The PM Surya Ghar Muft Bijli Yojana, introduced by Prime Minister Narendra Modi under the Solar Rooftop Scheme 2024, aims to provide affordable solar energy to Indian households.
This initiative enables the installation of rooftop solar panels, offering free electricity and promoting clean, sustainable energy. By reducing dependency on traditional energy sources, the scheme seeks to ease financial burdens for low-income and middle-class families.
In the 2024-25 budget, Finance Minister Nirmala Sitharaman introduced the 'Rooftop Solar Scheme' or the 'PM Surya Ghar Muft Bijli Yojana.' This initiative offers subsidies for the installation of rooftop solar panels in residential properties, promoting the utilization of solar energy for electricity generation. By leveraging solar power, households can effectively reduce their electricity expenses.
The government has, however, made adjustments to the Rs.75,000-crore PM-Surya Ghar Muft Bijli Yojna. Initially, the scheme aimed to provide full subsidies for installing 1-3 KW solar systems in one crore households through partnerships with renewable energy service firms. However, the revised plan now involves covering only up to 60% of the installation costs.
The Finance Minister introduced a new rooftop solar scheme in the 2024-25 Budget, subsequently launched by the Prime Minister as the ‘PM Surya Ghar Muft Bijli Yojana’. Solar panels are installed in households under this initiative to provide electricity and generate additional income through surplus electricity sales. The Central Government will offer significant subsidies directly to individuals' bank accounts and highly concessional bank loans to alleviate any financial burden.
This scheme is projected to help poor and middle-class households save between Rs. 15,000 to Rs. 18,000 crores annually by accessing free solar electricity and selling excess power to distribution companies. The government aims to install solar panels in one crore homes nationwide under this program.
The objectives of the said scheme are given below:
The benefits of this scheme are given below:
The subsidy rates for PM Surya Ghar Muft Bijli Yojana are given below in the table:
Average Monthly Use of Electricity (in units) | Capacity of Rooftop Solar Plant | Subsidy Rate |
0-150 | 1-2 kW | Rs.30,000 – Rs.60,000 |
150-300 | 2-3 kW | Rs.60,000 – Rs.78,000 |
More than 300 units | Above 3 kW | Rs.78,000 |
Photovoltaic panels, commonly referred to as rooftop solar panels, are mounted on the roofs of residential or commercial buildings and linked to the central power supply system. This setup reduces dependence on grid-connected electricity, resulting in cost savings.
Net Metering enhances the financial viability of the entire process. It allows any excess energy generated by the solar panels to be sold back to electricity distribution companies at a fair price. Consequently, this practice significantly lowers overall electricity expenses by ensuring a balance between consumption and contribution.
The eligibility criteria are given below:
Given below are the steps to apply for PM Surya Ghar Muft Bijli Yojana:
The PM Surya Ghar Muft Bijli Yojana is a significant step toward achieving sustainable energy for all. By making solar energy accessible, the government is empowering citizens to save on energy costs and contribute to a greener future. This scheme is particularly beneficial for economically weaker sections and middle-class families, helping them reduce their financial burden while promoting renewable energy adoption.
Applying for the Rooftop Solar Scheme or the PM Surya Ghar Muft Bijli Yojana can be done by going to the program's official website and selecting the "Apply for Rooftop Solar" option.
Installing rooftop solar PV systems is possible on any kind of roof with enough load capacity.
Any type of framework, such as net or gross metering, allows the electrical consumer to install the RTS. Thus, the applicant may install the RTS if he or she has a connection to the electrical system in their name, pays their own electricity bills on time, and has the owner's consent to use the roof for solar rooftop installation.
In India, there isn't a government initiative for free solar panel installation. Nonetheless, the government unveiled the PM Surya Ghar Muft Bijli Yojana, also known as the Rooftop Solar Scheme, with the goal of installing solar panels in homes and achieving solar energy generation and utilisation in households. Depending on the capacity of the solar plant, the government offers a subsidy under this scheme for the installation of solar panels that ranges from Rs. 30,000 to Rs. 78,000.
It is simple to disassemble and reassemble the system somewhere else. It can therefore be moved to a new home.
Depending on the capacity of the solar plant, the recently announced PM Surya Ghar Muft Bijli Yojana offers a subsidy for the installation of solar panels ranging from Rs.30,000 to Rs.78,000.
One crore homes are to have solar panels installed as part of the Rooftop Solar Scheme in order to provide electricity and generate extra revenue from the surplus electricity produced. This programme will enable low-income and middle-class households to sell their excess solar power to electrical distribution firms, thereby saving them somewhere between Rs. 15,000 and Rs. 18,000 crores annually.
The scheme was extended to March 2026 in August 2022. By March 2026, the scheme hopes to install 34,800 MW of solar power, with Rs 34,422 crore in central financial support.
Every farmer, whether working alone or in teams. Every association of water users. Depending on which is less, the distribution corporation's capacity or the amount of land, the solar power plant's capacity should be 2 MW.
The Government of India had launched the PM Surya Ghar Muft Bijlee Yojana to facilitate installation of rooftop solar panels. This would enable 1 crore households to get free electricity of up to 300 units per month. More than 1.28 crore registrations and 14 lakh applications have been received so far.
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