Blitz Bureau
THE PM Surya Ghar: Muft Bijli Yojana, the world’s largest domestic rooftop solar initiative, is transforming India’s energy landscape with a bold vision to supply solar power to one crore households by March 2027. By March 2025, installations under the scheme are expected to exceed 10 lakh. Launched by Prime Minister Narendra Modi on February 15, 2024, this groundbreaking initiative aims to provide free electricity to households by facilitating the installation of rooftop solar panels.
The scheme offers a subsidy of up to 40 per cent to households, making renewable energy more affordable and accessible. In just nine months, 6.3 lakh installations have been completed, resulting in an impressive monthly installation rate of 70,000, ten times higher than the pre-scheme average. With a goal to benefit one crore households, the programme is also expected to save the Government Rs 75,000 crores annually in electricity costs.
Benefits of scheme
Free electricity: The scheme provides households with free electricity through the installation of subsidised rooftop solar panels, significantly reducing their energy costs. Government costs: By promoting the widespread use of solar power, the scheme is expected to save the government an estimated Rs 75,000 crore annually in electricity costs.
Renewable energy: The scheme encourages the adoption of renewable energy sources, contributing to a more sustainable and environment friendly energy mix. Reduced emissions: The transition to solar energy under this scheme will help lower carbon emissions, supporting India’s commitment to reducing its carbon footprint.
Subsidy, eligibility
The subsidy provided under the scheme varies based on the household’s average monthly electricity consumption and the corresponding suitable rooftop solar plant capacity. Households can apply for the subsidy through the national portal, where they can also select a suitable vendor for installing rooftop solar. Households will have access to collateral-free, low-interest loans for the installation of residential rooftop solar systems up to 3 kW.
The application process involves nine specific steps to ensure a smooth and efficient submission and approval of solar panel installation. As of December 3, 2024, a total of 1.45 crore registrations and 26.38 lakh applications have been reported on the national portal.
Far-reaching impact
The scheme is expected to have farreaching outcomes, both for individual households and the nation as a whole: Savings and income: Households will benefit from significant savings on their electricity bills. Additionally, they will have the opportunity to earn extra income by selling surplus power generated by their rooftop solar systems to DISCOMs.
Capacity expansion: The scheme is projected to add 30 GW of solar capacity through rooftop installations in the residential sector. Environmental gains: Over the 25-year lifetime of these rooftop systems, it is estimated that the scheme will generate 1000 BUs of electricity while reducing CO2 emissions by 720 million tonnes.
Job creation: The scheme is also expected to create approximately 17 lakh direct jobs across various sectors, including manufacturing, logistics, supply chain, sales, installation, operations and maintenance, and other services.
Model Solar Village
Under the ‘Model Solar Village’ component of the scheme, the focus is on establishing one Model Solar Village per district throughout India. This initiative aims to promote solar energy adoption and empower village communities to achieve energy self-reliance. An allocation of Rs 800 crore has been designated for this component, with Rs1 crore provided to each selected Model Solar Village.
To qualify as a candidate village, it must be a revenue village with a population of more than 5,000 (or 2,000 in special category states). Villages will be selected through a competitive process, evaluated on their overall distributed renewable energy (RE) capacity six months after being identified by the district level committee (DLC). The village in each district with the highest RE capacity will receive a central financial assistance grant of Rs 1 crore.
In conclusion, the PM Surya Ghar: Muft Bijli Yojana is set to reshape India’s energy landscape by empowering millions of households with solar power. With total installations projected to reach the target of one crore by March 2027, the scheme is well on track to deliver widespread benefits.
