Industrial units to get 50% rebate in VAT in Haryana for using natural gas

The Haryana government on Saturday said it has decided to give a 50 percent rebate in value-added tax (VAT) to industrial units in the state that will replace diesel generator sets required to meet their energy requirement with natural gas.

This scheme will be applicable to entire industries including micro, small and medium enterprises (MSMEs), and will be effective for two years from the date of its notification, said an official statement.

A decision in this regard was taken in the meeting of the standing finance committee held here under the Chairmanship of Chief Minister Manohar Lal Khattar. Deputy Chief Minister Dushyant Chautala was also present at the meeting. Notably, the use of diesel-powered generator sets is banned in the National Capital Region. Now the industries that will meet their energy requirement from CNG, PNG will get a 50 percent exemption in VAT, it said.

Similarly, the committee also approved giving a subsidy of Rs 164.66 crore per year to electric vehicle manufacturing companies under various heads, under Haryana Electric Vehicle (EV) Policy 2022. The chief minister was apprised that the EV policy aims to protect the environment, reduce carbon footprint, make the state an EV manufacturing hub, ensure skill development in EV field, encourage uptake of EV vehicles, and encourage research and development in EV technology.