Panchayati Raj Ministry urges states to push implementation of rooftop solar scheme

New Delhi: The Centre has said it would incentivise Panchayati Raj Institutions to promote rooftop solar installations in the rural community under the PM-Surya Ghar: Muft Bijli Yojana as it urged the states to work for the successful implementation of the scheme.

The Panchayati Raj Ministry has written to states to share guidelines of the ambitious scheme launched in February 2024 to install rooftop solar panels and provide free electricity up to 300 monthly units for one crore households.

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In a letter dated July 8 to all state departments, Additional Secretary of the Panchayati Raj Ministry Chandra Shekhar Kumar asked officials to share the operational guidelines of the scheme with the Panchayati Raj Institutions, officers of State Panchayati Raj Departments and other stakeholders for greater understanding.

He also called for taking "necessary actions to actively involve in the successful implementation of the PM Surya Ghar: Muft Bijli Yojana".

The Additional Secretary said the scheme would also incentivise Panchayati Raj Institutions (PRIs) to promote rooftop solar installations in the rural community and contribute to adopting clean energy in rural areas and create a new Source of Revenue for PRIs.

The Centre approved the scheme to increase the share of solar rooftop capacity and empower residential households to generate their own electricity.

The scheme has an outlay of Rs 75,021 crore and is to be implemented till FY 2026-27.

It provides a central financial assistance (CFA) of 60 per cent of system cost for 2 kW systems and 40 per cent of additional system cost for systems between 2 kW to 3 kW capacity. The CFA will be capped at 3 kW.

The scheme has a Rs. 800 crore budget to develop a "model village" in each district for the adoption of rooftop solar in rural areas and a Rs 1000 crore outlay for incentivising local bodies to promote rooftop solar (RTS) installations in their areas.

At current benchmark prices, this will mean Rs 30,000 subsidy for 1 kW system, Rs 60,000 for 2 kW systems and Rs 78,000 for 3 kW systems or higher.

The guidelines also provide an option for giving up the subsidy, which can be availed through the PM Surya Ghar National Portal.

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