Farmers, Save Money And The Environment With PM-KUSUM Scheme

The PM-KUSUM Scheme (Pradhan Mantri Kisan Urja Suraksha evam Utthan Mahabhiyan) is an initiative of the Government of India to promote the use of renewable energy sources and enhance the financial security of farmers. The scheme aims to install grid-connected solar power plants and solar pumps in rural areas, along with providing financial and technological support to farmers.

Overview

As of February 2023, the scheme has resulted in the installation of grid-connected solar power plants with a capacity of 89.45 MW and the solarization of 2.09 lakh agriculture pumps. These initiatives have led to a reduction of 0.67 million tonnes of carbon dioxide emissions and a decrease in diesel consumption by 143 million liters per year.

The scheme has undergone various amendments, including the extension of the scheme till March 2026, introduction of feeder level solarization, allowing solar power plants on pasturelands and marshlands of farmers, and the financial assistance available for pump capacity up to 15 HP has been raised for individual farmers in several states.

Other amendments include allowing Central Financial Assistance (CFA) for solar pump capacity higher than 7.5 HP for Water User Associations, Farmer Producer Organisations and Primary Agriculture Credit Societies, waiving off the domestic content requirement for solar cells in feeder solarization projects and revising tender conditions to expedite extending benefits under the scheme. Rajasthan has the highest number of beneficiaries under the scheme  followed by Maharashtra and Haryana.

Important Information

• This Scheme has been extended till 31st March 2026.
• It now includes Feeder level solarization as a part of Component-C.
• Farmers are now permitted to install solar power plants on their pasturelands and marshlands under the scheme.
• Component-A penalty on solar power generator for insufficient solar power generation has been eliminated.
• In certain states, Central Financial Assistance (CFA) is available for pump capacity up to 15 HP, which is an increase from the previous limit of 7.5 HP.
• Central Financial Assistance is allowed for solar pump capacity higher than 7.5 HP for Water User Associations, Farmer Producer Organisations, Primary Agriculture Credit Societies, and cluster-based irrigation systems.
• The procurement of standalone solar pumps is now allowed through state-level tenders.
• The time period for implementation has been extended to 24 months from the date of initial sanction.
• Component-C projects are no longer required to adhere to the domestic content requirement for solar cells.
• Under Feeder Level Solarization, farmers have the option to install meters with their agricultural electricity connections.
• 33% of eligible service charges under the scheme are now designated for nationwide Information, Education and Communication (IEC) initiatives.

Conclusion

Several steps have been taken by the Ministry of New and Renewable Energy to accomplish the goals of the PM-KUSUM Scheme. The scheme aims to promote the use of solar energy in agriculture by providing financial support to farmers for setting up solar pumps and solar power plants. The scheme has been amended several times to make it more effective and easier to implement. As of February 28, 2023, the scheme has resulted in the installation of grid-connected solar power plants with a capacity of 89.45 MW and the solarization of 2.09 lakh agriculture pumps. This has reduced carbon dioxide emissions by 0.67 million tonnes and diesel consumption by 143 million litres per annum.