NEW DELHI: The government has reopened the application window for the Production Linked Incentive (PLI) Scheme for white goods, covering air conditioners and LED lights, to attract additional investments into the sector.
The 30-day window will remain open from September 15 to October 14, the Department for Promotion of Industry and Internal Trade (DPIIT) said in a statement on Thursday.
“The application window for the PLI Scheme for White Goods (ACs and LED Lights) is being reopened based on the appetite of the industry to invest more under the Scheme, which is an outcome of the growing market and confidence generated due to manufacturing of key components,” DPIIT said.
The reopening comes under the same terms and conditions as the original notification of April 2021 and subsequent guidelines, the ministry clarified.
Both new applicants and existing beneficiaries of the scheme will be eligible to apply, provided they meet the prescribed eligibility criteria and adhere to the investment schedules.
However, new applicants approved in this fourth round will be eligible for incentives only for the remainder of the scheme’s tenure—two years in most cases.
Existing beneficiaries seeking to shift to higher investment categories may receive support for one or two years, depending on their current grouping.
So far, 83 companies with committed investments of Rs 10,406 crore have been selected under the scheme.
These projects are expected to strengthen the local value chain in AC and LED manufacturing, including components not currently made in India.
The PLI scheme for white goods was cleared by the Union Cabinet in April 2021 with an outlay of Rs 6,238 crore, spanning FY22 to FY29.
The initiative is a key plank of the government’s Atmanirbhar Bharat strategy to boost domestic manufacturing and reduce import dependence in critical segments, while also creating jobs.
Applications must be filed online at the designated portal by October 14, DPIIT said.
The reopening of the PLI scheme comes at a time when the white goods sector is set to benefit from recent goods and services tax (GST) rationalisation.
Following the September 2022 reforms, GST rates on several household appliances and electronic items, including air conditioners and lighting products, were pared down to boost affordability and consumption.
While high-ticket consumer durables such as air conditioners earlier attracted the peak GST slab of 28%, rationalisation has brought relief to the segment, with lower effective incidence expected to stimulate demand.