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PM SETU Component II 2026: NSTI Upgradation, Modern Courses & Industry Skilling

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Quick answer

PM SETU Component II transforms five National Skill Training Institutes (NSTIs) into world-class centres of excellence offering advanced diplomas, specialised short-term trades, and instructor training. Students, graduates, ITI pass-outs, and working professionals can access upgraded industry-aligned courses, while qualified lead industry partners can invest to co-manage institutes. Eligible trainees can apply directly through the respective upgraded NSTI institutes.

At a glance

Main benefitAdvanced diplomas and upgraded NSTI infrastructure
Ministry / departmentMinistry Of Skill Development And Entrepreneurship
LevelCentral Government
Application modeOffline

About the scheme

Component II of PM SETU (Pradhan Mantri Skilling and Employability Transformation through Upgraded ITIs) is an initiative by the Ministry of Skill Development and Entrepreneurship to modernise five NSTIs located at Bhubaneswar, Chennai, Hyderabad, Kanpur, and Ludhiana. Implemented by the Directorate General of Training through registered Institutional Management Committees, the scheme introduces up to 20 long-term trades, 10 short-term trades, cutting-edge labs, upgraded residential hostels, and advanced diploma programmes with flexible entry-exit pathways. It also establishes National Centres of Excellence with global partners to upskill 50,000 instructors and boost hands-on industrial competence across India.

Benefits

  • Comprehensive infrastructure upgradation across 5 NSTIs (Bhubaneswar, Chennai, Hyderabad, Kanpur, and Ludhiana) at an estimated ₹200 crore per institute (₹1,000 crore total).
  • Operational and workforce funding support of ₹20 crore per NSTI (₹100 crore total).
  • Dedicated ₹400 crore allocation for pre-service and in-service training of 50,000 ITI instructors, including overseas training, co-funded 50:50 by the Centre and industry partners.
  • Introduction of up to 20 long-term trades, 10 short-term trades, and curriculum modernisation of 20 existing courses.
  • State-of-the-art labs, residential facilities, and renovated or newly constructed campus hostels.
  • Diploma, Advanced Diploma, and PG Certificate certifications with multiple entry and exit options for Class 10 pass-outs, graduates, and working professionals.
  • Four specialized academic centres per NSTI: Centre for Industrial Collaboration, National Centre of Excellence for Skilling, Centre for TVET Practitioners Development, and Centre for Research, Innovation and Entrepreneurship.
  • Corporate Social Responsibility (CSR) exemption for funds contributed by participating industry partners.

Who can apply (eligibility)

  • For Trainees: Candidates who have passed Class 10 or above, as well as graduates, postgraduates, and working professionals seeking advanced technical skills.
  • CTS (National Trade Certificate): Passed Class 8th, 10th, or 12th depending on the trade.
  • CITS (National Craft Instructor Certificate): Completed CTS (ITI), NAC (National Apprenticeship Certificate), Diploma, or Degree.
  • Short-term Courses: As per specific industry requirements.
  • Diploma Courses: Passed Class 10th or equivalent.
  • Advanced Diploma (Technical and Work-based): Passed Class 12th or equivalent.
  • PG Certificate Courses: Graduate or Post-Graduate degree holders.
  • For Lead Industry Partner (LIP): Minimum annual turnover of ₹500 crore, minimum workforce of 500 employees, and a commitment of ₹40 crore contribution per NSTI over 5 years.

Who cannot apply

  • Industry partners with an annual turnover below ₹500 crore or employee count under 500 are ineligible to apply as Lead Industry Partners.
  • Non-cash or in-kind contributions cannot count towards fulfilling the minimum mandatory 20% cash contribution requirement for industry partners.

Documents required

  • Mark sheets and pass certificates of qualifying exams (Class 8th, 10th, 12th, Degree, or PG depending on the chosen course).
  • CTS (ITI), NAC, Diploma, or Degree certificate (for CITS candidates).
  • Government-issued identity proof (e.g. Aadhaar card).
  • Proof of address.
  • Recent passport-size photographs.
  • For Industry Partners: Expression of Interest, Request for Proposal bid, ₹500 crore annual turnover certificate, employee strength certificate (minimum 500), ₹40 crore financial commitment letter, Strategic Investment Plan proposal, and consortium agreement (if applicable).

How to apply

  1. 1Check the course offerings and specific admission notifications issued by the upgraded NSTIs at Bhubaneswar, Chennai, Hyderabad, Kanpur, or Ludhiana.
  2. 2Verify your academic eligibility according to the desired programme (CTS, CITS, Diploma, Advanced Diploma, Short-term, or PG Certificate).
  3. 3Collect your educational certificates, identification proofs, and photographs as required by the institute.
  4. 4Submit your completed application directly to the Institutional Management Committee (IMC) of the concerned NSTI as instructed in their admission prospectus.
  5. 5For Lead Industry Partners, respond to the Expression of Interest (EoI) and Request for Proposal (RFP) floated by the Directorate General of Training (DGT) via the competitive bidding framework.

Frequently asked questions

What is PM SETU Component II?+

PM SETU Component II is a central initiative by the Ministry of Skill Development and Entrepreneurship to modernise five National Skill Training Institutes (NSTIs) located in Bhubaneswar, Chennai, Hyderabad, Kanpur, and Ludhiana into premier skilling hubs with National Centres of Excellence.

Who is eligible to enrol in courses under PM SETU Component II?+

Class 10 pass-outs and above, ITI certificate holders, diploma holders, graduates, postgraduates, and working professionals can apply depending on the specific trade or diploma requirements.

Which courses are offered at the upgraded NSTIs?+

Programmes include CTS (National Trade Certificate), CITS (National Craft Instructor Certificate), short-term advanced skilling courses, 2-3 year Diplomas, Advanced Diplomas with work-based learning, and PG Certificates.

What are the eligibility requirements for a Lead Industry Partner?+

A Lead Industry Partner must have an annual turnover of at least ₹500 crore, an employee base of at least 500, and commit at least ₹40 crore over five years for each NSTI.

How are the funds disbursed under this scheme?+

Funds are released in tranches into an escrow bank account managed by the NSTI's Institutional Management Committee, mapped with the Public Financial Management System (PFMS), and linked to milestone achievements.

Are hostel facilities available for students?+

Yes, the scheme includes upgraded modern residential facilities and renovated or newly constructed hostels across all five NSTI campuses.

NaukriZila is not a government website. Apply only on the official portal; never pay anyone to apply for a government scheme. Source: myScheme (Government of India)