The West Bengal Incentive Scheme: Waiver of Electricity Duty
Department of Tourism, Government of West Bengal · Central government · Verified 3 August 2026
The West Bengal government's incentive scheme waives electricity duty for eligible tourism projects and hotel units for 5 years.
Open, rolling. Applications are accepted continuously — there is no deadline.
Key facts
- Grant size
- Not specified
- Funding type
- Subsidy
- Deadline
- Rolling
- Disbursement
- Reimbursed after spend
- Grant duration
- 60 months
About this program
The "Waiver of Electricity Duty" operates as a sub-scheme within the broader West Bengal Incentive Scheme, introduced on February 22, 2021, by the Department of Tourism, Government of West Bengal. The parent scheme is designed to promote self-employment and generate job opportunities through financial support for prospective entrepreneurs.
This sub-scheme, effective until December 31, 2025, provides a substantial financial benefit to qualifying tourism projects and hotel units. It achieves this by exempting electricity duty on consumption, thereby lowering operational expenses, improving business competitiveness, and fostering sustainable development in the state's tourism industry. The initiative aims to stimulate investment and the growth of tourism-related infrastructure across West Bengal.
Who can apply
- Eligible organisation types
- All nonprofit forms
- 12A registration
- Not specified
- 80G registration
- Not specified
- CSR-1 registration
- Not specified
- FCRA registration
- Not specified
- NGO Darpan ID
- Not specified
- Where the NGO may be based
- West Bengal
- Generally applicable to all eligible tourism projects, units, or expansion projects established on or after February 22, 2021.
- Eligible hotel units that began commercial operations between January 7, 2015, and December 31, 2020, and could not apply under a previous scheme due to the absence of a Bar, are also eligible.
- Units may operate in the private, co-operative, or joint sector, or be companies or undertakings owned or managed by the State Government.
- The project must be supported by a detailed feasibility report.
- The project must be approved and sanctioned by a Central Financial Institution, Commercial Bank, or State Financial Institution.
- Units must hold a Registration Certificate, Date of Commencement Certificate, and Eligibility Certificate issued by the West Bengal Tourism Development Corporation Limited.
How to apply
Registration Process:
- Go to the official Shilpasathi portal (https://silpasathi.wb.gov.in/) and select ‘Apply online’.
- First-time users should choose ‘Create New’, pick the correct entity category (Industry /Business /Commercial /Charitable Society/ Govt. entity), and provide the relevant Registration number.
- Complete every mandatory field in the ‘User Registration’ screen with correct information and press ‘Register’. Those who already have an account can ‘Sign In’ using their User ID, password, and Captcha code.
Application Process:
- Access the Shilpasathi portal by logging in with your credentials.
- On the user dashboard, choose ‘ALL SERVICES’ to see the list of available services.
- Tick the box next to the service labelled ‘Tourism Incentive’.
- Press ‘Create CAF’ to obtain a distinct CAF ID, then select ‘Apply Online’ to move ahead with the application.
- Provide all required information in the common application form.
- Upload every relevant document needed for certificate issuance and press ‘Save & Continue’.
- Go through the completed application and all entered details for a final check.
- Mark the Declaration checkbox located at the bottom left of the page before pressing the ‘Submit’ button.
- Applicants get updates via SMS and email at key points during application handling (submission, approval, or rejection).
- After all steps are finished and the authority grants approval, applicants can obtain the approved Registration certificate from the online system by pressing ‘Download Certificate’.
Important Note: The full procedure for receiving incentives requires first securing a Registration Certificate, followed by a Date of Commencement Certificate, and then an Eligibility Certificate from the West Bengal Tourism Development Corporation Limited. Once all three certificates are in hand, eligible units can apply for various incentive types, such as the electricity duty waiver, through designated online forms.
How applications are assessed
Applications are submitted via the Shilpasathi portal, where the first stage checks that every mandatory document is present and that the applicant meets the stated eligibility conditions. The West Bengal Tourism Development Corporation Limited then reviews the project, and once it is satisfied with the arrangements and regulatory compliance, it issues the Registration Certificate, Date of Commencement Certificate, and Eligibility Certificate. After the applicant unit has obtained all these prerequisite certificates, the competent authority gives final approval for the electricity duty waiver incentive. This staged verification is designed to confirm that only projects which are truly eligible and compliant with the rules receive the benefit.
Frequently asked questions
What is the main objective of the Waiver of Electricity Duty scheme?
The electricity duty on power consumed in an approved project is waived for eligible units, lowering their operational expenses.
How long is the electricity duty waiver provided?
The electricity duty waiver applies for five years from the date the approved project begins commercial operation.
What types of projects are eligible for this scheme?
The scheme applies to all eligible tourism projects, units, or expansion projects established on or after February 22, 2021. Hotel units that began commercial operations between January 7, 2015, and December 31, 2020, and were previously unable to apply for specific reasons, are also eligible.
What are the legal entity requirements for eligible units?
Eligible units include those in the private, co-operative, and joint sectors, along with companies or undertakings owned or managed by the State Government. This covers incorporated and unincorporated business structures, as well as charitable societies.
What is the application process for the Waiver of Electricity Duty?
Applications are submitted online via the Shilpasathi portal, where applicants register, complete a Common Application Form (CAF) for 'Tourism Incentive', upload documents, and submit. Before applying for the final incentive, applicants must obtain Registration, Date of Commencement, and Eligibility Certificates from the West Bengal Tourism Development Corporation Limited.
Focus areas
- Travel Tourism
- Tourism
- West Bengal
- Electricity Duty Waiver
- Incentive Scheme
- Operational Cost Reduction
- Hospitality
Details last verified on 3 August 2026. Source: the funder's published information.
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