Government Grants and Schemes for Agritech and Green Energy Startups in India (2026 Guide)
Agritech and green energy are two of the most heavily supported startup sectors in India, because both sit at the centre of national policy. Agritech founders have a dedicated grant in RKVY-RAFTAAR (up to Rs 5 lakh pre-seed, up to Rs 25 lakh seed, through agribusiness incubators). Green energy founders can tap the National Green Hydrogen Mission startup programme (Rs 100 crore, with Rs 22 crore already approved for nine startups), the PLI scheme for solar (about Rs 19,500 crore), and PM-KUSUM for farm solar. Underneath both sits the same foundational stack every DPIIT-recognised startup uses: the Seed Fund Scheme, the Credit Guarantee Scheme, and Section 80-IAC.
If your startup grows food or generates clean power, the government is an unusually active backer. Agriculture supports the largest share of India's workforce, and the energy transition is a stated national priority, so both sectors receive targeted grants that generic startups never see. The catch is that these sector schemes sit on top of a base layer most founders must set up first. This guide covers both, with current figures, and the order to approach them.
Why Agritech and Clean Energy Get Dedicated Support
Sector-specific schemes exist where the government wants to steer private innovation toward a public goal. Agriculture and clean energy are the two clearest examples. Agritech support is routed through a network of incubators tied to agricultural universities, so the money comes with domain mentorship. Clean energy support is routed through mission-mode programmes and manufacturing incentives, because the goal is not just startups but building domestic supply chains. Knowing which channel funds your kind of company is half the work.
Agritech: RKVY-RAFTAAR and the Incubator Route
The flagship agritech grant is delivered under RKVY-RAFTAAR (Rashtriya Krishi Vikas Yojana), through RKVY-RAFTAAR Agribusiness Incubators, known as R-ABIs. These incubators, hosted largely at agricultural universities and institutes, both mentor and fund agri-startups.
| Stage | Grant | Details |
|---|---|---|
| Idea / Pre-Seed | Up to Rs 5 lakh | Up to 90% of project cost, for validating an early agri idea |
| Seed Stage | Up to Rs 25 lakh | For startups with an MVP in agriculture and allied sectors |
Seed funding is available to startups incubated at an R-ABI, and the grant is released in three installments: 40% after the agreement is signed, 40% on achieving milestones, and 20% on completion. The scheme's purpose is explicitly to build an agripreneurship ecosystem, so selection favours ideas that strengthen the agriculture and allied value chain, from farm inputs to post-harvest and market linkage.
Beyond RKVY-RAFTAAR, agritech founders should track NABARD-linked funding and state agri-startup programmes, which vary by state and are often layered on top of the central grant.
Green Energy: The National Green Hydrogen Mission
The single largest clean-energy commitment relevant to startups is the National Green Hydrogen Mission, with a total outlay of Rs 19,744 crore for 2023 to 2030. For founders, the most direct hook is its Rs 100 crore startup support programme. The government approved the first batch of Rs 22 crore for nine startups, a signal that the mission is actively funding early companies, not only large manufacturers.
The mission's core is the SIGHT programme (Strategic Interventions for Green Hydrogen Transition), which incentivises domestic electrolyser manufacturing and green hydrogen production. There is also Rs 400 crore for research, development, and pilot projects across steel, shipping, and heavy transport. If your startup builds electrolysers, hydrogen storage, or green-hydrogen applications, this is the mission to engage with early.
Green Energy: Solar PLI, PM-KUSUM, and Financing
For solar, the Production Linked Incentive (PLI) scheme for high-efficiency solar modules, worth about Rs 19,500 crore, rewards domestic manufacturing across the value chain from polysilicon and wafers to finished modules. It is aimed at manufacturers rather than software startups, but a hardware or cleantech startup building toward manufacturing scale should map its roadmap against it.
PM-KUSUM is where agritech and green energy meet. It supports solarisation of agriculture through standalone and grid-connected solar pumps and decentralised solar plants, targeting roughly 34,800 MW of capacity, and a Phase II with expanded components is expected in 2026. For a startup building solar irrigation, farm-energy, or cold-chain solutions, PM-KUSUM creates both demand and subsidy.
On the financing side, IREDA (the Indian Renewable Energy Development Agency) and SIDBI provide dedicated renewable-energy and energy-efficiency lending. Pairing a subsidy or grant with an IREDA or SIDBI loan is how many clean-energy ventures fund capital-heavy build-outs.
The Common Foundational Stack
Sector grants sit on top of a base layer that any startup, agritech or clean energy, should set up first. These are the same schemes every DPIIT-recognised company can use, and they often matter more than the sector grant because they unlock larger capital.
DPIIT recognition is the gateway to the Seed Fund Scheme, the Credit Guarantee Scheme, and the 80-IAC tax holiday. Get DPIIT recognition with Naraway
The Startup India Seed Fund Scheme gives up to Rs 20 lakh for proof of concept and up to Rs 50 lakh for market entry, useful when a sector incubator grant alone is not enough. See how the Seed Fund Scheme works
The Credit Guarantee Scheme for Startups enables collateral-free loans, guaranteed up to Rs 20 crore per borrower after the 2025 expansion, which suits the capital-heavy nature of clean-energy and agri-infrastructure builds. And Section 80-IAC gives a 100% income tax holiday for three profitable years. Claim the 80-IAC tax holiday
How to Sequence These by Stage
- Incorporate and get DPIIT recognition. The base that unlocks the central stack.
- Agritech, idea to MVP: apply to an R-ABI for RKVY-RAFTAAR pre-seed (up to Rs 5 lakh), then seed (up to Rs 25 lakh).
- Green energy, early product: engage the National Green Hydrogen Mission startup programme or map your roadmap to the solar PLI, alongside the Seed Fund Scheme.
- Deployment and demand: use PM-KUSUM if you touch farm energy, and IREDA or SIDBI financing for capital build-outs.
- Scaling and profit: CGSS-backed debt for growth, then elect your Section 80-IAC three-year tax holiday.
The applications, incubator selection, and compliance are where founders stall. Naraway maps the right schemes to your sector and stage and runs the applications so you can stay focused on the product.
Frequently Asked Questions
What government grants are available for agritech startups in India?
The main agritech grant is RKVY-RAFTAAR, through agribusiness incubators (R-ABIs): up to Rs 5 lakh at idea or pre-seed stage (up to 90% of project cost) and up to Rs 25 lakh at seed stage, released in installments of 40%, 40%, and 20%. Agritech startups can also use the Seed Fund Scheme, CGSS, and the 80-IAC tax holiday.
What schemes support green energy and cleantech startups in India?
The National Green Hydrogen Mission runs a Rs 100 crore startup support programme, with Rs 22 crore approved for the first nine startups. Solar startups can access the roughly Rs 19,500 crore PLI scheme for high-efficiency modules and PM-KUSUM for farm solar, while IREDA and SIDBI provide renewable-energy financing.
What is RKVY-RAFTAAR for agri startups?
RKVY-RAFTAAR is a central scheme to build an agripreneurship ecosystem. Startups are incubated at RKVY-RAFTAAR Agribusiness Incubators (R-ABIs), which provide grant-in-aid of up to Rs 5 lakh at pre-seed and up to Rs 25 lakh at seed stage for viable products in agriculture and allied sectors.
What is the National Green Hydrogen Mission startup support?
The mission, with a Rs 19,744 crore outlay for 2023 to 2030, includes a Rs 100 crore startup support programme; the first batch of Rs 22 crore was approved for nine startups. Its SIGHT component funds electrolyser manufacturing and green hydrogen production, with Rs 400 crore for R&D and pilots.
Does PM-KUSUM help agritech or green energy startups?
Both. PM-KUSUM supports solarisation of agriculture through solar pumps and decentralised solar plants, targeting about 34,800 MW. For startups building solar irrigation, cold storage, or farm-energy solutions it creates demand and subsidy, and a Phase II with expanded components is expected in 2026.
Sources and Verification
Figures in this guide are drawn from official and public sources, current as of August 2026:
- MNRE, National Green Hydrogen Mission
- Business Standard, Rs 22 crore startup aid under the Green Hydrogen Mission
- IBEF, PM-KUSUM Yojana
- MNRE, PLI for High Efficiency Solar PV Modules
- Startup India, Playbook of Government Schemes for Startups (June 2026)
Scheme parameters change with government notifications. Confirm current figures and eligibility before applying, or ask our team to verify them for your case.