The Uttarakhand Self-Employment Scheme SCT is a welfare program launched by Social Welfare Department, Government of Uttarakhand. The objective of the scheme is to enhance self-employment, entrepreneurship and sustainable livelihoods of economically weaker families in Scheduled Castes (SC) and Scheduled Tribes (ST) that live below the poverty line (BPL).
Through this scheme, bank loans worth between ₹20,000 and ₹700,000 with a government subsidy and subsidy on low-interest margin funding can be received to start small businesses, agricultural projects or service based projects by the eligible beneficiaries.
The scheme is also very important in empowering the marginalised communities as it will allow them to earn their own finances and minimise unemployment.
Overview of the Scheme
| Name of the scheme | Uttarakhand Self-Employment Scheme for Scheduled Castes and Tribes |
| Launched by | Social Welfare Department, Government of Uttarakhand |
| Beneficiaries | Scheduled Castes and Scheduled Tribes (BPL families) |
| Objective | Promote self-employment and sustainable livelihood |
| Loan Amount | ₹20,000 to ₹7,00,000 |
| Subsidy | 50% of project cost or up to ₹10,000 |
| Margin Money | 25% of project cost at 4% annual interest |
| Application Mode | Offline |
| Selection Process | Gram Sabha (rural) / Interview (urban) |
Objective of the Scheme
The key aim of the scheme is to:
- Encourage self employment of SC and ST communities.
- Grant financial aid in subsidised loans.
- Reduce poverty and unemployment.
- Build small business and entrepreneurship.
- Improve economic sustainability and living standards of the poor families.
Financial Assistance and Benefits
1. Loan Support
Nationalised banks can provide project loans to eligible applicants:
- Minimum loan amount: ₹20,000
- Maximum loan amount: ₹7,00,000
- Available for agriculture, transport, service, and business sectors
2. Government Subsidy
The scheme offers direct financial subsidy:
- Subsidy amount: 50% of project cost
- Maximum subsidy limit: ₹10,000
Such subsidy eases the burden in repayment of the beneficiaries.
3. Margin Money Assistance
- Margin money support: 25% of project cost
- Interest rate: 4% per annum
This assists the applicants to handle start up investments at low-interest rates.
Eligible Business Activities
Beneficiaries are free to initiate a broad spectrum of income earning projects such as:
Agriculture and Allied Activities
- Poultry farming
- Goat rearing
- Beekeeping
- Biogas plants
- Fruit and flower production
Service Sector Businesses
- Automobile workshops
- Driving schools
- Beauty parlours
- Nursing homes
- Electrical goods repair shops
Small-Scale Manufacturing
- Candle making
- Brick making
- Leather goods manufacturing
- Carpet industry
- Furniture making
Retail and Commercial Activities
- General stores
- Sweet shops
- Bakeries
- Fast food shops
- Restaurants and dhabas
Transport Sector
- Auto-rickshaws
- Taxis
- Commercial vehicles
This extensive coverage will give the beneficiaries an opportunity to select ventures according to their capabilities and local demand.
Eligibility Criteria
In order to be eligible to the scheme, the applicants are required to satisfy the following conditions:
- Should be belonging to Scheduled Castes or Scheduled Tribes.
- Should be a resident of Uttarakhand.
- Should be below poverty line (BPL).
- The income should not exceed per annum:
- ₹15,975 in rural areas
- ₹21,206 in urban areas
- Must not be a bank defaulter
- Should not have been subsidized in any other governmental scheme.
- Should possess commercial driving licence (must have in transport related projects)
Documents Required
The following documents should be provided by the applicants:
- Passport-size photograph
- BPL Card
- Caste Certificate issued by Tehsildar
- Income Certificate issued by Tehsildar or BDO
- Bank account details
- Identity proof
- Address proof
- Any additional documents required by authorities
Application Process (Offline)
Follow these steps to apply:
Step 1: Download Application Form
Go to the official site of the Social Welfare Department, Uttarakhand and get the application form.
Step 2: Fill the Application Form
Give the correct information such as:
- Personal details
- Income details
- Business proposal
- Bank details
Attach all required self-attested documents.
Step 3: Submit the Application
Submit the completed form to any of the following officials:
- Village Development Officer (VDO)
- Assistant Social Welfare Officer
- Block Development Officer (BDO)
Selection Process
The selection process differs for rural and urban applicants:
Rural Areas
- Selection is conducted through Gram Sabha meetings
- Eligible applicants are shortlisted transparently
Urban Areas
- During the selection process, interviews conducted by the department are used to select the applicants.
Loan Interest Rate and Repayment
- The rate of interest on loans is charged by the respective bank.
- Interest rate charged on margin money: 4% per annum.
- Repayment terms differ in terms of project type and bank policies.
Important Features of the Scheme
- Encourages entrepreneurship among the underprivileged societies.
- Subsidizes in order to reduce financial burden.
- Gives loans at low interest rates.
- Covering several industries such as agriculture, transport and services.
- Transparent selection process through Gram Sabha and interviews
Frequently Asked Questions
Who can apply for this scheme?
Scheduled Castes and Scheduled Tribes are only eligible in Uttarakhand and only in case they are families that are below poverty line.
What subsidy is provided?
A subsidy of half of the cost of the project is given by the government up to a limit of ₹10000 rupees.
What is the loan amount available?
The loans will be between ₹20,000 and ₹700,000 depending on the project.
Is margin money provided?
Yes, margin of 25% of the project cost will be given at an interest of 4 per cent. per annum.
Can I apply online?
No, the application process is not online at the moment.
How are beneficiaries selected?
The selection is based on Gram Sabha meetings held in rural areas and interviews in urban areas.
Conclusion
The Uttarakhand Self-Employment Scheme to Scheduled Castes and Tribes is a great initiative to enable economically disadvantaged SC and ST families to establish their individual enterprises hence become financially independent. The scheme has provided huge subsidy in terms of financial barriers to entrepreneurship with loan assistance up to 7 lakh, government subsidy and low margin money through low interest.
All interested parties are welcome to apply at their local Block Development Office or human resources, department of social welfare and use this program to establish a sustainable livelihood.
