Rajasthan Investment Promotion Scheme (RIPS)

Scheme Introduction: A Brief Overview

Rajasthan Investment Promotion Scheme (RIPS) is an investment promotion scheme of the Government of Rajasthan that aims to encourage businesses to invest, expand and create employment in the state. The scheme provides financial incentives and other business support to eligible enterprises based on their project type, investment, sector and employment. It is designed for businesses rather than individual citizens and covers manufacturing, services, MSMEs, startups, Sunrise sectors, industrial infrastructure, R&D projects, Global Capability Centres (GCCs), test laboratories and specified green-sector projects.

Under RIPS 2024, eligible businesses can receive benefits such as capital subsidy, investment subsidy, turnover-linked incentives, interest support, employment-related incentives and Stamp Duty and Conversion Charge exemptions. The scheme also provides support for green initiatives, renewable energy, exports, employee training and intellectual property creation. Eligible projects can also access sector-specific incentives, while qualifying large investment projects can seek customized incentive packages under the scheme.

The scheme gives businesses flexibility to select applicable incentives according to their project category and eligibility. However, every business cannot claim all the benefits available under RIPS 2024. The applicable incentives depend on factors such as the type of enterprise, investment size, sector, employment and whether the project is new or an expansion. The scheme also provides separate conditions for specialized categories such as MSMEs, startups and Sunrise-sector enterprises.

Eligible businesses can apply for RIPS online through the RajNivesh Portal. Applicants need to complete the Common Application Profile, Enterprise Profile and Project Profile before submitting the applicable RIPS application and supporting documents. The application process and required documents can vary depending on the project stage and incentive being claimed.

RIPS 2024 is intended to support investment and economic development across Rajasthan by reducing the cost of setting up or expanding eligible businesses and encouraging employment generation. The scheme also promotes state priorities such as green growth, export promotion and capability development. Businesses must meet the conditions prescribed for their particular project and selected incentives to receive the applicable benefits. RIPS is operative up to 31 March 2029 or until a new policy is notified, whichever is earlier.

Scheme Benefits

Rajasthan Investment Promotion Scheme (RIPS) provides financial support and other incentives to eligible businesses that invest or expand in Rajasthan. The benefits depend on the type of project, investment size, sector and incentive selected by the enterprise.

• Eligible businesses can receive financial incentives based on their investment in Rajasthan.
• Eligible enterprises can get tax and turnover-linked support through investment subsidy or turnover-linked incentives, as applicable.
• Eligible businesses can receive interest support on qualifying loans under the applicable provisions.
• Businesses that create jobs can receive additional incentives based on eligible employment.
• Eligible projects can get 75% exemption on Stamp Duty and Conversion Charges, along with the Flexible Land Payment Model.
• Eligible businesses can receive additional support for renewable energy, pollution control, water conservation, waste management and other green initiatives.
• Eligible exporters can receive freight subsidy for specified export-related transportation costs.
• Eligible enterprises can receive financial assistance for employee skill development and training.
• Eligible enterprises can receive support for intellectual property creation, including eligible patents, trademarks and other specified intellectual property.
• Eligible enterprises can receive Electricity Duty exemption under the applicable provisions.
• Eligible enterprises can receive Mandi or Market Fee reimbursement where applicable.
• Eligible projects can receive an Employment Generation Subsidy based on the applicable employment conditions.
• MSMEs, startups, Sunrise sectors, R&D units, GCCs, test laboratories and other eligible projects can receive incentives designed for their respective categories.
• Qualifying large investment projects can receive customized incentive packages under the applicable provisions of RIPS 2024.

Additional Support for Specific Projects

Depending on the project category, RIPS also provides benefits such as office space lease rental subsidy, fundraising support, logistics-related incentives and other project-specific assistance.

Note: Not every enterprise can claim all these benefits. The applicable incentives depend on the enterprise category, project, sector, investment and the eligibility conditions prescribed under RIPS 2024. Some incentives also require a separate application and supporting documents.

Investment Categories Under RIPS

RIPS 2024 classifies projects into different investment categories based on their eligible investment and applicable project conditions. The main categories are:

• Large Projects generally involve investment of ₹50 crore or more.
• Mega Projects generally involve investment of ₹100 crore or more.
• Ultra-Mega Projects generally involve investment of ₹500 crore or more.

The applicable category can also depend on employment and other conditions prescribed under the scheme. For example, a project with an EFCI of ₹170 crore and the required employment can qualify as a Mega project. If its actual employment falls below the prescribed level in a particular year, its benefits may be calculated under the Large category for that year.

Eligibility Requirements

Rajasthan Investment Promotion Scheme (RIPS) is mainly for businesses and investment projects in Rajasthan. It is not a direct financial assistance scheme for individual residents. Eligible businesses can receive incentives based on their type of business, investment, sector and other conditions under the scheme.

Who Can Apply for RIPS?

The scheme covers several types of businesses and projects, including:

• Manufacturing businesses
• Service businesses
• MSMEs
• Startups
• Sunrise-sector businesses
• Industrial infrastructure projects
• Research and development (R&D) projects
• Global Capability Centres (GCCs)
• Test laboratories
• Renewable energy generation and storage projects
• M-Sand projects

Manufacturing businesses can qualify even if their sector is not listed as a Manufacturing Thrust Sector, subject to the scheme conditions. Service businesses generally need to operate in a sector listed under the Services Thrust Sector.

For expansion projects, manufacturing businesses generally need an additional investment of at least ₹50 crore, while service businesses need at least ₹25 crore. The additional investment should generally be at least 25% of the existing EFCI, with at least a 20% increase in capacity. MSMEs have separate expansion rules and no minimum investment requirement.

What Conditions Do Businesses Need to Meet?

A business must meet the conditions that apply to its particular category and the benefit it wants to claim. These conditions may relate to investment, employment, sector, project expansion and other requirements.

• The business or project must fall under an eligible category covered by RIPS.
• The project must meet the investment and other requirements applicable to the selected benefit.
• Businesses applying for expansion-related benefits must meet the additional investment and capacity requirements, wherever applicable.
• Existing businesses can also receive certain benefits, such as Green Growth and Export Promotion incentives, if they meet the applicable conditions.
• The project must follow the prescribed requirements for starting commercial operations and reporting its actual investment and employment.

Required Documents

Before applying for the Rajasthan Investment Promotion Scheme (RIPS) 2024, enterprises should keep the required business and project documents ready. The exact documents may vary depending on the stage of application and the incentive being claimed.

Common Documents to Keep Ready

• Detailed Project Report (DPR)
• Company registration certificate, PAN and GSTIN
• Board resolution or authorisation letter for the signatory
• Cancelled cheque, for bank verification
• Land details and ownership proof
• First bill of sale, supply, or tax invoice, as proof of commercial production
• Capacity certificate (self-certified) and investment certificate (CA-certified)
• List of permanent and contractual employees
• Consent to Operate from the Rajasthan State Pollution Control Board

Documents for Incentive-Specific Claims

Applicants may need to submit additional documents depending on the incentive selected under RIPS. For example, an enterprise applying for Interest Subvention may need documents such as the term loan sanction letter, repayment schedule and details showing the utilisation of the term loan for purchasing new plant and machinery. Documents related to refinancing or takeover of a loan may also be required, wherever applicable.

The procedural guidelines prescribe additional forms, declarations and certifications for certain incentives. Therefore, applicants should check the document requirements applicable to the specific incentive before submitting the application or claim.

Note: The document requirements can vary according to the enterprise category, project, incentive selected and stage of application. Applicants should keep the relevant supporting documents ready before submitting their RIPS application through the RajNivesh Portal.

Steps to Apply

Visit the official portal of Rajasthan Investment Promotion Scheme to apply for the scheme online. Applicants need to sign in to the RajNivesh Portal and then complete the following steps.

1. Visit the official RIPS portal and click on the Sign In option.
2. The page will redirect you to the Raj SSO portal. Log in using your Raj SSO account or register first if you do not have an account.
3. After logging in, search for RajNivesh and click on it.
4. Enter the required details and click on the Verify button.
5. After successful verification, complete the Common Application Profile.
6. Select "I want to submit application" from the dashboard and choose RIPS 2024.
7. Complete Form-1 to create the Enterprise Profile.
8. Complete Form-2 to create the Project Profile.
9. Submit the applicable Form-3A or Form-3B based on the project stage and incentive being claimed.
10. Upload the required documents and submit the application.

Businesses applying for post-commencement incentives under RIPS generally need to submit Form 3B and the relevant incentive-specific applications within 90 days of the commencement of commercial operations. Applicants should keep this deadline in mind and submit the required forms and documents within the prescribed time.

What Happens After Applying?

The concerned authority examines the application according to the RIPS guidelines. Depending on the benefit being claimed, the applicant may receive the applicable Entitlement Certificate or the incentive claim may be processed as prescribed under the scheme.

Important The application form and supporting documents may vary according to the project category, project stage and incentive being claimed. Applicants should check the requirements applicable to their project before submitting the application.

Relevant Links

• Rajasthan Investment Promotion Scheme (RIPS) Online Application Form
• Rajasthan Investment Promotion Scheme Guidelines
• Request for RIPS MoU
• Rajasthan Investment Promotion Scheme Official Portal

Contact Information

• Rajasthan Investment Promotion Scheme Phone Number: +91-141-2227899
• Rajasthan Investment Promotion Scheme Email Helpdesk: [email protected]
• Rajasthan Investment Promotion Scheme Contact Details