Pm Kusum Scheme:- The Kisan Urja Suraksha evam Utthaan Mahabhiyan, or KUSUM, scheme was unveiled by the Central Government with the dual goals of boosting solar power production in India and providing farmers with the advantages of solar farming. For ten years, this program will receive funding totaling Rs. 48000 crores from the Union Budget 2018–19. The PM-KUSUM scheme’s farmer income support and de-dieseling program underwent changes in March 2021 at the request of the Central Government, which wanted to concentrate on solarizing agricultural feeders rather than pumps. By taking this action, farmers would not have to replace each existing pump in a village with a solar pump.
Pm Kusum Scheme’s Revised Changes
The matter of executive sanction for the Pradhan Mantri Urja Suraksha evam than Mahayana program was recently addressed in a revision to the Prime Minister’s Employment Generation Scheme (PM Kusum Yojana). The Yojana’s guidelines have been updated to incorporate recommendations from stakeholders.
- The expansion has resulted in modifications to the scheme’s elements and components, as well as the implementation of its color guidelines.
- Every farmer in a number of Indian states receives central financial assistance. The financial aid alone pays for fifteen horsepower.
- the necessity of solar energy use for feeder-level solarization of components. The solar cells are no longer in place.
- Any further budgetary resources would be used following the approval of a ₹10,000 crore budget allocation by the CCEA.
- The issuance of this directive has received approval from the authorities overseeing the ten compounds.
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PM Kusum Scheme Overview
|PM Kusum Scheme
|Ministry of New and Renewable Energy (MNRE), Government of India
|Income growth of farmers
|Farmers of the country
The Pm Kusum Scheme’s objectives
There are three parts to the program’s overall cost where farmers will receive government assistance. Farmers will get a 60% government subsidy, with the remaining 30% coming from government loans. Only 10% of the project’s total cost will come from farmer donations. Farmers may sell the electricity produced by the solar panel. One possible use for the money from selling electricity is to launch a new business.
Benefits of the PM KUSUM Initiative
A list of program benefits for the Pm Kusum Scheme is as follows:
- This program is available to all of the nation’s farmers.
- offering solar-powered irrigation pumps at a discount.
- Solarization is used on ten lakh grid-connected agricultural pumps.
- 17.5 lakh diesel-powered irrigation pumps will be converted to solar power as part of Kusum Yojana 2023’s first phase. Less diesel will be used as a result.
- Farmers’ farming productivity will increase as a result of the pumps irrigating the fields now using solar energy.
- This plan will generate additional megawatts of electricity.
- Under this scheme, farmers will receive 60% of the cost of installing solar panels from the central government, 30% of the cost of the loans from the bank, and only 10% of the total cost will be borne by the farmers.
- Farmers in states affected by drought and with electricity issues will benefit from the Kusum Yojana.
- The installation of a solar plant will provide electricity around the clock. which makes it simple for farmers to irrigate their fields.
- The farmer can receive the assistance of Rs 6000 per month by selling the excess electricity produced by solar panels to the government or non-government electricity departments.
- Any solar panels that are installed as part of the Kusum scheme will be placed on vacant land in order to utilize it and generate income.
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What drawbacks does the Pm Kusum Scheme have?
Kusum Scheme Limitations:-
Small and Marginal Farmers Excluded: Because the program concentrates on pumps with 3 HP and higher capacities, a significant number of small and marginal farmers have been left out, which means that solar pumps are not reaching the majority of farmers—nearly 85% of them are small and marginal farmers.
Qualifications for the Pm Kusum Scheme
- The candidate needs to live in India permanently.
- Applicants may apply for solar power plants with a capacity of 0.5 MW to 2 MW under the Kusum Yojana.
- The applicant may request a 2 MW capacity in accordance with the amount of land he owns or if less, the capacity announced by the distribution corporation.
- For every MW, about two hectares of land will be needed.
- There is no financial qualification needed for the project through its own investment under this scheme.
- The developer’s net worth must be Rs 1 crore per MW if the applicant is developing the project through a developer.
Parts of the Pm Kusum Scheme
- Workers would build 10,000 MW of decentralized, grid-connected renewable energy generating plants on vacant land.
- These networks can be put together by farmers, cooperatives, farmer groups, panchayats, Water User Associations (WUA), and Farmer Producer Organisations (FPO).
- There will be construction of electricity projects within a radius of 5 km from the sub-station.
- This scheme would provide farmers with assistance in installing standalone solar agriculture pumps, which would cost ₹17.50 lakh.
- The new pumps can replace the diesel agricultural pumps that are currently in use with their 7.5 HP of power.
- Ten lakh grid-connected farming pumps are to be solarized as part of this program.
- According to the plan, private farms with grid-connected pumps will receive solar power.
- The Distribution Companies of India (DISCOMs) will purchase excess solar energy at a predetermined price.
Fee for Kusum Scheme application
To apply for a solar power plant under this scheme, the applicant must pay GST and an application fee of ₹ 5000 per MW. Demand draught made out to Rajasthan Akshay Urja Nigam, Managing Director, will be used to make this payment. The following is the application fee for applications ranging from 0.5 MW to 2 MW.
|0.5 MW ₹
|1 MW ₹
|5000 + GST
|1.5 MW ₹
|2 MW ₹
An estimate of the available funds
i) When the farmer sets up the project
|Solar power plant capacity
|Rs 3.5 to 4.00 crore per MW
|Estimated annual power generation
|17 lakh units
|₹3.14 per unit
|Total estimated annual income
|Estimated annual expenditure
|Estimated annual profit
|otal estimated income over a period of 25 years is
|The estimated income over a period of 25 years is
ii) Upon the farmer leasing the land
- An MW requires two hectares of land.
- 17 lakh units for every MW of power produced
- Letting rent allowed: 1.70 lakh to 3.40 lakh
What is PM Kusum’s repayment period?
Ø The loan will be repaid over a maximum of 10 to 15 years, with a one-time 12-month moratorium, depending on the anticipated revenue from power generation.
Challenges of the Kusum Scheme
The availability of low-cost financing for farmers and the state’s share of funds present the biggest obstacles to the scheme’s implementation. Farmers’ revenue could rise dramatically under the KUSUM program, which would also lessen their reliance on diesel.
Q. What was the initial year of the Kusum scheme?
ANS-2019 saw the launch of the program. Although components A and C of the plan were pilot-based projects at first, component B was operational and is being expanded by the agencies.
Q. How can I take advantage of the Kusum scheme’s benefits?
ANS- You can apply online and subsequently receive the benefits of the program by providing the necessary information and completing the form on the official Kusum Yojna website. The Kusum form is available for download at https://mnre.gov.in/solar/schemes/.
Q. How does this plan operate?
- Farmers and farmer groups using grid-connected pumps are permitted to participate in this program.
- to construct solar power plants nearby with a capacity double that of their pumps, measured in kW.
- of the pumps they currently have.
- A gross connection connects the solar power plant to the adjacent power line.
- meter to help the solar energy flow into the grid.
- Based on the gross meter reading of Rs., the DISCOM purchases solar power.
- 3.60 per kWh and provides the farmer with grid power for irrigation in the customary
- in a way for Rs. 1 per unit.
- DISCOM makes a payment to the buyer after subtracting the purchase price from the sale price.
- balance due each month to the farmer or group.
How Can One Apply For The PM KUSUM Programme?
To apply for the KUSUM Yojana, please follow the steps listed below:
- Step 1: Navigate to the official portal’s registration section.
- Step 2: Fill out the registration form completely, including all required fields.
- Step 3: Check the declaration box and then click “submit”.
- Step 4: Visit the Solar Agricultural Pumpset Subsidy Scheme by clicking “log in” after registering.
- Step 5: Fill out the online application form completely, including all required fields, and attach any supporting documentation.
- Aadhar card
- Ration card
- copy of registration
- authorization letter
- copy of the land deed
- Net worth certificate issued by a Chartered Accountant (in case the project is developed through the developer)
- mobile number
- Bank account statement
- passport size photograph
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