Parliament Question: Schemes to Promote Solar Energy

GOVERNMENT OF INDIA MINISTRY OF NEW AND RENEWABLE ENERGY LOK SABHA UNSTARRED QUESTION NO. 1795 ANSWERED ON 30/07/2025 SCHEMES TO PROMOTE SOLAR ENERGY 1795. SHRI NALIN SOREN SHRI JUGAL KISHORE Will the Minister of NEW AND RENEWABLE ENERGY be pleased to state: (a) the schemes being implemented by the Government to promote solar energy in Dumka district of Jharkhand and Union Territory of Jammu and Kashmir; (b) the details of funds sanctioned under these schemes during the last two years; (c) whether the Government has made provision for subsidy for the consumption of solar energy; and (d) if so, the details thereof? ANSWER THE MINISTER OF STATE FOR NEW & RENEWABLE ENERGY AND POWER (SHRI SHRIPAD YESSO NAIK) (a) & (b) The Government is implementing various schemes to promote solar energy in the country including Dumka district of Jharkhand and Jammu and Kashmir, the details of which are provided at Annexure-I The details of funds sanctioned under the schemes during last two years are given at Annexure-II. (c) & (d) The Government provides subsidy through various schemes to promote setting up of solar energy projects in the country. The details of subsidy/incentives are given at Annexure- III. *****ANNEXURE-I REFFERED TO IN REPLY TO PART (a) & (b) OF LOK SABHA UNSTARRED QUESTION NO. 1795 FOR 30.07.2025 List of Operational Schemes to Promote Solar Energy 1. PM Surya Ghar Muft Bijli Yojana (PMSG: MBY): The Ministry of New & Renewable Energy is implementing this scheme across the country since February 2024. The Scheme targets to achieve rooftop solar installations in one crore households in the residential sector by FY 2026-27 with an outlay of Rs 75,021 crore. A total of 15.63 lakh households has been benefitted with installation of rooftop solar under the PM Surya Ghar Muft Bijli Yojana as on 17.07.2025. 2. Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM): The PM-KUSUM Scheme was launched by the Government in March, 2019 to provide financial support to the farmers for installation of standalone solar pumps and solarization of existing grid-connected agriculture pumps, and to provide the farmers an opportunity to become solar entrepreneurs by installing solar power plants on their barren/fallow/agriculture land. The Scheme consists of three components: Component-A: 10,000 MW of Decentralized Ground Mounted Grid Connected Solar Power Plants. Component-B: Installation of 14 lakh standalone Solar Powered Agriculture Pumps. Component-C: Solarisation of 35 Lakh Grid-connected Agriculture Pumps. All three components combined; the scheme aims to add a solar capacity of 34.8 GW with total central financial of Rs. 34,422 crore. As on 30-06-2025, 638.99 MW has been installed under Component-A, 8,40,947 nos. of standalone solar pumps have been installed under Component-B, and 5,98,113 nos. of grid-connected pumps have been installed under Component-C. 3. New Solar Power Scheme (for Tribal and PVTG Habitations/Villages) under Pradhan Mantri Janjati Adivasi Nyaya Maha Abhiyan (PM JANMAN) and Dharti Aabha Janjatiya Gram Utkarsh Abhiyan (DA JGUA): The scheme aims to provide electricity to households, multi-purpose centres and public institutions in Tribal and PVTG areas by provision of off-grid solar systems. The off-grid solar systems are provided only where electricity supply through grid is not techno-economically feasible. As on 30-06-2025,a total of 2805 nos. of households have been benefitted in various States under the scheme. 4. Schemes for Development of Solar Parks and Ultra-mega Solar Power Projects with a target of setting up 40,000 MW capacity. Under the scheme, the infrastructure such as land, roads, power evacuation system water facilities are developed with all statutory clearances/approvals. Thus, the scheme helps expeditious development of utility-scale solar projects in the country. 5. Production Linked Incentive scheme ‘National Programme on High Efficiency Solar PV Modules’ for achieving manufacturing capacity of Giga Watt (GW) scale in High Efficiency Solar PV modules. 6. Central Public Sector Undertaking (CPSU) Scheme Phase-II (Government Producer Scheme) for setting up 12,000 MW grid-connected Solar Photovoltaic (PV) Power Projects by Government Producers, using domestically manufactured solar PV cells and modules, with Viability Gap Funding (VGF) support, for self-use or use by Government/ Government entities, either directly or through Distribution Companies (DISCOMS). ANNEXURE-II REFFERED TO IN REPLY TO PART (a) & (b) OF LOK SABHA UNSTARRED QUESTION NO. 1795 FOR 30.07.2025 Details Of Funds Sanctioned Under the Schemes During Last Two Years Financial Year Funds Sanctioned (In Rs. crore) 2023-2024 4834.07 2024-2025 12237.59ANNEXURE-III REFFERED TO IN REPLY TO PART (c) & (d) OF LOK SABHA UNSTARRED QUESTION NO. 1795 FOR 30.07.2025 Central Financial Assistance (CFA)/ Incentives being provided for the implementation of Solar Energy Schemes/Programmes Scheme/Programmes Incentives presently available as per the Scheme a) PM Surya Ghar: Muft Bijli 1. Under the PMSG: MBY, the CFA for installation of Yojana Yojana for installing Rooftop Solar in the Residential Sector is given below: rooftop solar and providing Type of CFA (Special free electricity up to 300 units S.No. Residential CFA Category every month for One Crore Segment States/UTs) households. Residential Sector (first 2 kWp of 1 Rooftop Solar Rs.30,000/kWp Rs.33,000/kWp (RTS) capacity or part thereof) Residential Sector (with additional 2 RTS capacity of 1 Rs.18,000/kWp Rs.19,800/kWp kWp or part thereof) Residential Sector (additional RTS No additional No additional 3 capacity beyond 3 CFA CFA kWp) Group Housing Societies/ Residential Welfare Associations 4 (GHS/RWA) etc. Rs.18,000/kWp Rs.19,800/kWp for common facilities including EV charging up to 500 kWp (@ 3 kWp per house) 2. The PMSG: MBY scheme includes the provision for incentive to DISCOMs to motivate and help them in activities such as create conducive regulatory and administrative mechanisms, achieve targets for implementation. The incentive is pegged at 5% of applicable benchmark cost for capacity achieved above 10% and less than 15% of installed base capacity; 10% of the applicable benchmark cost for capacity achieved beyond 15% of installed base capacity.Scheme/Programmes Incentives presently available as per the Scheme 3. To push the deployment of residential rooftop solar system (RTS) and undertake local mobilization efforts, the PMSG: MBY scheme also includes the provision for incentive to the Urban Local Bodies (ULBs) and Panchayat Raj Institutions (PRIs), at the rate of Rs.1000 for every installation of RTS in residential segment in the jurisdiction of ULB/PRI, for which CFA has been transferred to consumer. 4. Further, a fund of Rs. 800 crore has been provisioned for developing a Model Solar Village in each district of the country, with an assistance of Rs 1 crore per Model Solar Village under PMSG: MBY scheme. b) Central Public Sector Viability Gap Funding (VGF) support up to Rs. 55 lakhs per MW Undertaking (CPSU) to the CPSUs/Govt. Organizations entities selected through Scheme Phase-II competitive bidding process. (Government Producer Scheme) for setting up 12,000 MW grid-connected Solar Photovoltaic (PV) Power Projects by Government Producers, using domestically manufactured solar PV cells and modules, with Viability Gap Funding (VGF) support, for self-use or use by Government/ Government entities, either directly or through Distribution Companies (DISCOMS). c) PLI Scheme ‘National The beneficiaries are eligible for Production Linked Incentive Programme on High (PLI) on production and sale of solar PV modules. The quantum Efficiency Solar PV of PLI eligible for disbursal depends upon: Modules’ for achieving (i) quantum of sales of solar PV modules; manufacturing capacity of (ii) performance parameters (efficiency and temperature Giga Watt (GW) scale in coefficient of maximum power) of solar PV modules High Efficiency Solar PV sold; and modules (Tranche- I & II). (iii) percentage of local value addition in modules sold. d) Solar Park Scheme with a (a) Up to Rs. 25 lakhs per Solar Park, for preparation of Detailed target of setting up 40,000 Project Report (DPR). MW capacity. Under the (b) Rs. 20 lakh per MW or 30% of the project cost, whichever is scheme, the infrastructure lower, for development of shared infrastructure of Solar Park. such as land, roads, power evacuation system water facilities are developed withScheme/Programmes Incentives presently available as per the Scheme all statutory clearances/approvals. Thus, the scheme helps expeditious development of utility-scale solar projects in the country. e) PM-KUSUM scheme for Component A: Setting up of 10,000 MW of Decentralized setting up decentralized solar Ground/Stilt Mounted Solar Power Plants or other renewable energy Benefits available: Procurement Based Incentive (PBI) to the power plants, installation of DISCOMs @ 40 paise/kWh or Rs.6.60 lakhs/MW/year, stand-alone solar agriculture whichever is lower, for buying solar power under this scheme. pumps, and solarization of The PBI is given to the DISCOMs for a period of five years from existing grid-connected the Commercial Operation Date of the plant. Therefore, the total agriculture pumps, including PBI payable to DISCOMs is up to Rs. 33 Lakh per MW. feeder-level solarization. The scheme benefits not only Component B: Installation of 14 Lakh Stand-alone Solar Pumps farmers but also the States Benefits available: CFA of 30% of the benchmark cost or the and DISCOMs. tender cost, whichever is lower, of the stand-alone solar agriculture pump is provided. However, in North Eastern States, Sikkim, Jammu & Kashmir, Ladakh, Himachal Pradesh, Uttarakhand, Lakshadweep and A&N Islands, CFA of 50% of the benchmark cost or the tender cost, whichever is lower, of the stand-alone solar pump is provided. Component B 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: Solarisation of 35 Lakh Grid Connected Agriculture Pumps including through Feeder Level Solarisation Benefits available: (a) Individual Pump Solarization (IPS): CFA of 30% of the benchmark cost or the tender cost, whichever is lower, of the solar PV component will be provided. However, in North Eastern States, Sikkim, Jammu & Kashmir, Ladakh, Himachal Pradesh, Uttarakhand, Lakshadweep and A&N Islands, CFA of 50% of the benchmark cost or the tender cost, whichever is lower, of the solar PV component is provided. Component C (IPS) 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. (b) Feeder Level Solarization (FLS): Agriculture feeders can be solarized by the State Government in CAPEX or RESCO mode with CFA of Rs. 1.05 Crore per MW as provided by MNRE. However, in North Eastern States, Sikkim, Jammu & Kashmir, Ladakh, Himachal Pradesh, Uttarkhand, LakshadweepScheme/Programmes Incentives presently available as per the Scheme and Andaman & Nicobar Island, CFA of Rs. 1.75 crore per MW is provided. f) New Solar Power Scheme (for Tribal and PVTG Components Central Share (100%) Habitations/Villages) under Provision of 0.3 kW Solar Rs. 50,000 per HH or as per Pradhan Mantri Janjati offgrid system for 1 lakh actual cost Adivasi Nyaya Maha Tribal and PVTG HHs Abhiyan (PM JANMAN) Solar street lighting and Rs. 1 lakh per MPC and Dharti Aabha Janjatiya provision of lighting in 1500 Gram Utkarsh Abhiyan (DA MPCs of PVTG areas JGUA) with a provision for (under PM JANMAN providing off-grid Solar component only) Lighting where electricity Solarisation of 2000 public Rs 1 lakh per kW with supply through grid is not institutions through off-grid maximum solar PV capacity techno-economically solar systems (under DA of 20 kW per public feasible. JGUA component only) institution