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Incentive Scheme for Establishment of New Super Specialty Hospital in Private Sector
Health & Family Welfare Department
Last updated:
Overview
The scheme offers financial incentives (capital subsidy, interest subvention, and electricity duty reimbursement) to private/NGO entities establishing new super specialty hospitals (50+ beds) in Gujarat, targeting underserved areas.
Details
Description
Launched on 13th December 2016, the "Incentive Scheme for Establishment of New Super Specialty Hospital in Private Sector" by the Health & Family Welfare Department, Government of Gujarat, aims to address the shortage of high-end medical facilities in remote areas by incentivizing private and non-governmental organizations to establish super specialty hospitals. The scheme provides 10% capital subsidy on medical equipment loans up to ₹10 crore , 4% interest subvention max ₹40 crore loan for 7 years, and reimbursement of electricity duty for 5 years. Eligible entities include registered doctors, firms, trusts, and corporations.
Exclusions
• Excludes Government/Semi-Government Bodies.
• <br>
Benefits
• 10% of bank loans for medical equipment (max ₹10 crore).
• Disbursed post-hospital operationalization.
• 4% interest relief on loans up to ₹40 crore for 7 years.
• Paid in 6 annual installments after a 1-year grace period.
• 100% reimbursement for 5 years (quarterly claims).
• Mandates hiring qualified medical/paramedical staff.
• Capital Subsidy: After Equipment Installation and Hospital Launch.
• Interest Subvention: Annual Installments Post 1-Year Grace Period.
• Electricity Reimbursement: Quarterly Claims.
Eligibility Criteria
1. > **The Following Entities Are Eligible**
2. - Registered Doctors (Gujarat Medical Council).
3. - Partnership Firms, Companies, Trusts, Societies, Cooperatives.
4. > **Hospital Requirements**
5. - 50+ Total Beds,including 10+ Super Specialty Beds.
6. - Covers Specialties Like Cardiology, Neurology, Oncology, etc. (List Expandable by Government).
7. > **Loan Conditions**
8. - Only Loans for Construction/Equipment (Excludes Land/Working Capital).
9. <br>
Application Process
Step 1: Step 1: The interested applicant should take a printout of the prescribed format of the application form.
Offline
Step 1: The interested applicant should take a printout of the prescribed format of the application form.
Step 2: Step 2: In the application form, fill in all the mandatory fields, and attach copies of all the mandatory documents (self-attest, if required).
Offline
Step 2: In the application form, fill in all the mandatory fields, and attach copies of all the mandatory documents (self-attest, if required).
Step 3: Step 3: Submit the duly filled and signed application form along with the documents, within the prescribed period (if any), to - Commissioner, Health & Medical Education, Dr. Jivraj Mehta Bhavan, Gandhinagar. Pay ₹20,000/- scrutiny fee via Demand …
Offline
Step 3: Submit the duly filled and signed application form along with the documents, within the prescribed period (if any), to - Commissioner, Health & Medical Education, Dr. Jivraj Mehta Bhavan, Gandhinagar. Pay ₹20,000/- scrutiny fee via Demand Draft.
Step 4: Step 4: Request a receipt or acknowledgement from the concerned authority to whom the application has been submitted. Ensure that the receipt contains essential details such as the date of submission.
Offline
Approval & Verification
State-Level Committee scrutinizes applications.
Technical Group conducts physical inspections.
Compliance
Submit quarterly utilization reports.
Maintain services for 7 years (penalty: repayment if violated).
Required Documents
• ₹20,000/- Scrutiny Fee (Demand Draft).
• Bank Loan Sanction Letter (for Construction/equipment).
• Property Documents (if Applicable).
• Deed of Undertaking (₹100/- Stamp Paper) Committing to:
• 7-year Operational Continuity.
• Compliance With Staffing and Service Norms.
• Electricity Bills (for Duty Reimbursement).
Frequently Asked Questions
Q: Which specific medical specialties are covered under this super specialty hospital scheme's definition?
A: **Benefits include:**
100% reimbursement of electricity duty.
Quarterly reimbursement payments.
Duration of 5 years from hospital commencement.
Separate notification for claim procedures.
<br>
Q: What are the minimum infrastructure requirements that a hospital must meet to qualify as a super specialty facility under this scheme?
A: **To qualify, hospitals must have:**
- Minimum 10 dedicated beds for super specialty care.
- Total bed strength of at least 50 beds.
- Proper infrastructure for diagnosis and treatment in at least one recognized super specialty.
<br>
Q: What types of financial assistance are available under this scheme for establishing new super specialty hospitals?
A: **The scheme offers three forms of financial support:**
- 10% capital subsidy on bank loans for medical equipment (max ₹10 crore).
- 4% interest subvention on authorized loans (max ₹40 crore loan) for 7 years.
- Full reimbursement of electricity duty for 5 years.
<br>
Q: What are the key eligibility criteria for private healthcare providers to avail benefits under this scheme?
A: **Eligible applicants must be:**
- Doctors registered with Gujarat Medical Council.
- Registered partnership firms/institutions.
- Companies, charitable trusts, societies or cooperative institutions.
- Entities establishing completely new facilities (existing hospitals are ineligible).
<br>
Q: Which expenses are covered and excluded under the bank loan assistance component of this scheme?
A: **Covered expenses:**
- Construction loans for new hospital buildings.
- Loans for medical equipment purchase.
**Excluded expenses:**
- Land acquisition costs.
- Working capital.
- Furniture/air conditioners.
- Maintenance/repair costs.
<br>
Q: What are the mandatory operational commitments that beneficiaries must adhere to under this scheme?
A: **Key requirements include:**
- Maintaining super specialty services for minimum 7 years.
- Not relocating purchased medical equipment.
- Hiring qualified medical/paramedical staff.
- Joining the MA/MA Vatsalya Scheme.
- Complying with all healthcare regulations.
<br>
Q: How does the interest subvention component of this scheme work for eligible hospitals?
A: **The scheme provides:**
- 4% interest relief on approved bank loans.
- Maximum loan ceiling of ₹40 crore.
- Subvention paid annually for 7 years (first payment after 1 year of operation).
- Total of 7 installment payments.
<br>
Q: What is the application process and timeline for availing benefits under this super specialty hospital scheme?
A: **Applicants must:**
- Submit proposal with ₹20,000 scrutiny fee via demand draft.
- Get registration approval from Commissioner of Health.
- Begin hospital operations before 31/3/2022.
- Post-commencement, apply for financial assistance.
- Undergo technical committee verification.
<br>
Q: What are the key conditions regarding electricity duty reimbursement under this scheme?
A: **Benefits include:**
- 100% reimbursement of electricity duty.
- Quarterly reimbursement payments.
- Duration of 5 years from hospital commencement.
- Separate notification for claim procedures.
<br>
Q: What legal obligations and undertakings must beneficiaries comply with under this scheme?
A: **Mandatory requirements:**
- Submit ₹100 stamp paper undertaking
- Maintain hospital for minimum 7 years
- Not avail similar state government subsidies
- Return all assistance if conditions are violated
- Allow periodic inspections by authorities
<br>
Q: How does the scheme prevent double-dipping or misuse of government incentives?
A: **Safeguards include:**
- One-time assistance only.
- Exclusion if similar benefits received.
- Bar on equipment subsidy duplication.
- Mandatory 7-year operational commitment.
- Recovery provisions for violations.
<br>
Q: What is the composition and role of the State Level Committee that oversees this scheme?
A: **The committee comprises:**
- Health Commissioner (Chairman).
- Finance Department representative.
- Medical education experts.
- Hospital administrators.
- Technical subject experts.
- Roles include proposal scrutiny, assistance sanctioning, and monitoring compliance.
<br>
Launched on 13th December 2016, the "Incentive Scheme for Establishment of New Super Specialty Hospital in Private Sector" by the Health & Family Welfare Department, Government of Gujarat, aims to address the shortage of high-end medical facilities in remote areas by incentivizing private and non-governmental organizations to establish super specialty hospitals. The scheme provides 10% capital subsidy on medical equipment loans up to ₹10 crore , 4% interest subvention max ₹40 crore loan for 7 years, and reimbursement of electricity duty for 5 years. Eligible entities include registered doctors, firms, trusts, and corporations.
Exclusions
• Excludes Government/Semi-Government Bodies.
• <br>
Benefits
• 10% of bank loans for medical equipment (max ₹10 crore).
• Disbursed post-hospital operationalization.
• 4% interest relief on loans up to ₹40 crore for 7 years.
• Paid in 6 annual installments after a 1-year grace period.
• 100% reimbursement for 5 years (quarterly claims).
• Mandates hiring qualified medical/paramedical staff.
• Capital Subsidy: After Equipment Installation and Hospital Launch.
• Interest Subvention: Annual Installments Post 1-Year Grace Period.
• Electricity Reimbursement: Quarterly Claims.
Eligibility Criteria
1. > **The Following Entities Are Eligible**
2. - Registered Doctors (Gujarat Medical Council).
3. - Partnership Firms, Companies, Trusts, Societies, Cooperatives.
4. > **Hospital Requirements**
5. - 50+ Total Beds,including 10+ Super Specialty Beds.
6. - Covers Specialties Like Cardiology, Neurology, Oncology, etc. (List Expandable by Government).
7. > **Loan Conditions**
8. - Only Loans for Construction/Equipment (Excludes Land/Working Capital).
9. <br>
Application Process
Step 1: Step 1: The interested applicant should take a printout of the prescribed format of the application form.
Offline
Step 1: The interested applicant should take a printout of the prescribed format of the application form.
Step 2: Step 2: In the application form, fill in all the mandatory fields, and attach copies of all the mandatory documents (self-attest, if required).
Offline
Step 2: In the application form, fill in all the mandatory fields, and attach copies of all the mandatory documents (self-attest, if required).
Step 3: Step 3: Submit the duly filled and signed application form along with the documents, within the prescribed period (if any), to - Commissioner, Health & Medical Education, Dr. Jivraj Mehta Bhavan, Gandhinagar. Pay ₹20,000/- scrutiny fee via Demand …
Offline
Step 3: Submit the duly filled and signed application form along with the documents, within the prescribed period (if any), to - Commissioner, Health & Medical Education, Dr. Jivraj Mehta Bhavan, Gandhinagar. Pay ₹20,000/- scrutiny fee via Demand Draft.
Step 4: Step 4: Request a receipt or acknowledgement from the concerned authority to whom the application has been submitted. Ensure that the receipt contains essential details such as the date of submission.
Offline
Approval & Verification
State-Level Committee scrutinizes applications.
Technical Group conducts physical inspections.
Compliance
Submit quarterly utilization reports.
Maintain services for 7 years (penalty: repayment if violated).
Required Documents
• ₹20,000/- Scrutiny Fee (Demand Draft).
• Bank Loan Sanction Letter (for Construction/equipment).
• Property Documents (if Applicable).
• Deed of Undertaking (₹100/- Stamp Paper) Committing to:
• 7-year Operational Continuity.
• Compliance With Staffing and Service Norms.
• Electricity Bills (for Duty Reimbursement).
Frequently Asked Questions
Q: Which specific medical specialties are covered under this super specialty hospital scheme's definition?
A: **Benefits include:**
100% reimbursement of electricity duty.
Quarterly reimbursement payments.
Duration of 5 years from hospital commencement.
Separate notification for claim procedures.
<br>
Q: What are the minimum infrastructure requirements that a hospital must meet to qualify as a super specialty facility under this scheme?
A: **To qualify, hospitals must have:**
- Minimum 10 dedicated beds for super specialty care.
- Total bed strength of at least 50 beds.
- Proper infrastructure for diagnosis and treatment in at least one recognized super specialty.
<br>
Q: What types of financial assistance are available under this scheme for establishing new super specialty hospitals?
A: **The scheme offers three forms of financial support:**
- 10% capital subsidy on bank loans for medical equipment (max ₹10 crore).
- 4% interest subvention on authorized loans (max ₹40 crore loan) for 7 years.
- Full reimbursement of electricity duty for 5 years.
<br>
Q: What are the key eligibility criteria for private healthcare providers to avail benefits under this scheme?
A: **Eligible applicants must be:**
- Doctors registered with Gujarat Medical Council.
- Registered partnership firms/institutions.
- Companies, charitable trusts, societies or cooperative institutions.
- Entities establishing completely new facilities (existing hospitals are ineligible).
<br>
Q: Which expenses are covered and excluded under the bank loan assistance component of this scheme?
A: **Covered expenses:**
- Construction loans for new hospital buildings.
- Loans for medical equipment purchase.
**Excluded expenses:**
- Land acquisition costs.
- Working capital.
- Furniture/air conditioners.
- Maintenance/repair costs.
<br>
Q: What are the mandatory operational commitments that beneficiaries must adhere to under this scheme?
A: **Key requirements include:**
- Maintaining super specialty services for minimum 7 years.
- Not relocating purchased medical equipment.
- Hiring qualified medical/paramedical staff.
- Joining the MA/MA Vatsalya Scheme.
- Complying with all healthcare regulations.
<br>
Q: How does the interest subvention component of this scheme work for eligible hospitals?
A: **The scheme provides:**
- 4% interest relief on approved bank loans.
- Maximum loan ceiling of ₹40 crore.
- Subvention paid annually for 7 years (first payment after 1 year of operation).
- Total of 7 installment payments.
<br>
Q: What is the application process and timeline for availing benefits under this super specialty hospital scheme?
A: **Applicants must:**
- Submit proposal with ₹20,000 scrutiny fee via demand draft.
- Get registration approval from Commissioner of Health.
- Begin hospital operations before 31/3/2022.
- Post-commencement, apply for financial assistance.
- Undergo technical committee verification.
<br>
Q: What are the key conditions regarding electricity duty reimbursement under this scheme?
A: **Benefits include:**
- 100% reimbursement of electricity duty.
- Quarterly reimbursement payments.
- Duration of 5 years from hospital commencement.
- Separate notification for claim procedures.
<br>
Q: What legal obligations and undertakings must beneficiaries comply with under this scheme?
A: **Mandatory requirements:**
- Submit ₹100 stamp paper undertaking
- Maintain hospital for minimum 7 years
- Not avail similar state government subsidies
- Return all assistance if conditions are violated
- Allow periodic inspections by authorities
<br>
Q: How does the scheme prevent double-dipping or misuse of government incentives?
A: **Safeguards include:**
- One-time assistance only.
- Exclusion if similar benefits received.
- Bar on equipment subsidy duplication.
- Mandatory 7-year operational commitment.
- Recovery provisions for violations.
<br>
Q: What is the composition and role of the State Level Committee that oversees this scheme?
A: **The committee comprises:**
- Health Commissioner (Chairman).
- Finance Department representative.
- Medical education experts.
- Hospital administrators.
- Technical subject experts.
- Roles include proposal scrutiny, assistance sanctioning, and monitoring compliance.
<br>
Eligibility Criteria
1
> **The Following Entities Are Eligible**
2
- Registered Doctors (Gujarat Medical Council).
3
- Partnership Firms, Companies, Trusts, Societies, Cooperatives.
4
> **Hospital Requirements**
5
- 50+ Total Beds,including 10+ Super Specialty Beds.
6
- Covers Specialties Like Cardiology, Neurology, Oncology, etc. (List Expandable by Government).
7
> **Loan Conditions**
8
- Only Loans for Construction/Equipment (Excludes Land/Working Capital).
9
<br>
Benefits
10% of bank loans for medical equipment (max ₹10 crore).
Disbursed post-hospital operationalization.
4% interest relief on loans up to ₹40 crore for 7 years.
Paid in 6 annual installments after a 1-year grace period.
100% reimbursement for 5 years (quarterly claims).
Mandates hiring qualified medical/paramedical staff.
Capital Subsidy: After Equipment Installation and Hospital Launch.
Interest Subvention: Annual Installments Post 1-Year Grace Period.
Electricity Reimbursement: Quarterly Claims.
Required Documents
| # | Document |
|---|---|
| 1 | ₹20,000/- Scrutiny Fee (Demand Draft). |
| 2 | Bank Loan Sanction Letter (for Construction/equipment). |
| 3 | Property Documents (if Applicable). |
| 4 | Deed of Undertaking (₹100/- Stamp Paper) Committing to: |
| 5 | 7-year Operational Continuity. |
| 6 | Compliance With Staffing and Service Norms. |
| 7 | Electricity Bills (for Duty Reimbursement). |
How to Apply
1
Step 1: The interested applicant should take a printout of the prescribed format of the application form.
Offline Step 1: The interested applicant should take a printout of the prescribed format of the application form.
2
Step 2: In the application form, fill in all the mandatory fields, and attach copies of all the mandatory documents (self-attest, if required).
Offline Step 2: In the application form, fill in all the mandatory fields, and attach copies of all the mandatory documents (self-attest, if required).
3
Step 3: Submit the duly filled and signed application form along with the documents, within the prescribed period (if any), to - Commissioner, Health & Medical Education, Dr. Jivraj Mehta Bhavan, Gandhinagar. Pay ₹20,000/- scrutiny fee via Demand …
Offline Step 3: Submit the duly filled and signed application form along with the documents, within the prescribed period (if any), to - Commissioner, Health & Medical Education, Dr. Jivraj Mehta Bhavan, Gandhinagar. Pay ₹20,000/- scrutiny fee via Demand Draft.
4
Step 4: Request a receipt or acknowledgement from the concerned authority to whom the application has been submitted. Ensure that the receipt contains essential details such as the date of submission.
Offline Approval & Verification State-Level Committee scrutinizes applications. Technical Group conducts physical inspections. Compliance Submit quarterly utilization reports. Maintain services for 7 years (penalty: repayment if violated).
Frequently Asked Questions
**Benefits include:** 100% reimbursement of electricity duty. Quarterly reimbursement payments. Duration of 5 years from hospital commencement. Separate notification for claim procedures. <br>
Sources and references
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