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PM Surya Ghar Muft Bijli Yojana

31 Mar 2026
2 min

In Summary

  • PM Surya Ghar Muft Bijli Yojana aims to install 1 crore solar rooftop panels by 2027, providing up to 300 units of free electricity monthly.
  • The scheme, launched in 2024 by MNRE, offers subsidies based on consumption and collateral-free loans at 7% interest for systems up to 3 kW.
  • It includes incentives for local bodies, a national portal for applications, and capacity building for skilled manpower in solar installations.

In Summary

Why In the News?

Around 30 lakh households across India have been empowered with rooftop solar installations under the PM Surya Ghar Muft Bijli Yojana.

Core Objectives of the Scheme

Salient Features of the Scheme

 

  • Provide free electricity up to 300 units per month to one crore households through Rooftop Solar systems by 2027.

 

  • It targets installation of one crore solar rooftop panels in the residential sector.

 

  • Reduce household electricity expenditure and dependence on conventional power sources.

 

  • To create more than 3 lakh skilled manpower, through fresh skilling, and up-skilling, under scheme component of capacity building.
  • Ministry: Ministry of New and Renewable Energy (MNRE)
  • Launched: 2024
  • Type: Central Sector Scheme.
  • It is world's largest domestic rooftop solar initiative.
  • Subsidy Structure: Central Financial Assistance (CFA) under the scheme varies based on the household's average monthly electricity consumption and the corresponding suitable rooftop solar plant capacity:

Average Monthly Electricity Consumption (Unit)

Rooftop Solar Plant Capacity

Subsidy Support

0-150

1–2 Kw

₹30000 – ₹60000

150-300

2–3 kW rooftop solar system

₹60000 – ₹78000

>300

Above 3 kW rooftop solar system

₹78000

  • Eligibility:
    • Indian residential households with suitable rooftops for installation of solar panels and valid electricity connection.
    • The household must not have availed any other subsidy for rooftop solar
  • Collateral free loans: At around 7% interest for the installation of residential rooftop solar (RTS) systems up to 3 kW.
  • Model Solar Village: One village in each district to act as a role model for the adoption of RTS in rural areas.
  • Other Features of the Scheme
    • Incentives to Local Bodies: Incentives provided to Urban Local Bodies and Panchayati Raj Institutions to promote rooftop solar installations in their areas.
    • National Portal: A dedicated portal enabling households to apply for subsidies and select approved vendors for rooftop solar installation.
    • Payment Security Mechanism: Provision for payment security for Renewable Energy Service Company (RESCO) models along with a fund for innovative rooftop solar (RTS) projects.
    • Capacity Building: The MNRE aims to impart training on installation, operation, maintenance and repairs of solar rooftop systems at grassroot levels.

Explore Related Content

Discover more articles, videos, and terms related to this topic

RELATED TERMS

3

Renewable Energy Service Company (RESCO) models

A business model where a company installs and operates a renewable energy system (like rooftop solar) on a customer's premises, selling the generated energy to the customer. The scheme includes a provision for payment security for these models.

Model Solar Village

A designated village in each district that serves as an exemplary model for the adoption of rooftop solar (RTS) technology in rural areas, encouraging wider acceptance and implementation.

Rooftop Solar (RTS)

Refers to the installation of solar photovoltaic (PV) panels on the roofs of residential, commercial, or industrial buildings. It is a decentralized form of solar power generation that allows consumers to generate their own electricity.

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