Capital Investment Subsidy for Creation of Infrastructure

The scheme "Capital Investment Subsidy For Creation Of Infrastructure" was launched by the Tourism Department, Government of Madhya Pradesh. The scheme aims to encourage private investment in developing essential infrastructure like power supply, water supply, approach roads, sewage, and drainage systems on land and heritage assets leased from the Tourism Department. The scheme provides a capital investment subsidy of 25% against fixed capital investment, subject to a maximum ceiling of ₹3,00,00,000/-. The applicant must incur a minimum capital expenditure of ₹50,00,000/- as approved by the department to qualify for this benefit. The scheme is implemented by the Madhya Pradesh Tourism Board. The applications for this scheme are accepted through the state's investment portal and single-window system.

• The beneficiary will receive a capital investment subsidy of 25% against the Fixed Capital Investment.
• The maximum ceiling of the subsidy is ₹3,00,00,000/-.

Conditions

• The unit must operate continuously for at least three years from the date of availing the subsidy.
• The unit must submit a self-declaration regarding continuous operation on or before the 15th of April every year.
• If the unit closes within one year of receipt of subsidy, 80% of the subsidy amount must be refunded.
• If the unit closes within two years of receipt of subsidy, 60% of the subsidy amount must be refunded.
• If the unit closes within three years of receipt of subsidy, 50% of the subsidy amount must be refunded.

• The applicant must be a private investor or entity establishing a tourism project,.
• The applicant must have obtained the land or heritage assets from the Tourism Department on a lease basis.
• The applicant must create infrastructure such as power supply, water supply, approach road, sewage, and drainage systems on the obtained land or heritage assets.
• The applicant must incur a minimum capital expenditure of ₹50,00,000/- as approved by the department.
• The applicant must establish and operationalize the tourism project during the operative tenure of this policy.
• The applicant must not claim Investment Promotion Assistance if claiming this capital subsidy.

Offline

Registration Process

Step 1: The applicant must visit the Madhya Pradesh Government's Invest Portal, and initiate the registration process as a "Vendor / Investor".
Step 2: The applicant must fill in the basic information section by selecting the appropriate "Type of Organisation" from the available options, which include Public Limited Company, Private Limited, LLP, Proprietorship Firm, Partnership Firm, Cooperative, Trust, FPO, and Individual. The applicant must enter the "Firm/Company Name" and the "Authorized Person Name" to establish the identity of the entity.
Step 3: The applicant must enter a valid email ID and mobile number. The Application Number, User ID, password, and all other important communications will be sent to this registered email ID.
Step 4: The applicant must complete the basic registration form submission. The system generates a User ID and password, which are shared directly with the applicant's registered mobile number.
Step 5: The authorized person logs in to the portal using the User ID and password received on the registered mobile number to process the company's activities. After the initial login, the applicant must update their profile to complete the full registration process before proceeding to apply for the scheme.

Application Process

Step 1: The applicant must apply for and secure mandatory permissions through the online single-window system within the stipulated time frames. Then, the applicant must do the following -

• Complete the construction, ensuring the minimum capital expenditure is met.
• Commence commercial operations and gather proof of operation.

Step 2: The applicant must submit the capital subsidy application online within one year from the date of commencement of operation. Upload all required documents, ensuring all files meet the specified format requirements (e.g., JPG for photos).
Step 3: The Tourism Department/Board verifies the application and documents and processes the subsidy claim.