Grant of Financial Incentives for Hotels, Resorts, and Tourism Projects

> Capital Grant for Star-Classified Hotels

• ₹2,00,000/- per room, subject to a maximum of ₹30,00,000/- for one-star hotels.
• ₹3,00,000/- per room, subject to a maximum of ₹75,00,000/- for two-star hotels.
• ₹3,00,000/- per room, subject to a maximum of ₹1,00,00,000/- for three-star hotels.

> Capital Grant for Heritage Hotels

• ₹3,00,000/- per room, subject to a maximum of ₹75,00,000/-.
• The building must be listed in the current list of heritage buildings in Puducherry and conform to architectural and conservation guidelines.

> Capital Subsidy for Higher-Category Projects

• 25% of the capital investment, subject to a maximum of ₹1,00,00,000/- for hotels/resorts with more than three-star classification and other tourism projects like water theme parks, amusement parks, yacht marinas, family entertainment centers, convention centers, and cruise tourism.

> Service Apartments

• ₹1,00,000/- per apartment, subject to a maximum of ₹6,00,000/- for 'Silver' category.
• ₹2,00,000/- per apartment, subject to a maximum of ₹12,00,000/- for 'Gold' or higher category.

> Mode of Disbursement

The incentive is directly released to the authorized/approved financial institutions if a loan was taken for the project. If no loan was taken, the amount is released directly to the applicant.

> Expected Time of Disbursement

Priority for disbursement is based on the date of star classification/heritage classification or the date of commercial operation for other tourism projects.

• The scheme applies to star-classified hotels/resorts, heritage hotels, and other tourism projects completed and commissioned from 2005 onwards.
• The project must be in continuous commercial operation.
• The applicant must have financially invested in the property and developed the project.
• The hotel/resort must have star classification or heritage classification approved by the Ministry of Tourism, Government of India.
• The project must not have availed any other capital subsidy/incentive from the Government of Puducherry or the Government of India.
• The project must continue in the same name and style for eight years from the date of release of the incentive.

Step 1: Take a print of the prescribed format of the application form.

Step 2: In the application form, fill in all the mandatory fields and attach copies of all the mandatory documents.

Step 3: Submit the duly filled and signed application form and the documents, within the prescribed period (if any), to the Department of Industrial Development (Tourism), Government of Puducherry.

Step 4: Request a receipt or acknowledgement from the concerned authority to whom the application has been submitted. Ensure that the receipt contains essential details such as the date and time of submission, and a unique identification number (if applicable).

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> Post-Application Processes

Step 1: A committee consisting of the Secretary to Government (Tourism), Managing Director (PTDC), Member-Secretary (PPA), Commissioner (Puducherry Municipality), Representative of Finance Department, Architect (Representative of INTACH), and Director of Tourism will review the application to determine eligibility and the quantum of incentive.

Step 2: If approved, the incentive will be released directly to the authorized financial institution (if a loan was taken) or to the applicant (if no loan was taken). The incentive may be released in installments.

_*The applicant must provide an undertaking on ₹50/- stamp paper, stating that the project will continue in the same name and style for eight years from the date of release of the incentive._