PM-KUSUM Scheme supports three different kind of installations:

1. Component-A: Setting up of decentralized ground/stilt mounted grid connected solar or other renewable energy based power plants up to 2 MW capacity.
2. Component-B: Installation of stand-alone solar agriculture pumps of capacity up to 7.5 HP.
3. Component-C: Solarisation of existing grid connected agriculture pumps of capacity up to 7.5 HP.

Under this component, solar or other renewable energy based power plants of capacity 500 kW to 2 MW can be installed on barren or uncultivable agriculture land mainly. Agriculture land is also permitted provided that solar plants are installed in slit fashion (raised structure) with adequate spacing for ensuring farming activity is not affected.

Individual farmers/ group of farmers/ cooperatives/ panchayats/ Farmer Producer Organisations (FPO)/ Water User associations (WUA). Land should be within 5 km from the nearest electricity sub-station.

Power generated will be purchased by the local electricity distribution companies (Discoms).

Yes, farmers can either install renewable power project on their land or lease the land on rent to a developer at mutually agreed terms.

The renewable power generated will be purchased by DISCOMs at a pre-fixed levelised tariff. PPA duration is 25 years. Procurement based incentive (PBI) of 40 paisa per unit or Rs. 6.6 lakh per MW per annum, whichever is lower, will be provided to DISCOM for five years.

Farmers can replace their existing diesel powered agriculture pumps with standalone solar pumps of capacity up to 7.5 HP in off-grid areas. Pumps higher than 7.5 HP may be allowed, but central subsidy will be limited to subsidy applicable for 7.5 HP pump.

Individual farmers, Water User Associations and community/cluster based irrigation system will be covered.

For all states except NE States, Hill States/UTs and Island UTs: 30% Central + 30% State subsidy, remaining 40% by farmer. For NE States, Himachal, Uttarakhand, J&K/Ladakh, Island UTs: 50% Central + at least 30% State, farmer invests balance 20%.

Farmers can solarize their existing grid connected agriculture pumps of capacity up to 7.5 HP. Solar PV capacity up to two times of pump capacity in kW is allowed. Excess solar power will be sold to DISCOMs.

Please visit mnre.gov.in/solar/schemes/ or call toll free number 1800-180-3333.