Sun-Powered Farms: India's PM-KUSUM Scheme Gets a Major Boost with 2026 Extension!

In a significant move to accelerate India's green energy transition and empower its agricultural backbone, the Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM) scheme has received a crucial extension until March 31, 2026. This extension, announced by the Ministry of New and Renewable Energy (MNRE), aims to overcome the initial hurdles faced during the COVID-19 pandemic and ensure that the ambitious targets of the scheme are finally met, bringing a solar revolution to the nation’s farmlands.

Launched in 2019, the PM-KUSUM scheme was conceptualized with a dual objective: to reduce the carbon footprint of the agriculture sector by promoting solar energy and to enhance the income of farmers.

The scheme envisions a future where farmers are not just consumers of energy but also producers, contributing to India's renewable energy goals while securing their own financial stability.

The scheme is meticulously structured into three distinct components, each designed to address different facets of solarizing agricultural practices:

• Component A: Focuses on the establishment of 10,000 megawatts (MW) of decentralized ground-mounted grid-connected solar power plants.

  These plants, with individual capacities ranging from 0.5 MW to 2 MW, allow farmers to utilize their barren or fallow land to generate solar power. The generated electricity is then fed into the local grid, providing a steady income stream to farmers who can sell the surplus power to distribution companies (DISCOMs).

  This component encourages local energy generation and reduces transmission losses.

• Component B: Aims for the installation of 20 lakh (2 million) standalone solar-powered agriculture pumps. This is a game-changer for farmers in off-grid areas or those facing unreliable grid connections.

  These pumps drastically reduce reliance on diesel generators, cutting down fuel costs and reducing pollution, ensuring a consistent water supply for irrigation.

• Component C: Involves the solarization of 15 lakh (1.5 million) existing grid-connected agriculture pumps. Under this component, farmers can convert their electric pumps to solar hybrid systems.

  This allows them to use solar power during the day and grid power when necessary. Crucially, any surplus solar power generated can be injected back into the grid, providing farmers with an additional source of income and promoting energy efficiency.

The original target for the scheme was to achieve 30.8 Gigawatts (GW) of solar capacity by 2022.

However, the initial implementation faced several challenges, including the widespread disruptions caused by the COVID-19 pandemic, difficulties in mobilizing farmers, varying policies and execution rates across different states, and the complexities of power purchase arrangements with DISCOMs. Recognizing these hurdles, the government's decision to extend the scheme provides a much-needed lifeline to achieve these vital goals.

To ensure widespread adoption, the PM-KUSUM scheme offers substantial Central Financial Assistance (CFA) for Components B and C, making solar solutions more affordable for farmers.

The implementation of the scheme is a collaborative effort, with various state agencies like DISCOMs, State Renewable Energy Development Agencies, and Agriculture Departments playing pivotal roles.

The extension of PM-KUSUM scheme until 2026 is a strong reaffirmation of India's commitment to sustainable agriculture and renewable energy.

It promises to transform the lives of millions of farmers by significantly reducing their irrigation costs, providing a stable income through power generation, and contributing immensely to the nation's climate goals. This initiative is set to power India’s agricultural sector into a brighter, greener, and more prosperous future.