New Delhi: Cabinet okays Rs 75K cr rooftop solar scheme

New Delhi : The government on Thursday approved a rooftop solar scheme, PM-Surya Ghar: Mufti Bijli Yojna, with an outlay of Rs 75,021 crore, to provide up to Rs 78,000 subsidy for the installation of solar plants and 300 units free power for one crore households. Briefing the media after the Union Cabinet meeting, Telecom Minister Ashwini Vaishnaw and I&B Minister Anurag Thakur told reporters that approval has been given for the scheme for installing rooftop solar and providing free electricity up to 300 units every month for one crore households.

"The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved PM-Surya Ghar: Muft Bijli Yojana with a total outlay of Rs 75,021 crore for installing rooftop solar and providing free electricity up to 300 units every month for one crore households," an official statement said. The Prime Minister launched the scheme on 13th February 2024. The scheme 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. 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 households will apply for subsidy through the National Portal and will be able to select a suitable vendor for installing rooftop solar.

The National Portal will assist the households in their decision-making process by providing relevant information such as appropriate system sizes, benefits calculator, vendor rating etc. Households will be able to access collateral-free low-interest loan products of around 7 per cent at present for installation of residential RTS (rooftop solar) systems up to 3 kW. Other Features of the scheme include a Model Solar Village to be developed in each district to act as a role model for adoption of rooftop solar in rural areas. Besides, Urban Local Bodies and Panchayati Raj Institutions shall also benefit from incentives for promoting rooftop solar (RTS) installations in their areas.