During the budget session of 2024-25, the finance minister, Nirmala Sitharaman, introduced the “solar Rooftop scheme,” also known as “PM Surya Ghar Muft Bijli Yojana.” It is a subsidy offered to those who wish to put up solar panels in their homes using domestic power systems. Additionally, adopting photovoltaic technology at home allows you to lower your monthly electricity expenses. Today in this blog we will talk all about what is the PM Surya Ghar Muft Bijli Yojana. How does it work? Who is eligible for this yojana and all the other things related to this scheme?
What is PM Surya Ghar Muft Bijli yojana?
The finance minister Nirmala Sitharam launched the new solar rooftop scheme in the budget 2024 to 25. After that PM Narendra Modi launched the PM Surya Ghar Muft Bijili Yojana on February 15th, 2024. Under this scheme, solar panels are installed in the houses to generate additional sources of electricity output. In this scheme, subsidies will be given by the central government directly to the installer's bank account and also provide them low-interest loans and ensure that the installation doesn’t have any expense. The installation of solar panels will not exceed 40% of the cost paid for by the government’s subsidy.
Also: Solar Rooftop Panel For Home
Poor and middle-class households can save up to 15,000-18,000 annually using this system - generating free electricity and selling surplus units to electricity distribution companies. The government has set a goal of installing one crore rooftop solar panel systems in India. According to the government’s targets, around 75,000 crore will be saved on the power bills every year if this plan succeeds.
What are the eligibility criteria for the PM Surya Ghar Muft Bill Yojana?
- The applicant should be a citizen of India.
- He/she should belong to a middle or lower-income class household.
- The applicant should own a house or property in their name and the home should have a proper roof where solar panels can be installed.
- There must be a valid electricity connection for the applicant.
- The applicant should not have previously availed of any solar rooftop panel subsidy.
Subsidy structure of PM Surya Ghar Muft Bijli Yojana
The following table describes the solar rooftop subsidy scheme for residential households.
| Capacity of the solar rooftop plan | Average electricity consumption | Financial subsidies provided by the government |
|---|---|---|
| 1-2 kw | 0-150 | 30,000 to 60,000 |
| 2-3 kw | 150-300 | 60,000 to 78,000 |
| Above 3kw | Above 300 | 78,000 |
How to apply for PM Surya Ghar Muft Bijli Yojana?
The steps are very simplified and anybody can benefit from this scheme:
- On your browser visit the official website of PM Surya Ghar Muft Bijli Yojana scheme.
- Click on the left-hand-side button of the website the button name is apply for rooftop solar.
- Enter your state, district, and electricity distribution company, enter the customer account number, and then click on the next button.
- Enter your email address and phone number to complete the registration process.
- Now your account has been created you can log in with your electricity customer number and mobile number.
- Click on the rooftop solar button as per the form.
- After this wait for the feasibility approval from the DISCOM. Now when you receive the feasibility approval, you can install the solar rooftop from any registered solar rooftop distributor like Ksquare Energy.
- Submit the details of the plant and then apply for the net metering after the installation is completed.
- After the successful installation of the net meter and inspection by the DISCOM, they will generate a commissioning certificate from the portal.
- Now that you have received the commissioning certificate, enter your bank details and a canceled cheque by logging in to the website. The subsidy will be transferred to your bank account within 30 days.
List of documents you will require to apply
- Address proof
- Proof of identity
- Certificate of roof ownership
- Copy of electricity bill
Can the customer facilitate a loan on the solar panel plant?
Yes, the solar rooftop applicant can avail of a collateral-free low-interest loan on solar products of around 7% at present for the installation of residential RTS systems of up to 3 kW. The interest rate is lessened up to 0.5% of the current repo rate which is decided by the Reserve Bank of India. Currently, the repo rate is 6.5%, so the solar rooftop loan interest will be 6% for the time being in force.
Why is it beneficial to opt for PM Surya Ghar Muft Bijli Yojana?
This scheme comes with a lot of benefits and perks that are perfect for the poor and middle-income class. Let’s discuss some of the benefits in detail:
Loan and subsidy facility:
By availing of this scheme you get the benefits of subsidy directly to your bank account and loan facility is also provided and the interest to be paid is 0.5% lower than the current repo rate.
Reduce your carbon footprints
By installing solar panels at your home you reduce the environmental impact of traditional sources of electricity, contribute towards the conservation of the environment, and save natural resources for future generations.
Save money:
By installing solar panels and using the government's free electricity, the initiative enables the beneficiaries to reduce their electricity bills.
Earn extra income:
The beneficiaries can reduce their electricity costs and make money by selling electricity to DISCOMS.