Prime Tourism Vehicle Scheme

PRIME Tourism Vehicle Scheme is a component under the CM-ELEVATE Program launched by the Government of Meghalaya which aims to employ, engage, and empower the youth of Meghalaya by promoting entrepreneurship and by providing easy access to credit through onboarding of various banks as financial partners of the program. To minimize the risks associated with the credit flow, Government is providing front end subsidy in the form of down-payment and backend subsidy in the form of EMI co-payment.

Through this program, the entrepreneurs including individuals, collectives, village organizations, various business entities and traditional institutions etc. will have easy access to various schemes on a single online portal. The program encompasses a number of sectors such as agriculture, horticulture, veterinary and animal husbandry, tourism, entertainment, sports, wellness, and any business venture of economic interest for the people of the state.

Download the scheme guidelines

Scheme Details

About

Meghalaya’s tourism is attributed to its unique natural beauty, magnificent landscapes, pleasant weather, and indigenous culture. Considering that the state is gaining prominence as a favorable tourist destination, the government has identified tourism as one of the major driving sectors of economic growth. The footfalls have grown steadily over the last decade and are once again witnessing a resurgence post the COVID pandemic. In 2019, the tourist footfall in the state was about 12.7 lakhs and is estimated that the annual tourist footfall will cross 15 lakhs by 2024. 

Various government led initiatives in the tourism sector such as ongoing development of infrastructure, enhancing accessibility, and government-led promotional efforts are playing significant role in elevating Meghalaya’s image as tourism as sought-after tourist spot. One such initiative is the “Prime Tourism Vehicle Scheme” which was designed keeping in view to increase footfall of high value tourists in the state by mitigating the gap of lack of options for tourists to travel comfortably. Through the scheme the government has provided financial aid to 47 beneficiaries to buy 8-seater multi utility vehicles along with capacity building training for the operators and drivers at a total investment of 5.96 crores. Under this scheme, 50% of the price of the vehicle, including the total interest charged by the bank on the bank loan, as financial aid in the form of 45% as upfront capital subsidy and 5% as EMI co-payment operational subsidy, was provided to entrepreneurs.

Apart from the conventional tourism, Meghalaya also has immense potential in adventure tourism which includes activities such as caving, rock climbing, paragliding, zip lining, kayaking, river rafting, trekking etc. Over the years the state has become a preferred destination for activities like caving, rafting, kayaking among the adventure seekers from across the globe. Keeping this in view the state government intends to promote adventure tourism in the state together with conventional tourism. However, based on the discussions with various stakeholders associated with adventure tourism, it was understood that infrastructural gap especially with the transportation of tourists and adventure gears in the last mile is a major barrier to the growth of adventure tourism in Meghalaya. 

Therefore, to promote adventure tourism and to further strengthen the fleet of luxury vehicles in the state, the government has decided to launch of the second phase of the Prime tourism vehicle scheme. Through this scheme, government intends to support the entrepreneurs to buy vehicles from range of choices which includes 8-seater to 17-seater luxury passenger vehicles and vehicles with off roading capability as well as additional support such as capacity building training.

Objectives of the scheme

  • Economic growth of the state:

PRIME tourism vehicle is envisaged to bring economic growth to the state through encouraging youths to engage in economic generation activities in tourism and other sectors which are indirectly connected to tourism such as agriculture, handicrafts, food, and hospitality industry etc. Tourism brings revenue to the state through spendings by tourists on food, accommodation, transportation and buying locally produced products as souvenirs etc.

  • Increase entrepreneurship:

Along with the entrepreneurship being promoted in tourism transportation sector through the scheme, overall development of the sector will encourage small businesses such as restaurants, souvenir shops and entertainment.

  • Increase availability of tourist vehicles in the state

The increase in the number of options for the vehicle will be ensured through introduction of the scheme.

  • Promote adventure tourism in the state

By providing solutions to infrastructural gap related to transportation of adventure tourists and gears to the remote locations, the scheme is envisaged to promote adventure tourism in the state.

  • Training to the drivers

To provide tourists with well-trained and well-equipped drivers who can also act as their tourist guide

  • Create livelihood opportunities.

Boosting tourism in the state will create jobs in variety of sectors such as hospitality, transportation, restaurants, and entertainment. This can reduce unemployment and stimulate local economics.

Scheme 50% financial aid on the on-road cost of the vehicle to selected entrepreneurs involved in the tourism sector and additional support such as trainings and capacity building programs.
Who can apply?
  1. Individual entrepreneurs from Meghalaya
  2. Any registered entities from Meghalaya such as tour operators/travel agents/tourist transport operatorsetc. registered as well as recognized with Department of Tourism, Government of Meghalaya.
  3. Any unregistered but recognized entities such as SHGs, Village Organizations, traditional institutions etc. involved with tourism sector.

Applications shall not be ordinarily considered for the following

  1. Following individuals (currently employed as full-fledged or contractual, or retired and drawing pension) and their Immediate family members which includes spouse, parents, and children up to the age of 30
    1. state and central Government employees
    2. employees of public sector undertakings, subsidiaries of public sector undertakings and divisions of public sector undertakings etc.
    3. any individual whose job is concerned with politics such MLAs, MLCs, MPs etc. or seeking to hold a similar position in government
    4. registered class-1 contractors
    5. consultants who are currently engaged with state or central government
  2. Only one member from a family is eligible for the scheme.
  3. Pressure groups and organizations that are primarily political in nature.
Nodal Department for the CM’s Elevate Program Planning, Investment Promotion & Sustainable Development Department
Nodal Department for the scheme Tourism Department
Financial Aid Government of Meghalaya
Partner banks for credit support

1.    Meghalaya Rural Bank (MRB)

2.    The Meghalaya Co-Operative Apex Bank Ltd (MCAB)

3.    State Bank of India (SBI)

4.    HDFC Bank

5.    Northeast Small Finance Bank

6.    The Shillong Co-operative Urban Bank Ltd.

Vehicle models offered under the scheme:

Based on the various requirements in the tourism sector, the following types of vehicles have been offered for the entrepreneurs to buy.

  1. The entrepreneurs can opt for any vehicle from the list based on their need. 
  2. However, justifications for the same needed to be provided in the application form. 
  3. Additionally, the evaluation committee may also guide the entrepreneurs to buy a vehicle from a different category based on the evaluation of the requirements with respect to the entrepreneur’s location
S.N. Vehicle models Ex-Showroom Price Vehicle Type & transmission
             1. Toyota Innova Crysta 2.4 GX(8S) MT Diesel 19,99,000 8-seater passenger
            2. Mahindra Scorpio N Z4 DMT 4WD 17,75,500 7-seater passenger (4×4)
            3. Maruti Jimny Alpha manual AWD 13,68,942 5-seater passenger (4X4)
            4. Mahindra Bolero Camper 4WD 10,19,000 5-Seater Pickup Truck(4X4)
            5. Force Traveller 13D AC Reclining Seat 18,71,070 13-seater Bus
            6. Force Traveller 17 D AC non-reclining seat 20,36,990 17-seater Bus
            7. Force Traveller 12d Reclining Seat 23,93,515 12-seater Bus
            8. Force Urbania 10d 30,65,000 10-seater Bus
            9. Force Urbania 12d 33,92,000 12-seater Bus
         10. Force Urbania 17d 32,48,000 17-seater Bus


Disclaimer:

  • Ex-showroom prices may vary based on the decisions of the manufacturers
  • Ex-showroom prices do not include other components of on-road cost of the vehicle such as registration, insurance etc.

Eligibility

Individual applicants

  1. Individuals who are permanent residents of Meghalaya are eligible for the scheme.
  2. Eligibility criteria for Individual entrepreneurs:
    1. Must be above 18 years of age and below 58 years of age
    2. Must be involved with the tourism sector. Entrepreneurs applying for 4X4 vehicles must be associated with adventure tourism sector
    3. Must have experience as a commercial driver
    4. Must provide valid government issued ID proof with an address which includes Aadhar Card, Voter ID, Passport, driving license.
    5. Entrepreneurs shall not be credit defaulters from any bank
    6. Following individuals (currently employed as full-fledged or contractual, or retired and drawing pension) and their Immediate family members which includes spouse, parents, and children up to the age of 30
      1. state and central Government employees
      2. employees of public sector undertakings, subsidiaries of public sector undertakings and divisions of public sector undertakings etc.
      3. any individual whose job is concerned with politics such MLAs, MLCs, MPs etc. or seeking to hold a similar position in government
      4. registered class-1 contractor
      5. consultants who are currently engaged with state or central government

 3.Only one member from a family is eligible for the scheme.


Registered entities
All recognized and registered tour operators, tourism societies etc. based on Meghalaya can apply.

Eligibility conditions:

  • shall have experience in the tourism sector
  • applying for 4X4 vehicles must be associated with adventure tourism sector
  • shall not be a defaulter at any financial institution
  • Shal not be beneficiary under the first phase of the Prime Tourism Vehicle Scheme.
  • Must provide an Incorporation Certificate or a registration certificate whichever is applicable
  • Entrepreneurs shall not be credit defaulters from any bank
  • Pressure groups and organizations that are primarily political in nature shall not be ordinarily considered.


Unregistered entities
Any unregistered entity such as village organizations, self-help groups, traditional communities etc. based in Meghalaya can apply.

Eligibility conditions

  • Must be involved with the tourism sector. A certification from the Block Development Officer (BDO) is needed to support the claim.
  • Shall not be a defaulter at any financial institution
  • Shall not be a beneficiary under the first phase of the Prime Tourism Vehicle Scheme
  • Pressure groups and organizations that are primarily political in nature shall not be ordinarily considered.

Submission requirements as proof of eligibility:

IndividualsRegistered entitiesUnregistered entities

Mandatory:

  •   A valid photo identity with address which includes Aadhar Card, Voter ID, Passport and driving license.
  • Valid driving license preferably commercial

Optional:

  • Pan card, if available
  • Latest Bank account statement for minimum of  1 year, if available

Any other document as specified by the department and the partner bank.

Mandatory:

  •  Incorporation or Registration Certificate whichever is applicable
  • Valid driving license of the driver preferably commercial
  • A valid photo identity with address of the President and Secretary which includes Aadhar Card, Voter ID, Passport and driving license

Optional:

  • GST certificate, if available
  • Pan card, if available
  • GST return for the year 2022-23, if available
  • ITR 2022-23, if available
  • Trade License copy, if available
  •  Latest bank account statement for minimum of 1 year for the organization, if available

Any other document as specified by the department and the partner bank.

Mandatory:

  • A valid photo identity with address of the President and Secretary which includes Aadhar Card, Voter ID, Passport and driving license.
  • Valid driving license of the driver preferably commercial
  • Certification from the Block Development Officer (BDO) is needed to support the claim.

Optional:

  •  Pan card of the President and secretary, if available
  •  Latest bank account statement for a minimum of 1 year President and Secretary of the organization, if available

Any other document as specified by the department and the partner bank.

As proof of eligibility, the entrepreneurs are required to provide proof of their eligibility for the scheme by submitting the required documents mentioned below.

Implementation Agencies

  1. Tourism Department, Government of Meghalaya is the implementation agency for the scheme. 
  2. State Level: Directorate of Tourism, Government of Meghalaya
  3. Nodal officers at district level: At district level, tourist officers will be the nodal officers.


Vehicle Purchasing Procedure

Application Process

Entrepreneurs are required to complete the application process and submit all the required documents through the online CM-ELEVATE Program Portal.

Financing Plan

Summary of the financing plan

Financing Partners: 

Entrepreneurs can choose to go with any of the mentioned bank as per their convenience.

  1. Meghalaya Rural Bank (MRB)
  2. The Meghalaya Co-Operative Apex Bank Ltd (MCAB)
  3. State Bank of India (SBI)
  4. HDFC Bank
  5. Northeast Small Finance Bank
  6. The Shillong Co-operative Urban Bank Ltd.


Credit details:

Loan Amount50% on the on-road price of the vehicle
Loan termMinimum of 5 years
Moratorium period3 months
Annual rate of interestVariable interest rates are applicable for partner banks.


Quantum and Nature of Financial Assistance: 

Down payment/Margin money support: 

Total down payment will be 50% of the on-road price of the vehicle. Out of which,

    1. 5% of the on-road price of the vehicle is to be paid by the entrepreneur to the bank
    2. 45% of the on-road price of the vehicle will be paid by the Government of Meghalaya to the bank. 

EMI support:

To reduce the burden of the operational cost on the entrepreneur in the first one year of business, Government of Meghalaya will support the entrepreneur by paying 5% of the on-road price of the vehicle distributed equally over a period of twelve months.

Additional support:

    1. The vehicles will be installed with GPS devices with 5 years of warranty. The cost of the GPS device will be borne by the government for one time only.
    2. The branding cost of the vehicle will be borne by the government for the first time only.


Maximum support to be provided from the government:

  • Maximum support from the government will be 50% on the on-road cost of vehicle models mentioned in the list above
  • Any increase in the price of the vehicle within the implementation period of the scheme will be borne by the entrepreneur unless notified otherwise
  • Cost of the accessories are to be borne by the entrepreneurs themselves

Cost associated with the vehicle permit are to be borne by the entrepreneurs themselves.


Illustration to understand the payment terms

Let’s consider the example to understand the various financial components of vehicle procurement.

ComponentsValues
Vehicle cost (On-road)₹ 20,00,000
Down payment by Entrepreneur (5%)₹ 1,00,000
Down payment by GoM (45%)₹ 9,00,000
Total Down payment (50%)₹ 10,00,000
Auto Loan Amount (50%)₹ 10,00,000
Annual Interest Rate9%
Term of Loan5 years

Disclaimer: 

  1. The price of the vehicle is subjected to change from time to time based on ex-showroom price of the vehicle by the manufacturer, registration cost, insurance etc.
  2. Annual interest rate may differ at the time of sanction of the loan and prevailing rate of the bank will be applicable.


The tables below show the details of shared costs between GoM and entrepreneur on buying a vehicle.

EMI payment:

Payee

EMI

1-3 months

4-15 months

16-60 months

Entrepreneur

₹ 0

₹ 13,782

₹ 22,115

GoM

₹ 0

₹ 8,333

₹ 0

Total

₹ 0

₹ 22,115

₹ 22,115


Disbursement of finances:

Disbursement of subsidy by the government

  • Margin money/upfront support from the department will be credited to the bank in favour of the entrepreneur within 15 days of receival of request from the bank
  • EMI support will be credited to the banks directly by the Tourism Department. However, EMI support will be provided only after the assessment of the following criteria
  1. Whether the vehicle is being used for the tourism purposes
  2. Vehicle owner must submit the total number of trips done by the vehicle including the destinations visited, duration of the trip, customer details every month to the Directorate of Tourism
  3. Vehicle is found to be in good condition as per the certificate of inspection by the government representative
  4. Entrepreneur is abiding the terms and conditions defined by the government as laid down in the tripartite contract signed at the time of sanctioning of the loan as defined.

Completion of loan process by the bank

    1. Banks are required to complete the loan process within the specified period defined by the department upon contract with the banks.
    2. In case the entrepreneurs fail to pay their contribution of defined upfront amount (5% of the project cost) within the specified time after the announcement of the results, the allotment will be passed on to the next entrepreneurs in the waiting list.

Remittance of the vehicle amount to the dealers

Banks will remit 100% of the sanctioned vehicle amount to the dealers.

Evaluation

Application assessment

Applications will be shortlisted based on the verification of all required documents mentioned above.

  • The verification and scrutinization of the applications will be done by a State Level Screening Committee (SLSC) headed by Director of Tourism, Government of Meghalaya. The partnered banks’ representative will be part of the committee.
  • The Tourism Department will issue notification on the formation of the committee when required. 
  • The applicants will be appraised in the first phase of the evaluation on the following two criteria,
    1. Whether their applications are conforming to the scheme’s eligibility
    2. Whether they are eligible for a loan as per bank requirements (CBIL Score)


Interview assessment

After completion of the application assessment, the selected entrepreneurs may be called for interviews.


Final evaluation

Entrepreneur’s final assessment will be done based on the following criteria

  • The entrepreneurs’ ability to communicate in English, Hindi, and local language
  • Interpersonal skills of the entrepreneurs
  • Interest/experience on the tourism sector/adventure tourism sector
  • Entrepreneurs ability handle emergency situations
  • Their understanding of basic road safety rules as a driver
  • Entrepreneurs’ sincerity, expertise, and knowledge on the tourism sector such as tourist footfall, popular attractions, and availability of basic amenities.
  • Eligible credit score of the entrepreneurs to get loan from the partnered banks
  • Entrepreneurs’ business acumen and their willingness to repay the loan on time
  • Entrepreneurs’ willingness to attend trainings, knowledge sessions and capacity building programs to be provided by the department
  • Current occupations of the entrepreneurs and their immediate family members
  • Pressure groups and organizations that are primarily political in nature shall not be ordinarily considered.


Mandatory training

  • Selected individuals must undergo through a mandatory training ‘Meghalaya Tourist Operator Training Program (MTOTP)’ conducted by a training agency identified by the Tourism Department, Government of Meghalaya.
  • Applicants will be required to score the minimum marks in the test conducted by the agency under supervision of Tourism Department, Government of Meghalaya to receive the Certificate of Completion of the MTOTP
  • MTOTP will primarily cover the following areas
      • Communication and interpersonal skills
      • Knowledge of various tourist attractions in the state
      • Basic geographical knowledge of the state
      • Basic knowledge about various cultures and traditions of the state
      • Ability to perform basic first aid in case of emergency
      • Basic rules of road safety
      • Basic maintenance of the vehicle

The selected entrepreneurs will receive a certificate of completion for the MTOTP

Implementation Agencies

  1. Tourism Department, Government of Meghalaya is the implementation agency for the scheme
  2. State Level: Directorate of Tourism, Government of Meghalaya
  3. Nodal officers at district level: At district level, tourist officers will be the nodal officers.

Economic Benefits

 8-seater MPV


4X4 vehicle


Bus

FAQs

PRIME Tourism Vehicle Scheme is a credit linked scheme launched by Tourism Department under which financial aid of 50% on the cost of the vehicle is provided to the entrepreneurs to buy passenger vehicles, minibuses, and pickup trucks along with additional support in terms of trainings to the tourist drivers. The scheme is intended to increase the comfortable transport options of tourists, increase flow of tourists and enable adventure tour operators to transport adventure gears. 

PRIME Tourism  Vehicle Scheme is one of the 15 other bank linked schemes being launched under the CM ELEVATE programs.

Tourism Department is implementing the scheme at state level.

All recognized and registered tourism operator, tourism societies with Tourism Department, Government of Meghalaya. 

Any unregistered entity such as village organizations, self-help groups, traditional communities etc.  based in Meghalaya who are not registered with the Tourism Department, Government of Meghalaya. 

No age limit for the entrepreneurs.

There is no application fee.

Currently the last date of application for the first phase of the scheme is 31st of October 2023.

Entrepreneurs could contact the helpline team through a call or email for any queries related to application process. 

Entrepreneurs can also contact the Tourist Officers of the respective districts for any clarifications.

The application process will be processed and evaluated through a state level committee. The formation of the committee will be notified by the implementing agency from time to time.

You can send your grievance to the helpline number.

No changes will be applicable after submission. It is advisable that the applicants read and answer each question carefully and all changes should be made before submitting the application.

The scheme is offering 50% financial aid on the on-road cost of th vehicle in the form of 45% as upfront support and reaming 5% as EMI co-payment for twelve months. 

You can receive 50% of the on-road cost of the vehicles which are listed under the scheme.

You can choose any of the partnered banks under the scheme based on your convenience and ease. The banks which are currently part of the scheme are Meghalaya Rural Bank (MRB), State Bank of India (SBI), HDFC Bank and Northeast Small Finance Bank.

The repayment period with 5 years inclusive of 3 months of moratorium period. 

Interest rates may vary depending on the bank you choose for credit support. You should inquire with the selected bank for specific interest rate details.

No, currently there are no pre-closure penalties for the loan.

The subsidy is disbursed to the entrepreneurs through financing partners under the scheme.

Trainings may be provided and the same will be notified by the Implementing Agency from time to time.

Yes, training provided by the Implementing Agency will be mandatory. 

Training locations will be notified by the Implementing Agency from time to time.

No, there is no fee associated with trainings provided by the implanting agency.

Duration of the trainings will be notified by the Implementing Agency from time to time.

You are requested to contact PRIME Hub or District Animal Husbandry and Veterinary Officer to inform about any challenges being faced at any stage of the project for any guidance and requirements.

Eligibility:

  1. Individuals from Meghalaya
  2. Any registered entities from Meghalaya such as tour operators/travel agents/tourist transport operators etc. registered as well as recognized with Department of Tourism, Government of Meghalaya.
  3. Any unregistered entity such as village organizations, self-help groups, and any other traditional institutions etc.  involved with tourism sector and  based in Meghalaya can apply.
  4.  

    • Non-permanent residents of Meghalaya are not eligible to apply.

      Additionally, applications from following shall not be ordinarily considered.

      1. Pressure groups  and organizations that are primarily political in nature
      2. Government employees (currently employed or retired and drawing pension) and their dependents.
  1. Only permanent residents of Meghalaya are eligible for the scheme
  2. Individuals must be above 18 years of age and below 58 years of age
  3. Recognized and registered tourism operator, tourism societies with Tourism Department, Government of Meghalaya
  4. Registered entities must provide an Incorporation Certificate or a registration certificate whichever is applicable
  5. Any unregistered entity such as village organizations, self-help groups and any other traditional institutions based in Meghalaya
  6. Must be involved with the tourism sector
  7. Must provide a photo of the parking space for the vehicle
  8. Must have a driver with a valid commercial driving license
  9. Must provide valid government ID proof with an address such as Aadhar Card, Voter ID, Passport etc.
  10. Shall be eligible for loan and shall not be a credit defaulter from any bank.
  11. Should not be a beneficiary under the first phase of the Prime Tourism Vehicle Scheme.
  12.  
  1. A valid photo identity with address which includes Aadhar Card, Voter ID, Passport and driving license. 
  2. A letter of certification needs to be provided from the Block Development Officer (BDO) to support the claim for involvement in tourism sector
  3. Pan card (Optional)
  4. Latest bank statement of 1 year (Optional)
  5. Trade license wherever (Optional)
  6. GST certificate and proof of return (Optional)
  7. Any other document as specified by the department and financing bank.
  8.  
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Planning, Investment Promotion & Sustainable Development Department, Government of Meghalaya, 

Departments

  • Tourism Department
  • Animal Husbandry & Veterinary
  • Department of Agriculture and Farmers’ Welfare
  • Meghalaya Basin Management Agency, MBMA

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Contact Us

Call Our Helpline: 1971 or 18002456851

Mail us at: help@cmelevate.in

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