New Delhi, 13 MAR
The PM Surya Ghar: Muft Bijli Yojana has achieved a major milestone, with 10 lakh homes now using solar power as of March 10, 2025. Launched by Prime Minister Narendra Modi on February 13, 2024, this initiative is helping millions of families get access to clean energy. So far, the scheme has received 47.3 lakh applications, and ₹4,770 crore in subsidies has been given to 6.13 lakh families.
To make solar adoption easier, collateral-free loans up to ₹2 lakh at a 6.75% interest rate are available through 12 public sector banks. Additionally, the subsidy is transferred within 15 days, ensuring a smooth and quick process. Each solar panel setup under this scheme reduces carbon emissions equal to planting 100 trees, contributing to a greener future.
Many states are making significant progress under this scheme. Chandigarh and Daman & Diu have become the first to achieve 100% rooftop solar installations on government buildings. Other states like Rajasthan, Maharashtra, Gujarat, and Tamil Nadu are also performing well. The government is closely monitoring the progress across all states, aiming to reach 1 crore households by 2026-27.
The scheme brings several benefits for households and the government. Families can enjoy free electricity with subsidized rooftop solar panels, significantly reducing their monthly electricity bills. The initiative is also expected to help the government save ₹75,000 crore annually in power costs. By increasing the use of renewable energy, the scheme will help lower carbon emissions, making India’s energy system more sustainable and environmentally friendly.
The subsidy amount depends on the household’s average monthly electricity usage. Households consuming 0-150 units per month can get a subsidy of ₹30,000 – ₹60,000 for a 1-2 kW solar system. Those using 150-300 units can receive ₹60,000 – ₹78,000 for a 2-3 kW system. Families using more than 300 units can get ₹78,000 for a system of more than 3 kW. Applications can be submitted through the National Portal, where households can choose an approved solar panel vendor and get an estimate for installation. Once installed, the subsidy is processed within 15 days.
To further support homeowners, collateral-free loans are available at a 7% interest rate for solar systems up to 3 kW. This makes it easier for middle- and low-income families to afford solar energy solutions.
The impact of the scheme is far-reaching. Households will save on electricity bills and can sell surplus solar power to DISCOMs for additional income. A 3-kW solar system can generate over 300 units per month, ensuring stable energy supply. The scheme aims to add 30 GW of rooftop solar capacity, bringing India closer to its renewable energy goals. Over the next 25 years, it is estimated that the scheme will generate 1,000 BUs of electricity while reducing CO₂ emissions by 720 million tonnes, making a significant contribution to the environment.
The scheme will also create around 17 lakh jobs in manufacturing, logistics, supply chain, sales, installation, and maintenance, boosting employment and economic growth. Additionally, it supports Make in India by requiring the use of domestically produced solar modules and inverters. As of March 10, 2025, the scheme has already enabled the installation of 3 GW of rooftop solar power, with a target of 27 GW by 2027.
An exciting feature of the scheme is the Model Solar Village project. Under this initiative, one Model Solar Village will be developed in each district. The government has allocated ₹800 crore for this initiative, providing ₹1 crore per selected village to promote energy self-reliance. To qualify, villages must have a minimum population of 5,000 (or 2,000 in small states). Villages with the highest renewable energy capacity after six months will receive central financial assistance of ₹1 crore.
The PM Surya Ghar: Muft Bijli Yojana is transforming India’s energy landscape by making solar power affordable and accessible to millions. With easy financing, quick subsidies, and a digital application process, more families can switch to clean energy without financial stress. Beyond reducing electricity costs, this initiative is driving economic growth, job creation, and a sustainable future, making it a key part of India’s clean energy transition.
(Source: PIB)
