PM Kusum Yojana: Farmers Will Get 90% Subsidy on Solar Pumps – Know Application Conditions

PM Kusum Yojana – The central government is pushing for solar-powered irrigation across India, and the PM Kusum Yojana is at the heart of this green revolution. With a massive 90% subsidy offered to farmers for installing solar pumps, this scheme can significantly reduce electricity bills and dependency on traditional power sources. In 2025, several updates and simplified application conditions have made it even more accessible. Let’s understand how this scheme works, who can apply, and how much you can actually save.

What is PM Kusum Yojana?

The Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM) is a government initiative aimed at helping farmers shift to solar energy for irrigation and income generation. Introduced in 2019, the scheme has three major components and is implemented by the Ministry of New and Renewable Energy (MNRE).

Key Objectives of the Scheme:

  • Provide farmers with sustainable and cost-effective irrigation
  • Reduce diesel and electricity consumption
  • Promote renewable energy and rural employment

Types of Support Provided Under PM Kusum

Under the PM Kusum Yojana, farmers are offered three distinct types of support to promote solar energy in agriculture. These include setting up decentralized solar power plants, installation of standalone solar pumps in off-grid areas, and solarization of existing grid-connected pumps. Each component is designed to reduce electricity costs, increase farm productivity, and promote clean energy usage among farmers.

Under PM Kusum, farmers are eligible for different types of solar energy support. Here are the three major components of the scheme:

Component-A: Solarization of Agricultural Feeders

  • Installation of solar power plants (up to 2 MW)
  • Farmers or groups can sell power to DISCOMs
  • Income generation via energy sales

Component-B: Standalone Solar Pumps

  • For areas with no grid power access
  • Up to 7.5 HP solar pumps
  • 90% subsidy available

Component-C: Solarization of Grid-Connected Pumps

  • Convert existing grid-based pumps to solar
  • Excess energy can be sold to DISCOMs
  • Farmers earn additional income

Who is Eligible for the PM Kusum Yojana?

The scheme is open to a wide group of beneficiaries with simple eligibility norms:

Eligibility Criteria:

  • Must be an Indian farmer or group of farmers
  • Should own or lease agricultural land
  • Must have a functioning irrigation setup or grid connection (for Component-C)
  • Willingness to bear 10% cost of installation

Financial Breakdown: How Much Do Farmers Actually Pay?

The government bears a majority of the cost through central and state subsidies. Here’s a sample cost distribution:

Sample Subsidy Distribution for a 5 HP Solar Pump

Description Amount (₹) Percentage
Total Cost of Solar Pump 2,00,000 100%
Central Government Subsidy 60,000 30%
State Government Subsidy 1,20,000 60%
Farmer Contribution 20,000 10%

This allows farmers to access solar irrigation infrastructure with a minimal investment.

How to Apply for PM Kusum Yojana in 2025?

The application process is now fully digital and farmer-friendly. Follow these steps:

Application Process:

  • Visit your state’s Renewable Energy Department website
  • Fill out the online PM Kusum application form
  • Upload necessary documents (land papers, ID, etc.)
  • Await verification and approval
  • Pay the 10% contribution once approved
  • Installation begins via authorized vendors

Key Documents Required

Document Type Example/Note
Identity Proof Aadhaar Card / Voter ID
Land Ownership Proof Land records / Lease agreement
Bank Passbook For direct benefit transfer
Photograph Recent passport size
Electricity Bill (optional) For grid-connected pump conversion
Mobile Number For SMS alerts
PAN Card For subsidy tracking
Farmer Certificate (if any) Issued by local authority

Benefits of the PM Kusum Yojana

The scheme offers both financial and environmental advantages:

Key Benefits:

  • Up to 90% subsidy on solar pumps
  • Zero electricity bills for irrigation
  • Extra income by selling unused solar power
  • Low maintenance and long life (25 years)
  • Eco-friendly and reduces diesel usage
  • Boost to rural employment and local vendors

Estimated Annual Savings for Farmers Using Solar Pumps

Pump HP Crop Type Approx. Annual Saving (₹) Additional Income (if grid-connected)
3 HP Vegetables 25,000 8,000
5 HP Sugarcane 35,000 12,000
7.5 HP Paddy 45,000 15,000
5 HP Pulses 28,000 10,000
3 HP Fruits 20,000 7,000
7.5 HP Wheat 40,000 14,000
5 HP Mixed Crops 32,000 9,000
3 HP Oilseeds 18,000 6,000

State-wise Implementation and Vendor List

Each state has designated nodal agencies and approved vendors to ensure smooth operations and transparency.

Examples of State Nodal Agencies:

  • Maharashtra: MEDA (Maharashtra Energy Development Agency)
  • Rajasthan: RRECL (Rajasthan Renewable Energy Corporation Ltd.)
  • Uttar Pradesh: UPNEDA
  • Tamil Nadu: TEDA
  • Gujarat: GEDA

Farmers are advised to apply only through official portals and listed vendors to avoid fraud.

The PM Kusum Yojana is a transformative opportunity for Indian farmers to adopt clean energy, reduce costs, and even earn extra income. With the 90% subsidy offered in 2025, the financial burden is minimal, making solar pumps highly accessible. If you’re a farmer looking to make your farm future-ready, this scheme is your gateway to sustainable and profitable agriculture.

FAQs About PM Kusum Yojana

Q1: Can tenant farmers apply for the PM Kusum Yojana?
Yes, tenant farmers with proper land lease documents can apply for solar pumps under the scheme.

Q2: Is there any loan facility available for the farmer’s 10% share?
Yes, banks and NABARD offer low-interest loans to cover the farmer’s contribution if needed.

Q3: Can farmers choose their own solar pump brand or model?
Only government-approved models and vendors listed on the state portal are allowed to ensure quality and service.

Q4: What is the lifespan of the solar pump provided under this scheme?
Most solar pumps come with a 25-year performance warranty and 5-year comprehensive maintenance.

Q5: Is the PM Kusum Yojana available in all Indian states?
Yes, it is implemented across India, though the process and vendor list may vary state-wise. Farmers should refer to their state-specific renewable energy department.

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