The Association of Indian Forging Industry (AIFI) has recently signed a significant Memorandum of Understanding (MoU) with the Bureau of Energy Efficiency (BEE), under the Ministry of Power, Government of India. The partnership, focused on sustainable manufacturing, aims to accelerate the adoption of energy-efficient technologies among micro, small, and medium enterprises (MSMEs) under the ADEETIE scheme.
The ADEETIE (Accelerating Demand for Energy Efficiency in Targeted Industries through Energy Efficiency) scheme provides both financial and technical support to MSMEs across 14 energy-intensive sectors, including forging. The initiative is designed to promote cleaner and more cost-effective production, offering benefits such as energy audits, project implementation assistance, and post-deployment monitoring.
A total budget of Rs 1,000 crore will facilitate investments of over Rs 9,000 crore, with interest subvention rates of 5% for micro and small enterprises and 3% for medium enterprises.
“A Step Towards Cleaner Growth”
Highlighting the importance of the collaboration, Yash Munot, President of AIFI, said,
“This collaboration with the Bureau of Energy Efficiency marks a significant step forward for the Indian forging industry. As one of the most energy-intensive sectors, forging stands to benefit immensely from the structured support offered under the ADEETIE scheme. AIFI is committed to mobilising our members to contribute meaningfully to India’s broader sustainability and industrial growth goals.”
Addressing Energy Barriers in Forging
The forging sector, which plays a crucial role in automotive, defence, and heavy engineering industries, has long faced challenges in adopting cleaner technologies due to high costs and structural barriers. Through the ADEETIE scheme, financial incentives and expert guidance will help break these barriers.
Deven Doshi, Chairman – Government Interface, AIFI, noted,
“Energy efficiency is very essential for forging companies, but the MSME sector often faces structural barriers in adopting cleaner and more efficient technologies. This collaboration not only ensures sectoral compliance but also paves the way for long-term industrial modernisation.”
With this partnership, AIFI and BEE are set to accelerate the forging sector’s transition towards sustainable growth, aligning with India’s broader energy efficiency and environmental goals.
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