Uttarakhand CM commends approval of PM Surya Ghar Free Electricity Scheme

Feb 29, 2024

New Delhi [India], February 29 : Uttarakhand Chief Minister Pushkar Singh Dhami on Thursday appreciated the approval given to the PM Surya Ghar Free Electricity Scheme by the Union cabinet.
Calling the decision "highly commendable," he thanked Prime Minister Narendra Modi for his leadership, under whom the union cabinet approved the decision.
"Through this scheme of Rs 75,021 crore, 1 crore houses will get 300 units of free electricity and there will also be an income of Rs 15,000 per family. This is a historic step in the direction of clean and renewable energy, empowering the economy of the common people and fulfilling the resolve of a self-reliant India. Heartfelt gratitude from all the people of the state!" the Chief Minister posted on X.
Earlier in the day, the Union Cabinet approved 'PM-Surya Ghar: Muft Bijli Yojana' with a total outlay of Rs 75,021 crore for installing rooftop solar and providing free electricity up to 300 units every month for one crore households.
Prime Minister Narendra Modi launched the scheme on February 13 this year.
Addressing a press conference after a meeting of the union cabinet, Information and Broadcasting Minister Anurag Thakur said the initiative will give thrust to solar manufacturing and supply chain and provide direct employment to 17 lakh people.
"It will strengthen the solar energy ecosystem. It is estimated that the scheme will create around 17 lakh direct jobs in manufacturing, logistics, supply chain, sales, installation and other services," he said.
The major highlights of the scheme include Central Financial Assistance (CFA) for Residential Rooftop Solar.
An official release said the scheme provides a CFA of 60 per cent of system cost for 2 kW systems and 40 per cent of additional system cost for systems between 2 to 3 kW capacity. "The CFA will be capped at 3 kW. At current benchmark prices, this will mean a Rs 30,000 subsidy for a 1 kW system, Rs 60,000 for 2 kW systems and Rs 78,000 for 3 kW systems or higher," it said.
The release said the households will apply for subsidies through the National Portal and will be able to select a suitable vendor for installing rooftop solar.
The National Portal will assist households in their decision-making process by providing relevant information such as appropriate system sizes, benefits calculators, and vendor ratings.
Households will be able to access collateral-free low-interest loan products of around 7 per cent at present for the installation of residential RTS systems up to 3 kW.
A model solar village will be developed in each district of the country to act as a role model for the adoption of rooftop solar in rural areas. The release said that urban local bodies and Panchayati Raj Institutions shall also benefit from incentives for promoting RTS installations in their areas.
The scheme provides a component for payment security for renewable energy service company (RESCO)-based models as well as a fund for innovative projects in RTS.
"Through this scheme, households will be able to save on electricity bills as well as earn additional income through the sale of surplus power to DISCOMs. A 3 kW system will be able to generate more than 300 units a month on average for a household," the release said.
The proposed scheme will result in the addition of 30 GW of solar capacity through rooftop solar in the residential sector, generating 1000 BUs of electricity and resulting in the reduction of 720 million metric tonnes of CO2 equivalent emissions over the 25-year lifetime of rooftop systems, it said.
It is estimated that the scheme will create around 17 lakh direct jobs in manufacturing, logistics, supply chain, sales, installation, O&M and other services.