INVC NEWS
New Delhi : The central government is taking decisive steps to ensure eligible companies receive their Production Linked Incentive (PLI) amounts promptly. With an aim to expedite the disbursement process, NITI Aayog may soon undertake the responsibility of reviewing the operations of nodal agencies involved in the PLI scheme across various sectors.
Government’s Firm Stance on PLI Disbursement
Expressing deep concern over the delays in releasing PLI claims, Cabinet Secretary Rajiv Gauba has urged NITI Aayog to scrutinize the performance of nodal agencies linked to the scheme. In a recent meeting of the Empowered Group of Secretaries chaired by Gauba, a proposal was put forth to establish an institutional framework under the guidance of NITI Aayog to assess the operations of Project Management Agencies (PMAs) associated with the PLI initiative.
Reviewing Nodal Agencies’ Performance
PMAs play a crucial role in aiding ministries with scheme implementation, application scrutiny, eligibility determination, and inspection of manufacturing units. However, initial reviews have uncovered significant delays in payments to key sectors. The minutes of the meeting highlighted prolonged delays in settling incentive claims and the inadequate appointment of subject matter experts by PMAs, contrary to previous directives.
Streamlining the Payment Process
Recognizing the urgency to streamline PLI payment processes, the Empowered Group emphasized the necessity for a unified mechanism to settle claims efficiently. It suggested that the Department for Promotion of Industry and Internal Trade (DPIIT) collaborates with relevant ministries to review each PLI scheme guideline meticulously. Additionally, the government has tasked NITI Aayog with conducting regular reviews of PMAs to ensure adherence to regulations.
Sectors Covered Under PLI Scheme
Presently, the PLI scheme encompasses 14 sectors, including mobile phones, drones, telecommunications, textiles, vehicles, consumer durables, and pharmaceuticals. These sectors are overseen by five project management agencies: Industrial Finance Corporation of India, Small Industries Development Bank of India, Metallurgical and Engineering Consultants (India), Indian Renewable Energy Development Agency Limited, and Solar Energy Corporation.
Government’s stringent approach
The central government’s stringent approach towards expediting PLI payments underscores its commitment to fostering growth and innovation across various sectors. By entrusting NITI Aayog with the responsibility of overseeing nodal agencies, the government aims to enhance accountability and efficiency in the disbursement process. As companies eagerly await their PLI amounts, these proactive measures signify a concerted effort to bolster India’s industrial landscape and propel economic development.
