Solar Charkha Mission
(Ministry of Micro, Small and Medium Enterprises)
A pilot project on Solar Charkha was implemented at Khanwa village, Nawada District of Bihar in 2016. Based on the success of the pilot project, Government of India has launched the scheme all over the country.
- In order to promote the production of Khadi, the Indian government launched a scheme ‘Solar Charkha Mission’.
- It comes under the ‘Ministry of Micro, Small and Medium Enterprises (MSME)’.
- It was launched on 27 June 2018 on the occasion of United Nations MSME day.
- The MSME organized National conclave (Udyam Sangam) on this day.
- Under this scheme, rural people will get training and loan to produce spun-yarn by using looms and spindles running on solar energy.
- The government will disburse subsidy of 550 crores to the artisans for the year 2018-19 and 2019-20.
- The scheme will be implemented all over India.
Features of the scheme
(1) Implementing agency: The Khadi and Village Industries Commission (KVIC) would implement the programme.
(2)Cluster creation: Under this mission, the Ministry of Micro Small and Medium Enterprise (MSME) will cover 50 clusters and each cluster will employ 400 to 2,000 artisans.
(3) Eligibility Criteria:
Only small-scale business applicants holding an MSME certificate can be a part of this scheme.
(4) Scheme duration: Central government has been implemented the scheme initially for two years. It will officially end on 2020.
(5) Set up of technology centers: 15 new state-of-the-art technology centers were proposed to be set up all over the country including North-East. Each center is being built at a cost of around Rs. 150 Crore.
(6) Implementing Agencies:
- A Governing council: Chaired by the Minister MSME, which will be responsible for providing overall policy, coordination. Management and guidance.
- A Scheme Steering Committee (SSC):
- A mission directorate: with CEO, KVIC
- A PSU (phasor measurement unit): functional PMU, which shall have three experts in Project Management, Finance & Forecasting and marketing.
(7) Subsidy and Repayment of the money:
- One cluster of Solar Charkha would involve a maximum subsidy of RS. 9.599 Crore.
- The government will give the money as a loan but without interest.
- Central government will provide a subsidy of 25%.
- Each candidate will have to repay the actual credit amount within 5 years from the start date of production.
(8) Selection of promoter Agency:
- Existing Khadi and Village Industry Institution (KVI) could apply for setting up a cluster by fulfilling the definite parameters.
- Other Institutions such as SPV, Society, Trust, Company could also apply for setting up a new cluster by fulfilling the definite parameters.
- First timers also get the benefits of the scheme by fulfilling the definite parameters.
(9) Standard Solar charkha: A standard Solar Charkha with 10 spindles along with the specifications has been approved.
Objectives of the scheme
(1) Inclusive growth: To ensure inclusive growth by generation of employment, especially for women and youth, and sustainable development through solar charkha clusters in rural areas.
(2) Arresting migration: It will help in arresting migration from rural to urban areas.
(3) Creating employment: The mission is expected to create one lakh jobs during the first two years.
(4) Creating eco-friendly Environment: This scheme aims to reduce the use of electricity to run charkhas by substitute it with solar charkhas.
(5) women empowerment: It also aims at linking five crore women across the country to the initiative.
(6) Empowered cotton industry