PM Surya Ghar Muft Bijli Yojana (PMSGMBY)
The PMSGMBY was announced in February last year to increase solar power generation in India and reduce dependence on thermal power. It aims to supply solar power to 10 million homes by March 2027.
Subsidy Details
- Residential households receive subsidies for installing solar systems:
- ₹30,000 for a 1-kilowatt (Kw) system.
- ₹60,000 for a 2 Kw system.
- ₹78,000 for 3 Kw and beyond.
Benefits
- Lower electricity bills for households.
- Option to sell excess power back to the grid.
Funding and Demand
- Initial funding of ₹6,250 crore was revised to ₹11,100 crore in Budget 2024-25; further allocated ₹20,000 crore in Budget 2025-26.
- 4.73 million applications indicate strong demand.
Challenges and Performance
- As of March, only 10% of the target achieved, with an average installation rate of 70,000 per month.
- Coverage skewed, with Gujarat and Maharashtra contributing two-thirds of installations.
- Quality issues with equipment due to inexperienced installers and lack of standardization.
- Reluctance from state-owned discoms due to financial concerns.
Recommendations
- Publish standards for rooftop solar system components to ensure quality.
- Adopt a mission-mode approach similar to Swachh Bharat and Har Ghar Nal Se Jal schemes.
- Address discoms' concerns to improve grid integration of solar power.
The scheme has the potential to significantly reduce thermal power dependence and should be optimized for better performance.
