PM Surya Ghar Scheme Reaches 1 Million Homes with Solar Rooftop Installations

India's PM Surya Ghar: Muft Bijli Yojana, its rooftop solar program, has reached a huge milestone, as over 1 million households now have solar-powered homes. The program was launched by Prime Minister Narendra Modi on February 13, 2024, as an initiative aimed at promoting residential solar adoption by providing subsidies and funding. As of March 10, 2025, the program had 4.73 million applications received and distributed ₹4,770 crore ($575 million) among 613,000 beneficiaries.

Implementation and Financing Support

The scheme provides collateral-free loans of ₹2 lakh at a lower rate of interest of 6.75% from 12 public sector banks. Out of the 310,000 loan requests, 158,000 have been sanctioned and 128,000 disbursed, enhancing access to solar energy for more people. The scheme aims to reduce household electricity bills, improve energy security, and promote the use of locally manufactured solar components under the Aatmanirbhar Bharat initiative.

State-Wise Growth and Expansion Targets

Several states have emerged as top contributors to the scheme. Chandigarh and Daman & Diu have exceeded their targets for government rooftop solar installations, while Rajasthan, Maharashtra, Gujarat, and Tamil Nadu lead in domestic solar adoption. The government plans to take the scheme to 10 million homes by 2026-27, with an additional 30 gigawatts (GW) of solar capacity being added to India's renewable energy portfolio.

Economic and Environmental Impact

The project is estimated to save the government ₹75,000 crore per year on electricity bills while cutting carbon emissions drastically. Every solar system installed reduces emissions equal to 100 trees, and hence it is an important step towards India's environmental objectives.

These will be provided with access to a national online portal to submit applications for subsidies, select among a list of vendors, and receive financing. Subsidies will range from ₹30,000 to ₹78,000 depending on system size and energy consumption. The program is also anticipated to generate 1.7 million direct manufacturing jobs, logistics, sales, and maintenance, enhancing India's clean energy human resource pool.

Model Solar Villages Initiative

To further promote solar adoption, the government has initiated a 'Model Solar Village' scheme, offering ₹800 crore to establish one solar village in every district. All of the selected villages will be granted ₹1 crore of central assistance to facilitate renewable energy adoption and improve energy access.

With over 3 GW of solar capacity already commissioned on the rooftops and another 27 GW to be aimed by March 2027, the PM Surya Ghar scheme will be one of the biggest drivers of India's transition to clean energy.

Conclusion

The PM Surya Ghar: Muft Bijli Yojana is going in leaps and bounds in raising residential solar adoption across India. Owing to strong financial support, growing participation, and government subsidies, the scheme is expected to hit the 10 million household mark by 2026-27. By lowering energy spend, curbing carbon emissions, and creating jobs, the scheme is transforming India's renewable energy landscape.

Source & Credits:
Source: Government of India