Skip to content
Central Government Scheme Ministry Of Commerce And Industry

Production Linked Incentive (PLI) Scheme for White Goods (Air Conditioners and LED Lights)

The scheme targets manufacturers of components / sub-assemblies of Air Conditioners & LED Lights and offers 4–6% incentive on incremental sales to boost localization, reduce imports, and build a domestic supply chain.

Ministry / Dept.
Ministry Of Commerce And Industry
Scheme Level
Central
Applicable In
All India (Central Scheme)
Category
Business & Entrepreneurship
How to Apply
Online

About the Production Linked Incentive (PLI) Scheme for White Goods (Air Conditioners and LED Lights) Scheme

The scheme targets manufacturers of components / sub-assemblies of Air Conditioners & LED Lights and offers 4–6% incentive on incremental sales to boost localization, reduce imports, and build a domestic supply chain.

Objective & Scope

The objective is to boost domestic manufacturing, reduce import dependence, build a strong component ecosystem for white goods, and position India in the global supply chain.

The scheme targets companies that invest in manufacturing components or sub-assemblies for:

  • Air Conditioners (ACs) — e.g. compressors, copper tubes, heat exchangers, motors, control assemblies, etc.
  • LED Lights — e.g. LED chips & packaging, LED drivers, LED engines, light-management systems, and other components in the LED-light value chain.

Implementation Period & Financial Outlay

  • The scheme runs from FY 2021-22 to FY 2028-29
  • Total approved outlay is Rs 6,238 crore.
  • Incentives under the scheme are provided for a period of 5 years on incremental sales (after one / two year gestation period), over the base year.

<br>

Benefits

  1. Eligible companies get financial incentives ranging from 4% to 6% — on net incremental sales of goods manufactured in India under the scheme.
  2. The goal is to significantly raise domestic value addition — from existing ~15–20% to ~75–80%.
  3. Large incremental production and exports of AC &amp; LED components.
  4. Creation of substantial employment (direct + indirect) across manufacturing ecosystem.
  5. Development of a complete “component-to-final-product” ecosystem, reducing dependence on imports.

<br>

Eligibility Criteria

  1. Incentive under the Scheme shall be provided to Companies making brown field or green field Investments for manufacturing in target segments in India.
  2. Eligibility shall be subject to achievement of thresholds of net incremental sales of Eligible Products for the respective financial year over the base year or net incremental sales of eligible products over the base year or FY 2020-21, whichever is higher, as the case may be and cumulative incremental investment in the preceding financial year, which shall not be less than the threshold investment as detailed in Appendix-I or Appendix IA of the Scheme Guidelines, as the case may be.
  3. In case an applicant does not meet criteria of threshold investment and threshold net incremental sales for any given year, the applicant shall not be eligible for disbursement of incentive for that particular financial year. However, the applicant will not be restricted from claiming incentive for subsequent years during the tenure of the Scheme, provided eligibility criteria of cumulative committed investment and threshold net incremental sales are met for such subsequent financial years.
  4. The incremental sales of eligible products should be commensurate with created production capacity from investments committed under the scheme.
  5. For the purpose of determining eligibility of an applicant with respect to incremental investment, the investment covered under any other PLI Scheme of Govt. of India of the Applicant shall not be considered for determining eligibility under this PLI Scheme and vice-versa.
  6. In every financial year for which the incentive is claimed, the net sales turnover of eligible products of the selected applicant and its group companies shall not be less than the sum of their net sales turnover of eligible products manufactured in India in the base year for applicants meeting the pre-qualification criteria on the basis of financial attributes of base year and higher of net sales turnover of eligible products in the base year or FY 2020-21, for applicants meeting the pre-qualification criteria on the basis of financial attributes of FY 2020-21; along with the corresponding threshold incremental net sales turnover of the selected applicant as detailed in Appendix-1 or Appendix-IA of the Scheme Guidelines, as the case may be.
  7. For applicants opting for initial investment period as 1st April, 2021 to 31st March, 2023, the first and last year of achieving the required corresponding threshold incremental sales for availing the PLI shall be FY 2023-2024 and FY 2027-28 respectively as detailed in Appendix -IA of the Scheme Guidelines.

<br>

How to Apply for Production Linked Incentive (PLI) Scheme for White Goods (Air Conditioners and LED Lights)

Application mode: Online

Step 01: Visit the official website of the Department for Promotion of Industry and Internal Trade (DPIIT) and register on the PLI-WG Online Portal.

Step 02: Complete the online application form, upload all necessary documents, and pay the application fee.

Step 03: Your application will be reviewed, and approval will be granted by the competent authority if all requirements are met.

Step 04: After approval, follow all required compliance procedures and guidelines to maintain eligibility.

<br>

Exclusions

<br>

Frequently Asked Questions

What is the Production Linked Incentive (PLI) Scheme for White Goods (Air Conditioners and LED Lights) scheme?

The scheme targets manufacturers of components / sub-assemblies of Air Conditioners &amp; LED Lights and offers 4–6% incentive on incremental sales to boost localization, reduce imports, and build a domestic supply chain. Objective &amp; Scope The objective is to boost domestic…

Who is eligible for Production Linked Incentive (PLI) Scheme for White Goods (Air Conditioners and LED Lights)?

Incentive under the Scheme shall be provided to Companies making brown field or green field Investments for manufacturing in target segments in India. Eligibility shall be subject to achievement of thresholds of net incremental sales of Eligible Products for the respective financial year over the b…

What benefits does Production Linked Incentive (PLI) Scheme for White Goods (Air Conditioners and LED Lights) provide?

Eligible companies get financial incentives ranging from 4% to 6% — on net incremental sales of goods manufactured in India under the scheme. The goal is to significantly raise domestic value addition — from existing ~15–20% to ~75–80%. Large incremental production and exports of AC &amp; LED compo…

How can I apply for Production Linked Incentive (PLI) Scheme for White Goods (Air Conditioners and LED Lights)?

Step 01: Visit the official website of the Department for Promotion of Industry and Internal Trade (DPIIT) and register on the PLI-WG Online Portal. Step 02: Complete the online application form, upload all necessary documents, and pay the application fee. Step 03: Your application will be reviewed…

Source: official scheme details published on the Government of India's myScheme portal. Always verify eligibility and deadlines on the official portal before applying. Scheme rules can change.

Related Government Schemes

Central All India

Consortia & Tender Marketing Scheme

The scheme aims to facilitate Micro and Small Enterprises (MSEs) in marketing their products and services through individual or collective participation in tenders via consortia. It helps MSEs secure bulk orders, improve competitiveness, and access government procurement opportunities.

Business & Entrepreneurship Details
State West Bengal

Incentive Scheme for MSMEs in Powerloom Sector: State Capital Investment Subsidy

“State Capital Investment Subsidy” incentives under “Incentive Scheme for MSMEs in Powerloom Sector” scheme implemented by the Dept. of MSME & T, Government of West Bengal, aims to provide subsidy of the fixed capital investment made for its approved project.

Business & Entrepreneurship Details
Central All India

Khadi Gramodyog Vikas Yojana: Khadi Vikas Yojana

The scheme aims to increase productivity and wages of Khadi artisans, improve production infrastructure, boost employment and sales, revive traditional rural skills, modernize sales outlets, and promote marketing and exports.

Business & Entrepreneurship Details
State West Bengal

The West Bengal Incentive Scheme: Additional Incentive for Adventure Tour Operators

“Additional Incentive for Adventure Tour Operators” incentives under the “WBIS” scheme by the Dept. of Tourism, Government of West Bengal, aims to provide reimbursement incentives with SGST payments for purchasing tents, dinghies, adventure & sports equipment, and related accessories.

Business & Entrepreneurship Details
State West Bengal

The West Bengal Incentive Scheme: Additional Incentive on Generation of Employment

“Additional Incentive on Generation of Employment” incentives under “The West Bengal Incentive Scheme” scheme by the Dept. of Tourism, Government of West Bengal, aims to provide reimbursement of expenditure incurred for paying contribution towards ESI and EPF.

Business & Entrepreneurship Details
State West Bengal

The West Bengal Incentive Scheme: Capacity Utilisation

“Capacity Utilisation” incentives under the “The West Bengal Incentive Scheme” implemented by the Dept. of Tourism, Government of West Bengal, aims to provide additional Floor Area Ratio (FAR) over and above the maximum permissible FAR as may be fixed by the competent authority.

Business & Entrepreneurship Details