What is the Maharashtra Electricity Duty Exemption?
Under Maharashtra’s IT/ITES Policy, registered IT and IT-enabled Services units and IT Parks are exempt from paying Electricity Duty for a defined period. This translates to a significant ~9.3% reduction on your industrial power bills – a direct and recurring benefit for every unit of electricity consumed.
Who Gets the Benefit?
- IT Software units – including SEZ/IT Park-in-SEZ units
- IT Hardware units – including STPI-registered exporters
- IT-Enabled Services (ITES) – such as AVGC units
- Units in registered IT Parks – IT/Telecom hardware manufacturing
How Long Does the Exemption Last?
| Unit Category | Duration | Conditions |
|---|---|---|
| Units in A & B areas (IT Parks) | 10 years | From date of commencement of operations |
| Units in other areas (PSI classification) | 15 years | From date of commencement of operations |
| SEZ-based IT/ITES units | Permanent | 100% exporting or registered with STPI |
| 100% exporting IT/ITES units | Permanent | Registered with STPI or designated authority |
Key Programme Details
Eligibility Criteria
To qualify for the exemption, your unit must meet these requirements:
- Registration with the Directorate of Industries under the IT/ITES Policy
- Classification as IT Software, IT Hardware, or IT-Enabled Services (as per Section 10TA, CBDT)
- Commencement of production/activity
Application Requirements
The application package includes:
- Notarised affidavit
- Sale/lease deed of the premises
- Detailed project report
- Board Resolution (for authorised signatory)
- Power sanction letter from the electricity authority
- 3 months’ electricity bills (prior to application filing)
- Commencement certificate or work order
- ELP Form-I
- Unit Registration Certificate
Important: Timing Matters
The exemption applies only from the date of approval of your application. Delayed filing forfeits the benefit for the elapsed period. File promptly upon commencement of operations to capture the full exemption value.
Related Benefits
New IT/ITES units set up in registered IT Parks (outside A & B areas) also receive:
- Power tariff subsidy of ₹1 per unit for 3 years
- Billing at industrial MERC tariff rates (not commercial rates)
Competent Authorities
Depending on your unit category and location, submit your application to:
- Joint Director of Industries (MMR) – for MMR-based units
- District Industries Centre (General Manager) – for MSME units
- Head Office, Mumbai (Joint Director of Industries, IT Division) – for SEZ units
Why Apply Through Subsidy4India?
Securing government benefits doesn’t have to be complicated. At Subsidy4India, we’ve guided 100+ companies through similar R&D and incentive programmes. We handle:
- Eligibility verification and documentation review
- Compliant application packaging
- Direct liaison with the Competent Authority
- Certificate validity tracking and timely renewal filings
Start your application today and lock in years of electricity savings. Contact Subsidy4India for a free eligibility check.
Source: Maharashtra IT/ITES Policy; Directorate of Industries, Government of Maharashtra

