New Delhi, Dec 3 (KNN) The applications for the Production Linked Incentive (PLI) scheme for drones and drone components will be considered by a committee chaired the civil aviation secretary as recommended by the PMA.

The Project Management Agency (PMA) appointed by the ministry will assess the applications.

This was notified in the operational guidelines for the PLI scheme for drones and drone components released by the civil aviation ministry.

With an outlay of Rs 120 crore, the government has approved the PLI scheme and the scheme is to be implemented during the 2022-23 to 2024-25 period.

After consultations with stakeholders, including industry representatives the ministry said the guidelines have been finalised thereafter.

The PLI will be extended only to companies engaged in the manufacturing of drones and drone components in India.

The total PLI per manufacturer is capped at Rs 30 crore which is 25 per cent of the total financial outlay of Rs 120 crore.

Indian MSMEs and startups manufacturing drones and having annual sales turnover of Rs 2 crore will be eligible for the scheme. 

In the case of drone component makers, the eligibility threshold will be Rs 0.5 crore.

The minimum level will be Rs 1 crore in the case of non-MSME drone component makers, as per the ministry.

“Excess incentive paid to any applicant (due to any reason like sales return in the subsequent year or some other reason) will be adjusted in the incentives payable in the next year(s).

“If there are no incentives payable in the next year(s), the applicant has to return the incentive along with interest calculated at 3 years SBI MCLR prevailing on the date of disbursement, compounded annually, for the number of days of holding the excess incentive," the ministry said.

Subject to the norms, developers of software for drones and drone components will also be eligible for PLI. (KNN Bureau)