Government Policies and Schemes Supporting Eco-preneurs: A Contemporary Perspective

Abstract

Introduction: The increasing global focus on sustainability, environmental conservation, and climate change mitigation has amplified the role of eco-preneurship in driving both environmental and economic progress. Eco-preneurship, a subset of social entrepreneurship, focuses on creating business solutions that are environmentally sustainable while achieving economic success. In India, a variety of government policies and schemes have been introduced to support eco-preneurs, individuals who create businesses that prioritize ecological and social benefits.

Methodology: This article reviews the latest government initiatives supporting eco-preneurs in India, focusing on schemes aimed at promoting green technologies, providing financial assistance, fostering innovation, and ensuring a conducive business environment for sustainable entrepreneurship. Seven key policies and schemes are examined in turn: the Startup India Scheme, the Pradhan Mantri Mudra Yojana, the Atal Innovation Mission, the National Electric Mobility Mission Plan, the Swachh Bharat Mission, the Production Linked Incentive Scheme for Green Hydrogen, and the National Mission on Sustainable Agriculture. For each, the study sets out the administering ministry, the objectives, and the specific benefits offered to eco-preneurs. The paper then reviews the challenges faced by eco-preneurs and evaluates the effectiveness of these policies and their impact on the green economy.

Results & Discussion: The Startup India initiative, launched in 2016, provides a three-year tax exemption on profits for eligible start-ups, a simplified process for business registration and licensing, and financial support and mentoring through government-backed funds and accelerators. The Pradhan Mantri Mudra Yojana offers loans up to INR 10 lakh without the need for collateral, particularly for eco-preneurs in rural areas. The Atal Innovation Mission under NITI Aayog runs Atal Incubation Centres to nurture and mentor eco-preneurs. The National Electric Mobility Mission Plan promotes electric vehicle adoption, charging infrastructure and manufacturing. The Swachh Bharat Mission provides opportunities in waste recycling and waste-to-energy. The PLI scheme for green hydrogen promotes decarbonisation of energy-intensive industries such as steel and chemicals, while the National Mission on Sustainable Agriculture supports organic farming, water conservation and climate-resilient techniques. Three persistent challenges are identified: access to capital, awareness and market readiness, and regulatory bottlenecks.

Conclusion: The Government of India's various policies and schemes provide a supportive ecosystem for eco-preneurs, creating financial, technological, and regulatory incentives to encourage sustainable entrepreneurship. These policies have made significant strides in supporting eco-preneurs by providing financial, regulatory and infrastructural assistance. While challenges like capital access and market resistance persist, the future looks promising for eco-preneurs, especially with initiatives such as the PLI scheme for green hydrogen, Startup India, and the NEMMP. A concerted effort to further streamline regulatory processes and enhance awareness about the long-term benefits of sustainability could lead to a robust green economy and the growth of eco-preneurship in India.