in subsequent years if the threshold is met, calculated with a 10% year-over-year (YoY) growth over the initial threshold, for the remaining incentive period, starting from FY 2023-24. Incentive Outlay: * The following table outlines the revised incentive disbursement schedule: | Applicable Incentive Financial Year | Disbursement of Incentive Financial Year | Total Indicative Incentive (Crore) | | :----------------------------------- | :--------------------------------------- | :---------------------------------- | | 2023-24 | 2024-25 | 604 | | 2024-25 | 2025-26 | 3,150 | | 2025-26 | 2026-27 | 5,925 | | 2026-27 | 2027-28 | 7,199 | | 2027-28 | 2028-29 | 9,060 | | **Total** | | **25,938** | Impact Analysis: Approved Companies (Automotive and New Non-Automotive Investors): * Impact: The amendments affect the timeline and eligibility for receiving incentives under the PLI scheme, based on sales performance. * Action Required: Companies must review their sales projections and strategies to ensure they meet the revised threshold requirements for each financial year to maximize incentive eligibility. Ministry of Heavy Industries: * Impact: Responsible for implementing and overseeing the amended PLI scheme. * Action Required: Ensure the updated guidelines are communicated effectively to all stakeholders and that the disbursement process aligns with the revised schedule.

Key Entities Referenced

Ministry of Heavy Industries: The ministry responsible for the Production Linked Incentive (PLI) Scheme for Automobile and Auto Component industry. Production Linked Incentive PLI Scheme for Automobile and Auto Component industry (PLIAUTO): A government scheme to promote domestic manufacturing in the automobile and auto component sector. New Delhi: The location of the notification and the office of the Ministry of Heavy Industries. Financial Year 202324: The financial year from which the incentive under the PLI scheme will be applicable. Financial Year 202425: The financial year in which the incentive for FY 2023-24 will be disbursed. 31032028: The last date for which approved applicant shall be eligible for benefits for 5 consecutive Financial Years. HANIF QURESHI: Joint Secretary of Government of India. Mayapuri, New Delhi 110064: Location of Dte. of Printing at Government of India Press.
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रजिस्ट्री स.ं डी.एल.- 33004/99 REGD. No. D. L.-33004/99 सी.जी.-डी.एल.-अ.-29122023-250975 CG-DxLx-xEG-I2D9H1x2x2x0 23-250975 xxxGIDExxx असाधारण EXTRAORDINARY भाग II—खण् ड 3—उप-खण्ड (ii) PART II—Section 3—Sub-section (ii) प्राजधकार स ेप्रकाजित PUBLISHED BY AUTHORITY सं. 5253] नई दिल्ली, िुक्रिार, दिसम्ब र 29, 2023/पौष 8, 1945 No. 5253] NEW DELHI, FRIDAY, DECEMBER 29, 2023/PAUSHA 8, 1945 भारी उद्योग मत्रं ालय अजधसचू ना (सिं ोधन) नई दिल्ली, 29 दिसम् बर, 2023 का.आ. 5486(अ).—भारी उद्योग मंत्रालय द्वारा दिनांक 23 जसतंबर, 2021 के का.आ. 3946(अ) के माध्यम स े अजधसूजचत ऑटोमोजबल और ऑटो संघटक उद्योग जिषयक उत्पािन-संबद्ध प्रोत्साहन (पीएलआई) स्ट्कीम के आंजिक आिोधन में, जनम्नजलजखत संिोधन सरकारी रािपत्र म ेंइसके प्रकािन की तारीख से प्रभािी दकए िा रह ेहैं:- उप-पैराग्राफ '3.3.1.1.i' और '6.4.IV' का संिोधन जनम्नानुसार पढा िाएगा: स्ट्कीम के तहत आर्थिक प्रोत्साहन अनुप्रयोज्य होगा िो जित्त िषि 2023-24 से प्रारंभ होकर अगल ेजित्त िषि अथाित 2024-25 से कुल पांच (05) अनिरत जित्त िषों तक संजितररत दकया िाएगा। उप-पैराग्राफ '3.3.1.1.ii' का सिं ोधन जनम्नानुसार पढा िाएगा: अनुमोदित आिेिक लगातार 5 जित्त िषों के जलए लाभ प्राप्त करने का पात्र होगा, दकन्त ु31/03/2028 को समाप्त होने िाले जित्त िषि स ेआग ेके जलए नहीं। उप-पैराग्राफ '3.3.2.3.V' का संिोधन जनम्नानुसार पढा िाएगा: यदि अनुमोदित कंपनी, दकसी दिए गए िषि के जलए, प्रथम िषि की अिसीमा अथाित ₹125 करोड़ रुपये की तलु ना में जिजनजित जबक्री मूल्य म ेंिृजद्ध की अिसीमा को प्राप्त करन ेमें जिफल रहती है, तो उसे उस िषि के जलए कोई 8001 GI/2023 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 3(ii)] आर्थिक प्रोत्साहन नहीं जमलेगा। दकन्तु, िह अगले िषि में स्ट्कीम के अंतगति लाभ प्राप्त करने के जलए तब भी पात्र होगी, बित ेिह उस िष िजििेष के जलए और तिपुरांत लगातार 4 िषों तक --िब स्ट्कीम के अतंगति आर्थकि प्रोत्साहन अनुप्रयोज्य (जित्त िष ि2023-24) होगा--अिसीमा को प्राप्त कर ल ेजिसकी गणना प्रथम िष िके जलए जनधािररत अिसीमा की तलु ना में िषि-िर-िष ि10% िृजद्ध के आधार पर की िाएगी। इस प्रािधान स ेसभी अनुमोदित कंपजनयों अथाित मौिूिा ऑटोमोरटि और नई गरै-ऑटोमोरटि जनिेिक कंपजनयों को समान अिसर उपलब्ध होगा और साथ ही उन अनुमोदित आिेिकों को सुरक्षा किच उपलब्ध होगा जिन्होंने स्ट्कीम के बाि के िषों में बािार मांग की प्रजतकूल पररजस्ट्थजतयों के बाििूि अपने जनिेि को फ्रंट लोड करना पसंि दकया। उप-पैराग्राफ '3.3.3.3.V' का संिोधन जनम्नानुसार पढा िाएगा: यदि अनुमोदित कंपनी, दकसी दिए गए िष िके जलए, प्रथम िष िकी अिसीमा अथाित ₹25 करोड़ रुपये की तलु ना में जिजनजित जबक्री मूल्य में िृजद्ध की अिसीमा को प्राप्त करने में जिफल रहती ह,ै तो उसे उस िषि के जलए कोई आर्थिक प्रोत्साहन नहीं जमलेगा। दकन्तु, िह अगल ेिष िम ेंस्ट्कीम के अतंगति लाभ प्राप्त करन ेके जलए तब भी पात्र होगी, बिते िह उस िषि जििषे के जलए और तिपुरांत लगातार 4 िषों तक --िब स्ट्कीम के अंतगित आर्थिक प्रोत्साहन अनुप्रयोज्य (जित्त िष ि2023-24) होगा--अिसीमा को प्राप्त कर ले जिसकी गणना प्रथम िषि के जलए जनधािररत अिसीमा की तुलना में िषि-िर-िषि 10% िृजद्ध के आधार पर की िाएगी। इस प्रािधान से सभी अनुमोदित कंपजनयों अथाित मौिूिा ऑटोमोरटि और नई गैर-ऑटोमोरटि जनिेिक कंपजनयों को समान अिसर उपलब्ध होगा और साथ ही उन अनुमोदित आिेिकों को सुरक्षा किच उपलब्ध होगा जिन्होंने स्ट्कीम के बाि के िषों में बािार मांग की प्रजतकूल पररजस्ट्थजतयों के बाििूि अपने जनिेि को फ्रंट लोड करना पसंि दकया। ताजलका 3 का संिोधनः उप-परै ा '4.1' के ‘प्रोत्साहन पररव्यय' को जनम्नानुसार पढा िाएगा: लाग ूआर्थकि प्रोत्साहन आर्थकि प्रोत्साहन का सजंितरण कुल सांकेजतक आर्थिक प्रोत्साहन (जित्त िष)ि (जित्त िष)ि (करोड़ ₹ म)ें 2023-24 2024-25 604 2024-25 2025-26 3,150 2025-26 2026-27 5,925 2026-27 2027-28 7,199 2027-28 2028-29 9,060 कुल 25,938 [फा. स.ं 12(11)/2020-AEI (21370)] हनीफ़ कुरैिी, संयुक्त सजचि MINISTRY OF HEAVY INDUSTRIES NOTIFICATION (AMENDMENT) New Delhi, the 29th December, 2023 S.O. 5486(E).—In partial modification of the Production Linked Incentive (PLI) Scheme for Automobile and Auto Component industry (PLI-AUTO) which was notified by the Ministry of Heavy Industries vide S.O. No. 3946 (E) dated 23rd September 2021, the following amendments are made with effect from date of its publication in the Official Gazette:- Amendment of sub-paragraph ‘3.3.1.1.i’ & ‘6.4.IV’ to be read as under: Incentive under the scheme will be applicable, starting from the Financial Year 2023-24 which will be disbursed in the following Financial Year i.e. 2024-25 and so on for a total of five (05) consecutive Financial Years.[भाग II—खण् ड 3(ii)] भारत का रािपत्र : असाधारण 3 Amendment of sub-paragraph ‘3.3.1.1.ii’’ to be read as under: An approved applicant shall be eligible for benefits for 5 consecutive Financial Years but not beyond for the Financial Year ending 31/03/2028. Amendment of sub-paragraph ‘3.3.2.3.V’ to be read as under: In case the approved company fails to meet the threshold for increase in Determined Sales Value over the threshold for the first year i.e. ₹125 crore, for any given year, it will not receive any incentive for that year. However, it will still be eligible to receive the benefits under the scheme in the next year if it meets the threshold for that particular year calculated on the basis of 10% YoY growth over the threshold for the first year and thereafter for 4 consecutive years from when the incentive under the scheme becomes applicable (FY 2023-24). This provision will provide level playing field to all approved companies viz. existing Automotive and New Non-Automotive Investor companies as well as safeguard the approved applicants who preferred to front load their investment, against adversities of the market demand conditions in subsequent years of the scheme. Amendment of sub-paragraph ‘3.3.3.3.V’ to be read as under: In case the approved company fails to meet the threshold for increase in Determined Sales Value over the threshold for the first year i.e. ₹ 25 crore, for any given year, it will not receive any incentive for that year. However, it will still be eligible to receive the benefits under the scheme in the next year if it meets the threshold for that particular year calculated on the basis of 10% YoY growth over the threshold for the first year and thereafter for 4 consecutive years from when the incentive under the scheme becomes applicable (FY 2023-24). This provision will provide level playing field to all approved companies viz. existing Automotive and New Non-Automotive Investor companies as well as safeguard the approved applicants who preferred to front load their investment, against adversities of the market demand conditions in subsequent years of the scheme. Amendment of ‘Table 3: Incentive Outlay’ of sub-paragraph ‘4.1’ to be read as under : Applicable Incentive Disbursement of Incentive Total Indicative Incentive (Financial Year) (Financial Year) (₹ Crore) 2023-24 2024-25 604 2024-25 2025-26 3,150 2025-26 2026-27 5,925 2026-27 2027-28 7,199 2027-28 2028-29 9,060 Total 25,938 [F. No. 12(11)/2020-AEI (21370)] HANIF QURESHI, Jt. Secy. Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064 and Published by the Controller of Publications, Delhi-110054.

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