The Pradhan Mantri Surya Ghar Muft Bijli Yojana is a major clean energy initiative by the Government of India aimed at empowering households with affordable solar rooftop power. It was approved by the Union Cabinet in February 2024 with a significant outlay to transform residential energy consumption and promote renewable sources. The core idea of the scheme is to install solar rooftop systems on one crore homes, enabling families to generate their own electricity and receive up to 300 units of free power every month, thereby reducing electricity bills and promoting environmental sustainability.
Solar energy has become a priority for India’s energy strategy, and this scheme contributes to national targets to expand renewable energy capacity, reduce dependence on fossil fuels, and cut carbon emissions. By making solar rooftop installations affordable through subsidies and low‑interest loans, the scheme encourages clean energy adoption across both urban and rural India.
Overview of Pradhan Mantri Surya Ghar Muft Bijli Yojana
| Particulars | Details |
|---|---|
| Scheme Name | Pradhan Mantri Surya Ghar Muft Bijli Yojana |
| Launched By | Government of India |
| Implementing Body | Ministry of New and Renewable Energy |
| Target | 1 crore residential households |
| Coverage | Rooftop solar installation up to 3 kW |
| Benefits | Up to 300 free units of solar electricity per month |
Why the Scheme Was Launched
The scheme was launched to achieve multiple goals:
- Empower households to generate their own clean electricity and significantly reduce power bills.
- Accelerate the adoption of solar energy across India to meet renewable energy targets.
- Reduce reliance on fossil fuel‑based power and cut carbon emissions.
- Create jobs in the renewable energy sector through large‑scale installations and maintenance.
- Provide clean, reliable, and affordable power even in remote areas.
The scheme complements India’s climate commitments and supports the goal of producing 500 GW of renewable energy capacity by 2030.
Key Features of the Scheme
Free and Reduced Electricity Bills
Under the scheme, households installing rooftop solar panels can receive:
- Up to 300 units of solar electricity per month free, depending on system capacity and sunshine availability.
- The solar power generated reduces grid dependency and electricity bills.
- Excess power can potentially be sold back to the grid under net‑metering arrangements, creating additional income.
Subsidies and Financial Support
The government provides Central Financial Assistance (CFA) to make rooftop solar affordable:
- 60 % subsidy of the system cost for installations up to 2 kW capacity.
- 40 % subsidy for additional capacity from 2 kW to 3 kW.
- Subsidy is typically capped at a total of about ₹78,000 for a 3 kW system.
Low‑Interest Loans
Households can access collateral‑free, low‑interest loans (around 7 %) to cover installation costs, making the transition to solar manageable even for low and middle‑income families.
Model Solar Villages
The scheme design includes establishing a Model Solar Village in each district to demonstrate and promote solar adoption, especially in rural communities.
Eligibility Requirements
To qualify for the scheme, applicants generally need to meet the following criteria:
- Must be an Indian citizen with a legal residential address in India.
- Must own a house with a rooftop surface suitable for solar panel installation.
- Must have a valid electricity connection at the residential address.
- Must not have availed a similar central subsidy for rooftop solar previously.
The installation system size is typically limited to up to 3 kW capacity per household under the subsidy structure.
Benefits of the Scheme
Financial Benefits for Families
- Major reduction or elimination of monthly electricity expenses.
- Possible additional income from selling excess solar power to the grid.
- Subsidies significantly lower upfront costs for solar systems.
Environmental and Social Benefits
- Increased renewable energy capacity contributes to national decarbonisation goals.
- Reduced dependence on fossil fuel‑based electricity generation.
- Creation of jobs in manufacturing, installation, and maintenance of solar systems.
Convenient Implementation
- Applications are made through a national rooftop solar portal, assisting beneficiaries in vendor selection and cost calculation.
Application Process
The application process is primarily online and involves the following steps:
- Visit the official portal dedicated to the scheme.
- Register using basic residential and electricity connection details.
- Choose from empanelled vendors for installation on the portal.
- Submit required documents including identity proof and electricity bill.
- After installation and inspection, the subsidy is transferred to the applicant’s bank account.
Vendors often assist with paperwork and installation logistics, simplifying the process for homeowners.
Documents Required
Common documents typically include:
- Aadhaar or other valid identity proof.
- Electricity connection details and recent bill.
- Bank account details for receiving subsidy.
- Proof of roof ownership or residence at the installation address.
Comparison Table: Key Features
| Feature | Details |
|---|---|
| Maximum Free Electricity | Up to 300 units per month |
| Subsidy for Up to 2 kW | 60 % of system cost |
| Subsidy for 2–3 kW | 40 % of additional cost |
| Maximum Subsidy Value | ₹78,000 for 3 kW systems |
| Loan Facility | Collateral‑free loans at ~7 % |
| Target | 1 crore households |
Challenges and Considerations
Though impactful, the scheme faces some implementation challenges:
- Ensuring timely installation and grid connectivity across regions.
- Awareness among rural households about solar benefits and application procedures.
- Quality assurance for system components and vendor services.
Ongoing efforts aim to improve awareness, streamline vendor engagement, and strengthen quality control.
Conclusion
The Pradhan Mantri Surya Ghar Muft Bijli Yojana is a transformative programme that promotes renewable energy adoption at the household level while offering significant economic relief to families. By providing up to 300 units of free electricity monthly and substantial subsidies for solar rooftop installations, the scheme not only reduces electricity bills but also supports national climate goals and energy independence. Eligible households should leverage this opportunity to switch to clean energy and benefit financially and environmentally.
FAQs
- How many units of free electricity does the scheme provide?
Eligible households can receive up to 300 units of free solar electricity per month. - What subsidy is offered under the scheme?
The government offers 60 % subsidy up to 2 kW and 40 % for 2–3 kW systems, capped at around ₹78,000. - Where do I apply for the scheme?
Applications are submitted through the official PM Surya Ghar rooftop solar portal.
