The Indian government took a significant stride towards sustainable energy with the official launch of the rooftop solar scheme, PM Surya Ghar: Muft Bijli Yojana, as announced in the interim budget. This ambitious initiative, projected to require an investment of ₹75,000 crore, aims to illuminate one crore households by providing up to 300 units of free electricity every month.
Prime Minister Modi’s Declaration
Prime Minister Narendra Modi, unveiling the scheme on a popular social media platform, underscored the administration’s unwavering commitment to providing free power to 10 million beneficiary households. “In order to further sustainable development and people’s well-being, we are launching the PM Surya Ghar: Muft Bijli Yojana,” stated Modi in a tweet, highlighting the transformative potential of the project.
Focus on Free Electricity and Grassroots Promotion
With the impending general elections lending added significance to the focus on free electricity, Prime Minister Modi emphasised the role of urban local bodies and panchayats in promoting rooftop solar systems at the grassroots level. He asserted that the scheme would not only lead to more income, lower power bills, and employment generation but also ensure seamless integration of all stakeholders through a National Online Portal.
Financial Incentives and Subsidies
The government’s commitment to easing the financial burden on citizens was reiterated by Modi, who outlined a range of subsidies and concessional bank loans. Direct subsidies into people’s bank accounts and heavily concessional bank loans are poised to facilitate widespread adoption of rooftop solar installations, ensuring accessibility and affordability for all.
Implementation Framework and Loan Repayment
Under the PM Surya Ghar: Muft Bijli Yojana, the implementation will be carried out through Special Purpose Vehicles (SPVs) established by designated central public sector enterprises (CPSEs) for each state. Union Minister for New and Renewable Energy, R.K. Singh, revealed that the subsidy for rooftop solar installations has been increased to approximately 60% under the new scheme, compared to the existing 40%. The SPVs will manage the loans, with excess power generated by households contributing towards loan repayment over a ten-year period. Upon repayment, households will gain ownership of the rooftop solar infrastructure, enabling them to sell excess power to distribution companies (discoms).
The launch of PM Surya Ghar: Muft Bijli Yojana marks a significant step towards harnessing solar energy to empower households across India. With its emphasis on accessibility, affordability, and sustainability, this initiative heralds a new era of energy independence and prosperity for millions of Indians.
