File No. CS-AGR-031 · Central Scheme · Ministry of New & Renewable Energy

PM-KUSUM — Kisan Urja Suraksha evam Utthaan Mahabhiyan

Subsidy for farmers to install solar irrigation pumps or small solar power plants on their land — cutting diesel costs and, in some cases, turning farmland into a source of extra income.

What this scheme offers

PM-KUSUM has three components. Component A supports setting up small (0.5–2 MW) solar power plants on farmers' land, which DISCOMs buy power from at a fixed feed-in tariff — turning otherwise unused or marginal land into an income source. Component B subsidises standalone off-grid solar irrigation pumps (3–10 HP), replacing diesel pumps directly. Component C supports "solarising" existing grid-connected agricultural pumps, letting farmers sell surplus solar power back to the grid. Central Financial Assistance covers 30% of project cost nationally (50% in the North-East, J&K, HP, Uttarakhand, Ladakh and island UTs); most states add a further subsidy on top, with the farmer typically contributing only around 10% out of pocket after loan financing.

Who is eligible

  • Individual farmers who own agricultural land, and want to install a pump or lease/use land for a solar plant.
  • Groups of farmers, cooperatives, panchayats, Farmer Producer Organisations (FPOs), and Water User Associations.
  • Farmers currently using diesel pumps, or with no reliable grid power for irrigation, are the primary target for Component B.
  • Entities unable to arrange the upfront equity share can partner with a developer or their local DISCOM instead.

Documents required

  • Land ownership or leasehold documents
  • Aadhaar card
  • Bank account details
  • Existing electricity connection details, where applicable (Component C)

How to apply

  1. Visit pmkusum.mnre.gov.in or your State Nodal Agency's renewable energy portal — application windows, targets, and exact process vary significantly by state.
  2. Choose the relevant component (A, B or C) based on whether you want a solar power plant, a new standalone pump, or to solarise an existing grid-connected pump.
  3. Submit your land and identity documents for site verification by the State Nodal Agency.
  4. On approval, arrange your share of the cost (often via an institutional loan covering up to 30% of project cost, after subsidy).
  5. Installation is carried out by an empanelled vendor; the balance of Central Financial Assistance is released after successful commissioning.