Fujiyama Power Systems Limited has entered into an agreement with UP Electronic Corporation Limited (UPLC) for an incentive disbursement totalling approximately ₹8.21 crore. This agreement falls under the UP Electronic Manufacturing Policy, 2020 (1st Amendment-2022), and pertains to the Phase-I implementation at the company’s Dadri Plant in Uttar Pradesh.
The incentive package is broken down into several components. A capital subsidy of ₹7.5 crore will be disbursed in five equal yearly instalments. Additionally, an interest subsidy of ₹29.61 lakh is provided at a rate of 5% per annum on the term loan, capped at ₹1 crore per year for a period of seven years. Furthermore, a reimbursement of 50% of the stamp duty paid, amounting to ₹16.47 lakh, is included. Lastly, the agreement covers a lease rental reimbursement of ₹25 lakh, which accounts for 25% of lease rental charges over a five-year period.
These incentives are subject to the terms and conditions outlined in the approval letter issued by UPLC. The agreement represents a significant financial boost to Fujiyama Power Systems‘ operations in Uttar Pradesh, facilitating further development and expansion of their manufacturing capabilities.
Disclaimer: This article is based on a regulatory filing submitted to the National Stock Exchange of India (NSE).
This article is written by Business Desk and reviewed by News Desk before publication.