How Does the PM-KUSUM Scheme Benefit Over 20.42 Lakh Farmers?
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New Delhi, Dec 16 (NationPress) More than 20.42 lakh farmers have reaped benefits from the PM-KUSUM scheme, which allows them to establish solar power plants and irrigation pumps on their agricultural land, as reported in Parliament on Tuesday.
In a written response to a question in the Rajya Sabha, Shripad Yesso Naik, the Minister of State for New and Renewable Energy, stated that the PM-KUSUM initiative is driven by demand. The allocation of capacities and funds is contingent upon the requests received and the progress demonstrated by states and Union Territories.
The minister presented data in the Upper House indicating a consistent rise in the funds released over the past three years, underscoring the scheme's effectiveness. In the first half of the current financial year (2025-26), Rs 2,031.5 crore has already been allocated under PM-KUSUM, compared to Rs 2,564.14 crore in 2024-25, and an increase from Rs 996.33 crore in 2023-24.
The government initiated the PM-KUSUM scheme in March 2019 and expanded it in January 2024, aiming to provide energy and water security for farmers, enhance their income, reduce dependency on diesel in agriculture, and lower environmental pollution. This scheme comprises three components: A, B, and C.
Under Component A, farmers are empowered to harness solar energy, transforming from Annadata to Urjadata, thereby increasing their earnings. By leasing their land for solar power plant installation, farmers can generate income of up to Rs 80,000/ha/year. The average income for plants established under Component A is Rs 4.5 lakh/MW per month.
Component B facilitates the replacement of existing diesel pumps with solar pumps. Given a consumption rate of 4.6 litres per day for 5 HP pumps and a diesel price of approximately Rs 87/litre, farmers can recover their costs within a year, resulting in annual savings of at least Rs 60,000 in diesel expenses.
Under Component C, farmers can earn Rs 25,000/acre/year by leasing their land for solar project installations, as highlighted by the minister.