Scheme offers Rs 15 mn to set up test labs

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The scheme has been brought in to strengthen the available testing infrastructure and expand the network of testing labs in the country to ensure electronic goods comply with notified standards

By EB Bureau

Monday, November 11, 2013: The Department of Electronics and IT (DeitY) has approved a scheme for the setting up or upgradation of testing laboratories in an effort to create testing capacity while introducing standards for electronic goods sold in the country. The scheme aims to strengthen the available testing infrastructure and to expand the network of test laboratories in India.

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Earlier, DeitY had introduced a scheme for the mandatory registration of 15 electronic product categories vide its Compulsory Registration Order promulgated in October 2012, which came into effect from July 2013. This has generated a huge demand for the testing of electronic products. Even higher demand is expected as new products get launched and the list of products that need to be mandatorily tested is getting expanded. In view of the shortage of testing labs in the country to cater to this huge demand, DeitY has brought in this scheme.

For the success of this initiative, there is a need to strengthen the available testing infrastructure and expand the network of test laboratories in the country to ensure electronic goods comply with notified standards. This is also needed to strengthen the cause of development and the mandating of standards in the country as envisaged under the National Policy on Electronics, 2012,” reads a notification dated August 25, 2013.

The other objectives of the scheme include:

  • To establish test facilities for evaluating compliance of goods to safety standards

  • To test the surveillance samples received from DeitY and other stakeholders on rates as decided by DeitY from time to time

  • To facilitate exporters to test their products

The scheme is expected to benefit all stakeholders, including the domestic industry, exporters, importers, entrepreneurs, small and medium enterprises, existing academic and research institutions, and electronic products standards setting bodies.

What the scheme provides

Initially, the scheme will provide support for 15 laboratories. The scheme offers grant-in-aid to Central, state and academic institutions to set up or upgrade test labs. DeitY will release up to Rs 15 million per lab. The assistance will be given for lab infrastructure, lab testing equipment and consultancy.

Central or state governments and their departments, organisations, universities, etc, will be eligible for grant-in-aid for the entire cost of laboratory equipment required for such labs. They would also be eligible for 25 per cent of the cost of basic supporting testing infrastructure (excluding the land and building cost), as well as the furniture and fixtures associated with the equipment.

In addition, they would be eligible for professional fees for setting up the labs, the cost of obtaining recognition, accreditation, calibration and consultancy charges, and the cost for follow up action as well as interim assessments by DeitY.

These testing facilities will be accessible to the public to test products in an independent manner. However, organisations that apply for grants under the scheme should preferably have experience in the area of testing electrical and electronic products. And only Indian institutions are eligible to apply under this scheme.

Release of funds

The grant-in-aid will be released in the following order:

  • The first instalment of 40 per cent of the total grant will be released subject to the condition that the project has been approved; and land and building requirements have been fulfilled

  • The second instalment of 40 per cent of the total grant will be released subject to the condition that the first instalment has been fully utilised. This will require submitting a utilisation certificate, and furnishing copies of purchase orders for the equipment, infrastructure or services intended to be procured with this instalment

  • The third and final instalment of 20 per cent of the grant will be released subject to the condition that the second instalment has been utilised and the utilisation certificate of the second instalment is also submitted. The project achieves completion when it obtains NABL accreditation/BIS recognition.

The implementation schedule for each project will be about 12 months (from the date the project is approved), which can be extended by the competent authority. This scheme will be open for applications for three years or till 15 entities are selected for the grant.

Implementation procedure

Proposals to avail financial assistance under this scheme should be sent to DeitY. These proposals will then be placed before the technology scrutiny committee (TSC) constituted by DeitY to examine these proposals. Thereafter, the proposals recommended by TSC that are complete in all respects will be placed before the duly constituted empowered committee for consideration and approval. The committee can reject a proposal on the grounds that the testing facility being set up is at a location where adequate infrastructure already exists.

DeitY will periodically monitor and review the progress of the scheme and issue guidelines.

For further details, please write to [email protected]

Electronics Bazaar, South Asia’s No.1 Electronics B2B magazine

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