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Economy - Reports

16 Dec '25|2:06 PM

PM-KUSUM Empowers Farmers to Adopt Solar Energy, Boost Income and Achieve Energy Independence

PM-KUSUM is a demand driven scheme. The capacities are allocated based on demand received and progress shown by the States/UTs. Under Component A, farmers are enabled to adopt solar energy, becoming Urjadata along with Annadata and enhance their income. The farmers can lease their land for installation of solar power plants and can earn up to Rs 80,000/ha/yr. For the plants commissioned under Component A, the median average income is Rs 4.5 lakh/MW per month.

Under Component B, the existing diesel pumps are replaced with solar pumps. Assuming consumption of 4.6 litres per day (for 5 HP pumps) and with current diesel cost of around Rs 87/litre, the farmer can achieve the breakeven in less than a year. This results in saving of farmers of at least Rs 60,000/yr for diesel cost. Under Component C, farmers can earn Rs 25000/acre/yr by leasing the land for installation of solar projects.

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