Transforming India’s Rooftops: A Deep Dive into PM-Surya Ghar Muft Bijli Yojana


In a significant move towards sustainable energy, the Cabinet has given the nod to the PM-Surya Ghar Muft Bijli Yojana, a rooftop solar subsidy scheme with an outlay of Rs 75,021 crore. Launched by Prime Minister Narendra Modi on February 13, 2024, the scheme targets the installation of rooftop solar panels in one crore households. Let’s delve into the details of this transformative initiative.

Financial Facilitation:

The scheme introduces central financial assistance with a subsidy of Rs 30,000 for 1 kW systems, Rs 60,000 for 2 kW systems, and Rs 78,000 for 3 kW systems or higher. This not only makes solar energy more accessible but also encourages households to embrace this eco-friendly power source.

Direct Subsidies and Concessional Loans:

With a focus on minimizing the financial burden on citizens, substantive subsidies will be provided directly to the beneficiaries’ bank accounts. Additionally, heavily concessional bank loans will be extended to ensure affordability. This dual-pronged approach aims to make solar energy adoption financially viable for households across the country.

Application Process:

To facilitate the scheme’s implementation, households can apply for subsidies through the national portal. They have the flexibility to choose a suitable vendor for installing rooftop solar panels. This decentralized approach empowers consumers while promoting competition among vendors.

Collateral-Free Low-Interest Loans:

Recognizing the financial constraints that may hinder the adoption of solar energy, the scheme offers collateral-free low-interest loans at present rates of around 7%. This enables households to install solar panels without a substantial financial burden, further encouraging widespread participation.

Model Solar Villages:

To promote awareness and adoption in rural areas, Model Solar Villages will be established in each district. These villages will serve as examples, showcasing the benefits and feasibility of rooftop solar installations in rural settings.

Integration of Stakeholders:

To enhance convenience, all stakeholders will be integrated into a National Online Portal. This centralized platform aims to streamline the application process, ensuring efficiency and transparency.

Incentives for Local Bodies:

Recognizing the pivotal role of urban local bodies and panchayats, the scheme incentivizes them to promote rooftop solar systems within their jurisdictions. This bottom-up approach ensures that the benefits of the scheme reach even the grassroots level.

India’s Solar Energy Ambitions:

Solar energy is a key component of India’s ambitious target of generating 500 GW of renewable energy by 2030. The country has witnessed a significant increase in solar energy capacity additions, highlighting its growing importance in the overall energy landscape.

How to Apply:

The application process is user-friendly, allowing households to apply through the official portal ( After registration, applicants can select vendors, and upon feasibility approval, proceed with the installation. The final steps involve applying for a net meter and submitting necessary documentation for subsidy disbursement.

PM-Surya Ghar Muft Bijli Yojana is a monumental step towards making solar energy an integral part of Indian households. By combining financial incentives, concessional loans, and a decentralized application process, the government aims to empower citizens to embrace clean and sustainable energy solutions. This initiative not only contributes to environmental conservation but also aligns with India’s broader vision of a greener and sustainable future.

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