Megastar Foods Ltd Granted Exemption on Electricity Duty Worth Up To Rs. 88.68 Crores
Megastar Foods Limited has been granted a significant exemption from electricity duty by the Department of Industries & Commerce, Punjab. This subsidy is valid for up to 15 years and amounts to an aggregate of Rs. 88.68 Crores.The certificate grants Megastar Foods Ltd 100% exemption from payment of electricity duty. The benefit is applicable over a period of 15 years, starting from November 18, 2024, or up to 100% of FCI (Fixed Capital Investment) amounting to Rs. 8867.86 lakhs, whichever comes first.
The exemption was provided by the Department of Industries & Commerce in Punjab. The operational benefits are expected to reduce operating costs and improve profitability over the duration of the exemption period.
Details regarding the exemption granted by the authority are summarized below:
| Particulars | Details |
|---|---|
| Name of the Authority | Department of Industries & Commerce, Punjab |
| Nature of Action Taken | Certificate of Eligibility granting 100% exemption from payment of electricity duty for a period of 15 years. |
| Date of Receipt of Order | June 15, 2026 |
| Financial Impact | The company is entitled to a subsidy up to Rs. 88.68 Crores. |
In this context, the company clarified an inadvertent typographical error in a previous disclosure made on June 15, 2026. The prior intimation had erroneously stated the quantum of the proposed receivable subsidy as Rs. 881.86 Crores, whereas the correct amount is Rs. 88.68 Crores. This error occurred due to a typographical mistake in Annexure A and was made without any bad faith intention.
MEGASTAR Stock Price Movement
Shares of Megastar Foods Limited slipped today, settling at ₹315.3 after shedding 4.61% in post-market trading. The equity closed despite having previously reached its 52-week high of ₹335, with the stock turning down amidst a volume of 72,084 shares.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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