Circular No.ES/202 /2016-17 December 1, 2016
To: Members of the Council
Sub: Northeast states to get 'subsidies' through direct benefit transfer (DBT)
Dear Sir,
The Ministry Of Commerce and Industry, (Department of Industrial Policy and Promotion) has issued Notification F.No.11(5)/2009-DBA-II/NER dated 22.01.2013 dated 22nd November, 2016 wherein the Government has decided to discontinue the Freight Subsidy Scheme, with immediate effect.
The new directive of Ministry of Commerce and Industry stipulates disbursement of subsidies under the scheme will be only through the direct benefit transfer (DBT) mechanism and not through nodal agency.
Accordingly, industrial units registered under the Freight Subsidy Scheme, 2013 prior to the date of issue of this notification alone will be eligible for the benefits of the scheme. In addition, industrial units registered under the erstwhile Transport Subsidy Scheme (TSS), 1971 prior to 22.01.2013 who are eligible for subsidy under the provisions of TSS, 1971, will continue to be eligible for residual benefits as per provisions of Notification F.No.11(5)/2009-DBA-II/NER dated 22.01.2013.
Disbursement of subsidies under TSS, 1971 and FSS, 2013 to eligible industrial units will be henceforth through Direct Benefit Transfer mechanism to be credited into the bank accounts of the beneficiary industrial units and not through the Nodal Agency.
The copy of the Notification is reproduced here-below
Thanking you,
V.ANIL KUMAR
EXECUTIVE DIRECTOR
___________________________________________________________________________
MINISTRY OF COMMERCE AND INDUSTRY
(Department of Industrial Policy and Promotion)
NOTIFICATION
New Delhi, the 22nd November, 2016
F.No.11(5)/2009-DBA-II/NER.— The Government has decided to discontinue the Freight Subsidy Scheme, 2013, notified vide notification F.No.11(5)/2009-DBA-II/NER dated 22.01.2013, with immediate effect. Accordingly, industrial units registered under the Freight Subsidy Scheme, 2013 prior to the date of issue of this notification alone will be eligible for the benefits of the scheme. In addition, industrial units registered under the erstwhile Transport Subsidy Scheme (TSS), 1971 prior to 22.01.2013 who are eligible for subsidy under the provisions of TSS, 1971, will continue to be eligible for residual benefits as per provisions of notification F.No.11(5)/2009-DBA-II/NER dated 22.01.2013.
2. Disbursement of subsidies under TSS, 1971 and FSS, 2013 to eligible industrial units will be henceforth through Direct Benefit Transfer mechanism to be credited into the bank accounts of the beneficiary industrial units and not through the Nodal Agency. The role of the Nodal Agencies in all other respects would continue as before.
VANDANA KUMAR, Jt. Secy.
