Government Incentives for Waste-to-Energy (WtE) Plants in India

1. Renewable Energy Benefits – WtE plants qualify for Renewable Electricity Certificates (REC) and earn revenue from electricity sales.
   
   
2. Capital Subsidy – Up to 35% capex subsidy under the Swachh Bharat Mission to promote WtE plants.
   
   
3. Feed-in Tariff – Govt. offers Rs. 7.04 to Rs. 7.89 per unit for electricity from WtE plants.
   
   
4. Tax Benefits – 100% exemption from excise, VAT, and 10-year Income Tax relief under Section 80IA.
   
   
5. Priority Purchase – State discoms have the first right to buy electricity from WtE plants.
   
   
6. Financial Assistance – Interest subsidy reduces loan rates to 7.5%, and full funding is available for feasibility studies.
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8. Regulatory Support – The Municipal Solid Waste Management Act, 2016 and mandatory 5% RDF usage by industries enhance WtE project viability.