Scheme for Setting Up of Plastic Parks

₹40.0 Cr

The scheme provides a grant-in-aid of up to 50% of the overall project cost, subject to a maximum ceiling of ₹40,00,00,000/- per project.

A minimum of 25% of the Grant-in-aid is explicitly earmarked for creating common enabling facilities dedicated to the plastic processing industry, such as characterization, prototyping, testing, training, and plastic recycling.

The scheme provides financial assistance for administrative and management support of the Special Purpose Vehicle, including the Chief Executive Officer's salary, limited to 5% of the total Grant-in-aid.

Assistance is provided for engaging engineers, architects, and experts for civil works execution, up to a maximum of 5% of the total Grant-in-aid.

₹50.0 L

The scheme covers up to 75% of the costs for soft interventions (such as awareness generation, skill development, and exposure visits), not exceeding an amount of ₹50,00,000/- per project.

##### Disbursal Schedule

An initial 20% is disbursed as a mobilization advance upon final project approval, successful financial closure, and submission of a bank guarantee.

The second installment of 35% is released after the utilization of at least 60% of the first installment.

The third installment of 35% is released after the complete utilization of the first installment and 60% utilization of the second installment.

The final installment of 10% is released after the Special Purpose Vehicle mobilizes its entire share and at least 25% of the park's units become operational.

##### Conditions

The Special Purpose Vehicle must complete the complete setting up of the Plastic Park within a strict timeline of three years from the date of final approval.

The Special Purpose Vehicle must assume responsibility for the continuous operation and maintenance of all created assets by instituting and collecting user charges from members.

The services offered by the Common Facility Centres must be extended to the broader cluster in general, in addition to strictly serving member enterprises.

The assets acquired or created substantially out of the Government grant must not be disposed of without the explicit prior approval of the sanctioning authority.

The central grant may be completely recalled with penal interest in the event of partial implementation, incomplete execution, or a compromise with the envisioned quality standards.