The Ministry of Electronics and Information Technology (MeitY) is close to approving two mega projects for manufacturing in electronics worth Rs 75,000 crore under its modified special incentive package (MSIP) scheme, a senior official in the ministry told DNA Money.
MeitY, which has set the goal of zero net imports in the electronics sector by 2020 and is seeing a large number of investment proposals, also plans to ask the government for extending the cap on subsidy provided for MSIPs,
Currently, the cap has been fixed at Rs 10,000 crore for subsidy under MSIP but the ministry wants it increased as the number of proposals received till now have exceeded expectations, according to a senior ministry official who refused to be named.
From June 2014 till now, 248 applications have been received with investments of about Rs 145,030 crore. Out of this, only 87 proposals worth Rs 19,440 crore have been approved, the data from MeitY shows.
While another 121 projects worth Rs 24,304 crore are under evaluation, some 12 projects worth Rs 784 crore have been recommended for approval. About 51 applications, with investment proposal for Rs 3,8253 crore, have been rejected.
By Baishakhi Dutta
