India’s ambitious rooftop solar initiative, the PM Surya Ghar: Muft Bijli Yojana, has surpassed a major milestone, with over 1 million homes now equipped with solar power, the government said on Thursday.
Prime Minister Narendra Modi launched the scheme on Feb. 13, 2024. It aims to accelerate residential solar adoption through subsidies and financing options.
According to an official statement, as of March 10, 2025, the program had received 4.73 million applications, with ₹4,770 crore ($575 million) disbursed to 613,000 beneficiaries.
“With zero electricity bills for many and a swift 15-day subsidy transfer process, the scheme is not just about powering homes but also about empowering people,” the government said.
The initiative provides collateral-free loans of up to ₹2 lakh at a subsidized 6.75 percent interest rate through 12 public sector banks. Of the 310,000 loan applications received, 158,000 have been sanctioned, and 128,000 disbursed, ensuring wider financial accessibility.
State-Wise Growth and National Targets
Several states have emerged as frontrunners in the scheme’s implementation. Chandigarh and Daman & Diu have fully met their government building rooftop solar targets, while Rajasthan, Maharashtra, Gujarat, and Tamil Nadu are also leading in household installations.
The government aims to expand the initiative to 10 million households by 2026-27, contributing an additional 30 gigawatts of solar capacity to India’s renewable energy mix.
Financial and Environmental Impact
The program is expected to save the government ₹75,000 crore annually in electricity costs while reducing carbon emissions on a massive scale. The statement said each installed system offsets emissions equivalent to planting 100 trees.
Households can apply for subsidies via a national portal, select vendors, and access financing tools. Subsidies range from ₹30,000 to ₹78,000, depending on energy consumption and solar system capacity.
Beyond household savings, the initiative is expected to generate 1.7 million direct jobs across manufacturing, logistics, sales, and maintenance. Under the government’s “Aatmanirbhar Bharat” initiative, the scheme mandates using domestically produced solar modules and components.
Model Solar Villages Initiative
The government has also introduced a ‘Model Solar Village’ program, allocating ₹800 crore to develop one solar-powered village per district. Selected villages will receive ₹1 crore in central funding to enhance renewable energy adoption.
With over 3 GW of rooftop solar capacity installed and an additional 27 GW targeted by March 2027, the PM Surya Ghar scheme is set to play a crucial role in India’s clean energy transition.
