PM-KUSUM Yojana: Say goodbye to diesel and electricity bills! Install solar pumps with up to 60% subsidy and learn how to apply.
Rising irrigation costs pose a major challenge for farmers. Under the PM-KUSUM Yojana, farmers can address this issue by installing solar agricultural pumps. The scheme offers a subsidy of up to 60%.
Irrigation expenses are a significant burden for farmers. Suresh, a farmer from Rampur, notes that he used to spend heavily on diesel, but thanks to the KUSUM Yojana, he now farms using a solar pump, resulting in lower costs. With diesel being expensive and electricity supply often unreliable, farmers are forced to spend more to save their crops. In this context, the *Pradhan Mantri Kisan Urja Suraksha evam Utthan Mahabhiyan* (PM-KUSUM Yojana) proves to be highly beneficial. Under this scheme, eligible farmers receive government financial assistance to install solar agricultural pumps. This initiative not only reduces current irrigation costs but also paves the way for a self-reliant and prosperous future for farmers.
How does the subsidy benefit farmers?
Under the PM-KUSUM Yojana, a central financial subsidy of 30% is provided based on either the benchmark cost or the tender cost—whichever is lower—for standalone solar agricultural pumps (pumps not connected to the electricity grid). Additionally, the state government is required to provide a subsidy of at least 30%. Consequently, farmers can receive total financial support of at least 60%, while they are responsible for contributing the remaining 40% (maximum).
Farmers may need to pay only 10% upfront
Farmers can also seek financial assistance from banks to cover their share of the cost. In such cases, the farmer might only need to deposit about 10% of the amount upfront, with a portion of the remaining eligible share covered by a bank loan. However, the actual payment structure will depend on the specific state scheme, the cost of the pump, and applicable regulations. Central assistance of up to 50% in certain states
In regions such as the Northeastern states, Sikkim, Jammu & Kashmir, Himachal Pradesh, Uttarakhand, Lakshadweep, and the Andaman & Nicobar Islands, central financial assistance can reach up to 50%. In these areas, after the state government contributes at least 30%, the farmer's share is limited to a maximum of 20%.
Option to install solar pumps up to 7.5 HP
Under Component-B of the PM-KUSUM scheme, farmers in off-grid areas receive assistance to install standalone solar agricultural pumps (solar pumps not connected to the electricity grid) with capacities of up to 7.5 horsepower. Farmers can choose the pump capacity based on their irrigation needs; pumps with capacities of 3 HP, 5 HP, and 7.5 HP are commonly used.
The PM-KUSUM scheme is not limited to solar pumps alone. Under Component-A of the scheme, farmers, groups of farmers, cooperatives, panchayats, FPOs, and other eligible entities can also set up grid-connected solar power plants (solar power plants linked to the electricity grid). Electricity can be generated from such plants subject to the conditions stipulated in the scheme.
A way to earn by selling surplus electricity
Where the grid-connected solar system (solar setup linked to the electricity grid) is implemented under the scheme, farmers can sell surplus electricity—remaining after meeting their own needs—to the respective electricity distribution company (DISCOM). Payment for this is made according to the tariff determined by the state regulator and the rules of the scheme.
Online application process and list of required documents
If you wish to avail the benefits of the PM-KUSUM scheme, there is no need to deal with middlemen. First, visit the scheme's official government website (pmkusum.mnre.gov.in) or the portal of your state's New and Renewable Energy Development Agency—such as UPNEDA (https://upneda.org.in/index-hi) in Uttar Pradesh. Navigate to the farmer registration option and upload your Aadhaar number, land record (Khatauni), bank passbook, and a passport-sized photograph.
Beware of fake websites and agents.
The official portal has issued a warning regarding complaints about fake websites and apps soliciting money from farmers—under the guise of registration fees or pump costs—in the name of the PM-KUSUM scheme. Therefore, before making any payment to an unfamiliar agent, ensure you verify the authenticity of the website and the application agency.

