Centre tweaks PM Surya Ghar Muft Bijli Yojana

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Source-This post on Centre tweaks PM Surya Ghar Muft Bijli Yojana is based on the article “Centre tweaks Prime Minister’s Rooftop Solar ‘free electricity’ scheme” published in “The Hindu” on 8th March 2024.

Why in the News?

The Union cabinet has recently tweaked the new ₹75,000-crore PM Surya Ghar Muft Bijli Yojana (Free rooftop solar electricity scheme).

What are the recent changes?

1. Original plan– To completely subsidize the installation of 1 kW-3 kW solar systems in one crore households through partnerships with renewable energy service companies.

2- Changed Plan:
a. Now, the scheme will only cover up to 60% of the installation costs.
b. Households interested in the scheme will need to pay the remaining amount, starting from a minimum of ₹20,000, depending on the power capacity of the installed system.
c. Households can get a low-interest, collateral-free loan.
d. Only houses with a suitable roof and an existing grid connection can participate in the scheme. Consumers must still pay for all the net power they use from the grid.

About Pradhan Mantri Surya Ghar Muft Bijli Yojana

Centre tweaks Pradhan Mantri Surya Ghar Muft Bijli Yojana
Source- The Hindu

1. Objective: To deliver 300 units of ‘free electricity’ monthly to 1 crore households via rooftop solar setups.

2. Department: Ministry of New & Renewable Energy

3. Central subsidy:
a. 60% of installation costs for 2 kW systems
b. 40% of costs for systems ranging from 2-3 kW capacity
Note- Systems with higher wattage are ineligible.
c. At present rates, there will be a subsidy of Rs 30,000 for 1 kW systems, Rs 60,000 for 2 kW systems, and Rs 78,000 for 3 kW systems or higher.

4. National Portal – It will facilitate subsidy applications and assist in finding a suitable vendor for installing rooftop solar. Additionally, it will aid decision-making by providing relevant information as needed.

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