Scheme Overview
- Launched: February 2023
- Goal: Solar power supply to 10 million homes by March 2027
- Subsidies Offered
- ₹30,000 for 1 kW system
- ₹60,000 for 2 kW system
- ₹78,000 for 3 kW and above
- Key Benefits
- Lower electricity bills
- Option to sell excess power back to the grid
Funding and Application Response
- Budgetary Allocations
- Initially ₹6,250 crore (2024-25), revised to ₹11,100 crore
- Further increased to ₹20,000 crore (2025-26)
- Demand
- 4.73 million applications submitted
- Government simplified the application process through an online portal and streamlined financing
Performance Status
- As of March 10, 2025: Only 10% of the target achieved
- Current Installation Rate: ~70,000 installations/month
- Projection: At this pace, only 30% of the target likely by end of 2026
- Geographical Skew:
- Gujarat and Maharashtra account for two-thirds of installations
- Other states show significantly lower adoption
Challenges Identified
- Quality and Standardization Issues
- Entry of inexperienced installers
- Variation in module sizes and substandard equipment
- Ignoring mandatory quality tests (e.g., net metering module in Kerala)
- Discom (Distribution Company) Resistance
- Discoms fear financial strain from absorbing daytime-only solar power
- Reluctance to adjust scheduling and integrate solar into grids
Recommendations for Improvement
- Set Clear Quality Standards:
- Ministry of New and Renewable Energy should publish standardized component requirements
- Discom Reforms:
- Incentivize discoms to actively participate in solar power absorption
- Even Implementation Across States:
- Push for wider, more balanced adoption beyond Gujarat and Maharashtra
- Mission-Mode Urgency:
- Apply the same administrative focus used for Swachh Bharat and Har Ghar Nal Se Jal
- Focus on Awareness and Consumer Trust:
- Strengthen consumer confidence by ensuring installation quality and long-term performance
The PMSGMBY is a high-potential initiative with robust funding and public interest. However, it risks underperforming due to solvable bo
