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PolitySource: Economic Times

Slow Progress of PM Surya Ghar: Muft Bijli Yojana

Wednesday, 10 December 2025
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Key Points

The PM Surya Ghar Muft Bijli Yojana is a transformative initiative aimed at providing free rooftop solar electricity to households, with a target of 1 crore installations by March 2027. This scheme is critical for UPSC aspirants, especially for GS Paper 3, as it aligns with India's renewable energy and climate goals. Last Updated: 2025-12-10

Key Facts About PM Surya Ghar Muft Bijli Yojana

  • Launched: February 2024 by MNRE
  • Objective: Free electricity up to 300 units/month
  • Target: 1 crore households by March 2027
  • Milestones: 10 lakh by March 2025, 20 lakh by October 2025, 40 lakh by March 2026
  • Eligibility: Residential consumers for rooftop solar panels
  • Central Financial Assistance: Financial support via National Portal
  • Model Solar Village: One per district for energy self-reliance
  • Subsidy: Up to 40% for installations
  • Loans: Collateral-free, low-interest (~7%) for up to 3 kW systems
  • Benefits: Adds 30 GW solar capacity
  • Jobs: Creates around 17 lakh direct jobs
  • CO2 Reduction: 720 million tonnes over 25 years
  • Savings: Expected annual government savings of Rs 75,000 crore
  • Income: Households can earn Rs 18,000/year by selling surplus electricity
  • Climate Goals: Supports India's COP26 commitments
  • DISCOMs Role: Promote rooftop solar adoption and provide net meters

India's Renewable Energy Ambitions

The PM Surya Ghar Muft Bijli Yojana is pivotal in advancing India's renewable energy goals, contributing significantly to the nation's solar capacity. By adding 30 GW of solar power, the scheme aligns with India's strategic objective to enhance energy self-reliance and reduce carbon emissions. This initiative also supports India's commitments made at COP26, positioning the country as a leader in sustainable energy solutions.

Related Government Schemes/Policies

  • National Solar Mission: Aims to establish India as a global leader in solar energy.
  • Atal Jyoti Yojana: Provides solar street lighting systems in rural areas.
  • KUSUM Scheme: Promotes solar energy for irrigation and rural power needs.

UPSC Relevance

  • GS Paper 3: Environment, Renewable Energy, Climate Change
  • Prelims: Questions on scheme objectives, targets, and benefits
  • Mains: Essays on sustainable development, energy policies, and climate change mitigation
  • Essay Paper: Topics on India's energy transition and environmental policies

FAQ Section

  • What is the PM Surya Ghar Muft Bijli Yojana? The scheme provides free rooftop solar electricity to households, aiming for 1 crore installations by March 2027.
  • Why is the PM Surya Ghar Muft Bijli Yojana important? It enhances energy self-reliance, supports climate goals, and contributes to India's renewable energy capacity, adding 30 GW of solar power.
  • What are the key features of the PM Surya Ghar Muft Bijli Yojana? Key features include free electricity up to 300 units/month, 40% subsidy, low-interest loans, and the creation of 17 lakh direct jobs.

Detailed Coverage

  • Launched: February 2024 by MNRE
  • Objective: Free electricity up to 300 units/month
  • Target: 1 crore households by March 2027
  • Milestones: 10 lakh by March 2025, 20 lakh by October 2025, 40 lakh by March 2026
  • Eligibility: Residential consumers for rooftop solar panels
  • Central Financial Assistance: Financial support via National Portal
  • Model Solar Village: One per district for energy self-reliance
  • Subsidy: Up to 40% for installations
  • Loans: Collateral-free, low-interest (~7%) for up to 3 kW systems
  • Benefits: Adds 30 GW solar capacity
  • Jobs: Creates around 17 lakh direct jobs
  • CO2 Reduction: 720 million tonnes over 25 years
  • Savings: Expected annual government savings of Rs 75,000 crore
  • Income: Households can earn Rs 18,000/year by selling surplus electricity
  • Climate Goals: Supports India's COP26 commitments
  • DISCOMs Role: Promote rooftop solar adoption and provide net meters
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Practice Questions

Test your understanding of this article

Question 1 of 50 / 5 answered
1

Given the objectives of the PM Surya Ghar: Muft Bijli Yojana, which of the following outcomes is most likely if the installation targets are met by 2027?