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PM Kusum | Key Guidelines for Solarization

PM Kusum

The Ministry of New and Renewable Energy (MNRE) has issued important clarifications on the guidelines for the implementation of the Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM Kusum) program, specifically for feeder-level solarization (FLS). These updates will impact farmers and stakeholders engaged in solar power projects across India.

Key Clarifications on PM Kusum

  • In the first clarification, the ministry confirmed that the waiver of the domestic content requirement (DCR) for solar cells used for FLS under Component C of the PM-KUSUM program will stay in place until March 31, 2024
  • In the second clarification, MNRE reiterated that the central financial assistance (CFA) of ₹10.5 million per MW for “general” states and ₹17.5 million per MW for the Northeast Region, hilly states, and islands, will stay in place until a further announcement.
  • PM-KUSUM refers to Pradhan Mantri Kisan Urja Suraksha evem Utthan Mahabhiyan (PM KUSUM).
  • It was launched by the Ministry of New and Renewable Energy (MNRE) in 2019.
  • The scheme is aimed at ensuring energy security for farmers in India, along with honouring India’s commitment to increase the share of installed capacity of electric power from non-fossil-fuel sources to 40% by 2030 as part of Intended Nationally Determined Contributions (INDCs).
  • PM-KUSUM was launched for farmers for installation of solar pumps and grid connected solar and other renewable power plants in the country.

About PM Kusum

PM Kusum (Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan) was launched by the MNRE in 2019 to provide energy security for farmers in India. The scheme aligns with India’s commitment to achieve 40% of installed electric power capacity from non-fossil-fuel sources by 2030, as part of the Intended Nationally Determined Contributions (INDCs).

The PM Kusum scheme aims to help farmers install solar pumps and create grid-connected solar power plants in rural India, thereby improving their access to reliable, renewable energy sources.

Components of the PM Kusum Scheme

The PM Kusum program is divided into three key components:

  • Component A: Installation of 10,000 MW of solar capacity through small solar power plants, each with a capacity of up to 2 MW.
  • Component B: Installation of 20 lakh standalone solar-powered agricultural pumps.
  • Component C: Solarization of 15 lakh grid-connected agriculture pumps.

Significance of the PM Kusum Program

The PM Kusum scheme plays a vital role in improving India’s agricultural and energy landscape:

  1. Empowering Farmers:
    • Farmers can sell surplus solar power to the grid, which will augment their income and encourage efficient energy use.
  2. Boosting Rural Energy Access:
    • The scheme will enhance electricity access in rural areas, ensuring reliable energy for agriculture and other rural activities.
  3. Efficient Water Use:
    • By promoting solar-powered pumps, the scheme will incentivize farmers to conserve power and use groundwater more efficiently.
  4. Environmental Benefits:
    • The shift from diesel-powered irrigation to solar-based irrigation will reduce carbon emissions, contributing to 32 million tonnes of CO2 reduction per annum.
  5. Job Creation:
    • The widespread installation and maintenance of solar plants will generate employment in both urban and rural regions, helping boost local economies.

Conclusion

The PM Kusum program is an ambitious step towards sustainable agriculture and clean energy in India. With the latest clarifications from MNRE, the initiative aims to further incentivize farmers and ensure the long-term success of solar power adoption in rural India.

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