Right at the beginning of the year, PM Narendra Modi launched the Pradhan Mantri Suryoday Yojana. The target? Install rooftop solar plants in 1 crore households and make India self-reliant in energy!
Let’s understand what the scheme is about, who it benefits, and how even those not eligible for the scheme can take advantage of the Indian government’s solar push.
What is Pradhan Mantri Suryoday Yojana and Who is it for?
The scheme was launched to help the poor and middle-class population of India reduce their electricity bills and generate income through the sale of solar power.
Under the programme, the government will install rooftop solar plants in households that have a monthly consumption lower than 300 units. MNRE has announced that 60% of the project cost will be given as a solar subsidy, while the remaining 40% will be taken as a loan.
However, the best part is this loan would be taken by the designated central public sector enterprise of the state rather than the beneficiary of the scheme. Any extra units generated by the plant would be used to pay off the loan.
Once the loan repayment period is over, the ownership of the rooftop solar plant will be transferred to the homeowner.
Simply put, the homeowner would have to do nothing but provide the space for solar installation. In return, he/she will be able to get free electricity for the next 25 years!
Benefits of the Scheme
The Pradhan Mantri Suryoday Yojana offers 3 main benefits:
1. Zero Investment
As the subsidy and loan will cover the entire cost, the beneficiary is not required to make any capital investment.
REC Limited is the implementing agency for the scheme. Moreover, eight central public enterprises have been given the responsibility of setting up solar plants under the RESCO model. These organizations would take care of everything from installation to loan application, while the homeowner can enjoy energy-saving benefits.
2. Free Electricity
Beneficiaries of the Pradhan Mantri Suryoday Yojana would be able to enjoy free electricity for up to 300 units every month. This is the promise made by the finance ministry in the Interim Budget 2024.
Not only will the household be able to meet its complete power demand through solar, but also sell the surplus power to the DISCOMs.
3. Additional Savings
By utilizing solar to meet the energy needs and selling off the extra units to the distribution company, consumers can save an additional ₹15,000-₹18,000 annually.
Eligibility Criteria
To avail the benefits of the scheme, the individuals must meet the following criteria:
- He/she should be a permanent citizen of India
- The total family income should not exceed ₹1.5 lakh per annum
- No individual from the household should be employed in a government job
- The candidate must belong to the BPL category.
Documents Required
- Income proof
- Aadhar card
- Residential Certificate
- Electricity Bill
- Ration Card
- Passbook
- Passport size photograph
Not Eligible for the Scheme? You can Still Benefit from Solar!
Even if you do not meet the criteria for the Pradhan Mantri Suryoday Yojana, this is still the best time to go solar!
MNRE has just hiked the solar subsidy by 23%, making it the highest-ever incentive for rooftop solar installation. Moreover, the ministry has also simplified the application process significantly, which has made the setup process easier than ever.
Apart from this, several cities such as Kumbakonam,Thanjavur,Trichy,Thiruvarur,Mayawaram and Puducherry have launched their own separate rooftop solar campaigns. As part of the initiatives, the state governments are offering a slew of financial incentives such as additional subsidies, net metering, generation-based incentives, etc.
Moreover, since the Indian government is supporting the development of solar infrastructure across the nation, DISCOMs have been instructed to avoid delays and fast-track the installation process!
With these measures, going solar has become affordable and easier than ever. And if you are looking for a solution that gets installed in a matter of hours, and provides cheap and reliable electricity for more than 25 years, TamilBTC is the perfect solution.
