For agricultural / farmers, panchayats, cooperatives, Farmer Producer Organizations (FPO), Water User Associations (WUA)

For agricultural / farmers, panchayats, cooperatives, Farmer Producer Organizations (FPO), Water User Associations (WUA) in All States and UTs — Pan India — this guide covers the PM KUSUM Scheme (Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan). Administered by Ministry of New and Renewable Energy (MNRE), Government of India; State Nodal Agencies. Below are subsidy rates, eligibility, technical rules, documents, and scheme process.

Subsidy benefits

• Component A (Solar Plants 500 kW–2 MW): No direct CFA
• farmers earn from grid power sale (PPA tariff)
• Component B (Standalone Solar Pumps up to 7.5 HP): 30% Central CFA
• 30% State subsidy = 60% total
• farmer pays 10% upfront
• 30% via concessional bank loan (7-year tenure)
• Component C (Grid-Connected Pump Solarisation): Same 60% structure (30%
• 30%)
• North-East, J&K, Ladakh: 50% Central CFA (higher)
• Benchmark cost (5 HP pump): ₹3,00,000 approx
• farmer pays ₹30,000 only

Authority and scope

• Government body: Ministry of New and Renewable Energy (MNRE), Government of India; State Nodal Agencies
• Nodal agency: MNRE PM KUSUM Division
• Eligible for: agricultural / farmers, panchayats, cooperatives, Farmer Producer Organizations (FPO), Water User Associations (WUA)
• Installation type: Ground-mounted solar plants (A); Solar pumps (B & C)

Eligibility and disbursement

• Open to multiple consumer categories.
• Income restrictions: Component A: Individual farmers / cooperatives / panchayats / FPOs with barren / wasteland. Component B: Farmers in off-grid / grid-connected areas needing irrigation pumps. Component C: Farmers with existing grid-connected agricultural pumps. SC/ST farmers get priority in most states.
• Disbursement timeline: 45–90 days from application to installation (varies by state)
• Disbursement mode: Central CFA directly to vendor; State subsidy from SNA to vendor; farmer pays 10%
• Subsidy rate: up to 60%
• Maximum capacity: 2000 kW

Net metering and technical rules

• Net metering is available under this scheme.
• Net metering policy: Component A: Feed-in tariff via PPA with DISCOM (SERC-approved rates per state). Component C: Excess solar sold to DISCOM at state-specific SERC tariff.
• Gross metering policy: Components A & C use Power Purchase Agreement (PPA) model.
• Hybrid policy: Agrivoltaics (Agri-PV) permitted — crops can be grown under solar panels.
• DISCOM requirements: Component A: PPA with respective DISCOM (state-specific). Component C: SERC-approved tariff; DISCOM approval for feeder solarisation.

How to apply

Register on MNRE PM KUSUM portal or state SNA portal

Specify Component (A/B/C), pump capacity, and land details

Upload land documents, Aadhaar, agricultural proof

SNA verifies land eligibility

For Component A: Submit DPR; sign PPA with DISCOM

For Component B/C: Select empanelled vendor for pump installation

SNA/DISCOM inspection after installation

CFA released to vendor; farmer pays only 10% share

Bank loan for 30% balance (7-year tenure, concessional rate)

Documents required

• Aadhaar card
• Land ownership / pattadar passbook / 7/12 extract
• Agricultural activity proof
• Existing electricity connection (Component C)
• Bank account details
• Borewell depth certificate
• Soil type / hydrology certificate (state-specific)
• Passport-size photo

Additional details

• Scheme budget: ₹34,422 crore total Central Financial Assistance; target 34,800 MW by March 2027 (extended)
• Target beneficiaries: Component A: Farmers/landowners for 10,000 MW decentralised solar plants. Component B: 14 lakh standalone solar pumps. Component C: 35 lakh grid-connected pump solarisations. PM KUSUM 2.0 proposed to expand to 7.5 lakh additional solar pumps.
• Progress: As of March 2026: 3.5 lakh+ solar pumps installed under Component B. Component C: 2,000+ MW solarised. Timeline extended to March 31, 2027 by MNRE. Top states: Rajasthan, UP, Maharashtra, Karnataka, MP.