Executive Summary:
This document details financial assistance provided under the Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PMKUSUM) scheme for installing solar power plants and pumps. It outlines the financial assistance available for different components of the scheme and provides a state-wise progress report as of June 30, 2025. The information was presented to Lok Sabha on July 23, 2025.
Key Points / Main Content:
Financial Assistance Under PM KUSUM Scheme:
Component A (Procurement Based Incentive - PBI): DISCOMs receive 40 paise/kWh or Rs. 6.60 lakhs/MW/year, whichever is lower, for five years. No Central Financial Assistance (CFA) is provided under this component.
Component B (Individual Pump Solarisation): CFA of 30% of the benchmark cost or tender price (whichever is lower) is provided.
For North Eastern States, Sikkim, Jammu & Kashmir, Ladakh, Himachal Pradesh, Uttarakhand, Lakshadweep, and A&N Islands, CFA is 50% of the benchmark cost or tender price (whichever is lower).
States/UTs must provide at least 30% financial support; the beneficiary covers the balance. This can be implemented without State share of 30%, the CFA will remain 30% and the farmer will bear 70%.
Component C (Feeder Level Solarisation): CFA of Rs 1.05 Crore per MW is provided. No mandatory financial support is required from participating States/UTs. It can be implemented in CAPEX or RESCO mode.
Loan Facility:
Farmers can avail loan facilities under PM KUSUM.
The scheme is covered under Agriculture Infrastructure Funds, enabling interest subvention and easy financing.
State/UT-wise Progress (as of June 30, 2025):
Annexure II provides a detailed state-wise breakdown of sanctioned and installed capacities for Components A, B, and C (IPS and FLS).
Impact Analysis:
DISCOMs:
Impact: Eligible for Procurement Based Incentive (PBI) under Component A, based on procurement.
Action Required: Track and report procurement to claim incentives.
Farmers:
Impact: Access to financial assistance for solar power plants and pumps under Components B and C. Can avail loan facilities with interest subvention.
Action Required: Apply for the scheme, arrange for beneficiary contribution, and utilize available loan facilities.
State/UT Governments:
Impact: Required to provide financial support (at least 30%) for Component B, if choosing to do so. Responsible for demand aggregation and scheme progress within their jurisdiction.
Action Required: Facilitate scheme implementation, provide financial support as required, and monitor progress.
Ministry of New and Renewable Energy (MNRE):
Impact: Responsible for providing Central Financial Assistance (CFA) and overall scheme management.
Action Required: Continue to monitor and support scheme implementation across States/UTs.
Key Entities Referenced
Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan: A Government of India scheme, abbreviated as PMKUSUM, aimed at providing financial assistance to farmers for installing solar power plants and pumps.
Madhya Pradesh: A state in India, explicitly mentioned in the context of the PMKUSUM scheme's implementation and progress.
Maharashtra: A state in India, explicitly mentioned in the context of the PMKUSUM scheme's implementation and progress.
Dadra and Nagar Haveli: A Union Territory in India, mentioned in the context of receiving financial assistance under the PMKUSUM scheme.
Agriculture Infrastructural Funds: A fund under which PM KUSUM is covered, enabling farmers to avail interest subvention and easy financing for solar energy pumps.
MNRE: An abbreviation that refers to Ministry of New and Renewable Energy, Government of India
Jammu Kashmir: A Union Territory in India, mentioned in the context of Central Financial Assistance (CFA) under Component B of the PM KUSUM scheme.
Himachal Pradesh: A state in India, mentioned in the context of Central Financial Assistance (CFA) under Component B of the PM KUSUM scheme.
GOVERNMENT OF INDIA
MINISTRY OF NEW AND RENEWABLE ENERGY
LOK SABHA
UNSTARRED QUESTION NO. 623
ANSWERED ON 23/07/2025
FINANACIAL ASSISTANCE UNDER PM-KUSUM
623. SHRI KOTA SRINIVASA POOJARY
SHRI GYANESHWAR PATIL
SHRI BHUMARE SANDIPANRAO ASARAM
SMT. DELKAR KALABEN MOHANBHAI
Will the minister of new and renewable energy be pleased to state:
(a) the amount of financial assistance being provided to farmers for installing solar power
plants under Pradhan Mantri-Kisan Urja Suraksha evam Utthaan Mahabhiyan(PM-KUSUM)
in various States of the country including the Union Teritory of Dadra and Nagar Haveli;
(b) the number of farmers targeted to be provided solar pumps by the Government under the
PM-KUSUM in various States of the country including Madhya Pradesh and Maharashtra;
(c) whether any loan facility is available to the farmers for installing solar energy pumps
under PM-KUSUM; and
(d) if so, the details thereof?
ANSWER
THE MINISTER OF STATE FOR NEW & RENEWABLE ENERGY AND POWER
(SHRI SHRIPAD YESSO NAIK)
(a) The Financial Assistance for Solar Plants under PM- KUSUM Scheme, including the Union
Territory of Dadra and Nagar Haveli is given at Annexure I.
(b) PM-KUSUM is a demand driven scheme. The capacities are allocated based on demand
received and progress shown by the States/UTs.
The State/UT wise progress under PM KUSUM, including Madhya Pradesh and Maharashtra,
is placed at Annexure II.
(c) & (d) Yes, under PM KUSUM farmers can avail loan facility. The scheme is covered under
Agriculture Infrastructural Funds, which enable farmers to avail interest subvention and easy
financing.
*****Annexure-I referred to in reply to part (a) of Lok Sabha Unstarred Question No. 623
to be answered on 23.07.2025
Financial Assistance for various Components including Solar Plants under PM-
KUSUM Scheme
Components, Targets & Criteria Financial Assistance available
Component A: Procurement Based Incentive (PBI) is provided to the
DISCOMs @ 40 paise/kWh or Rs.6.60 lakhs/MW/year,
whichever is lower, for five years. There is no CFA under
this Component.
• CFA of 30% of the benchmark cost issued by
Component B MNRE or the prices of the systems discovered in the
tender, whichever is lower is provided.
• However, in North Eastern States including
Component C (Individual Pump
Sikkim, Jammu & Kashmir, Ladakh, Himachal Pradesh
Solarisation)
and Uttarakhand, Lakshadweep and A&N Islands, CFA
of 50% of the benchmark cost issued by MNRE or the
prices of the systems discovered in the tender,
whichever is lower, is provided.
• In addition, the respective state/UT has to provide
at least 30% financial support. Balance cost is to be
contributed by beneficiary.
• Component B and Component C (IPS) of
PM KUSUM scheme can also be implemented without
State share of 30%. The Central Financial Assistance
will continue to remain 30% and rest 70% will be borne
by the farmer.
Component C (Feeder Level For agriculture feeder solarization, CFA of Rs 1.05 Crore
Solarisation) per MW is provided. There is no mandatory requirement
of financial support from participating State/UT. The
feeder solarisation can be implemented in CAPEX or
RESCO mode.Annexure-II referred to in reply to part (b) of Lok Sabha Unstarred Question No. 623
for 23.07.2025
State/UT-wise progress under PM-KUSUM Scheme (as on 30.06.2025)
Component-A (MW) Component-B (Nos) Component-C (Nos)
S.
State Name Sanctioned Sanctioned Installed
No. Sanctioned Installed Sanctioned Installed
(IPS) (FLS) (IPS+FLS)
Andaman &
1 0 0 34 0 436 0 0
Nicobar Islands
2 Andhra Pradesh 0 0 0 0 0 100000 0
3 Arunachal Pradesh 0 0 700 577 0 0 0
4 Assam 2 0 4000 0 0 0 0
5 Chhattisgarh 330 7 0 0 0 10000 0
6 Bihar 0 0 0 0 0 90000 0
7 Gujarat 500 0 18212 11813 0 725000 183728
8 Goa 50 0 900 100 0 11000 700
9 Haryana 158 14.61 227655 157073 0 12899 0
10 Himachal Pradesh 100 100 1270 959 0 0 0
11 Jammu & Kashmir 0 0 5000 2890 0 0 0
12 Jharkhand 0 0 52985 35459 0 0 0
13 Karnataka 0 0 41365 2334 0 628588 21427
14 Kerala 0 0 8 8 3796 25387 13163
15 Ladakh 0 0 1400 0 0 0 0
16 Madhya Pradesh 1790 52.13 59400 7325 0 345000 16316
17 Maharashtra 260 4 555000 419825 0 775000 307194
18 Manipur 0 0 1150 78 0 0 0
19 Meghalaya 0 0 3035 98 0 0 0
20 Mizoram 0 0 1700 40 0 0 0
21 Nagaland 0 0 265 65 0 0 0
22 Odisha 90 0 16441 5716 0 10000 0
23 Puducherry 0 0 72 0 0 0 0
24 Punjab 0 0 28000 15025 186 0 0
25 Rajasthan 5250 457.25 162914 104574 2035 400000 51335
26 Tamil Nadu 14 3 5200 4187 5000 6000 0
27 Telangana 1450 0 20000 0 28000 0 0
28 Tripura 5 0 10895 4971 3600 0 285
29 Uttar Pradesh 1 1 110948 66463 12000 370000 3945
30 Uttarakhand 0 0 3685 1367 0 0 0
31 West Bengal 0 0 0 0 20 0 20
Total 10000 638.99 1332234 840947 55073 3508874 598113