PM KUSUM

PM-KUSUM — Component A (Decentralized Grid-Connected Solar)

Pradhan Mantri Kisan Urja Suraksha Evam Utthaan Mahabhiyan (PM-KUSUM) — Component A

Launched in 2019 to empower farmers by promoting solar energy in agriculture. Component A supports decentralized, grid-connected solar power plants (ground-mounted) that let farmers generate income by selling power to DISCOMs.

Plant size: 500 kW – 2 MW
Total capacity target: 10,000 MW
Project timeline: 9 months from LOA

Details of KUSUM Component A

Total Capacity10,000 MW
Plant Size500 kW to 2 MW (states may permit <500 kW for small farmers)
Eligible BeneficiariesFarmers, FPOs, Panchayats, Cooperatives, Developers
Implementation AreaWithin 5 km radius of a substation (33/11 kV, 66/11 kV, 110/11 kV)
Project Timeline9 months from LOA
Central Financial Assistance₹3,325 crore
Procurement Incentive₹0.40/unit to DISCOMs (upto ₹33 lakh/MW)
Tariff ModeFixed or discovered via bidding (SERC)

Financial Support

No capital subsidy for consumers. Farmers may use third-party developers, DISCOMs, lease models or bank loans (SBI offers up to 70% project cost lending).

Who can apply?

  • Individual farmers & groups of farmers
  • Water user associations, Panchayats, FPOs & Cooperatives
  • Private developers (on leased farmer land)

Why KUSUM Component A Matters

  • Creates new income opportunities for farmers by selling power to DISCOMs.
  • Reduces diesel dependency for irrigation.
  • Improves rural electrification and local energy security.
  • Contributes to national solar targets and promotes dual land use (agrivoltaics).

Choosing the Right Inverter for KUSUM Projects

Recommended: Hopewind 385 kW Inverter

Highest-capacity inverter in its class — designed for high-temperature (50°C+) operation, smart grid compliance, remote monitoring, advanced MPPT and low maintenance — ideal for dusty rural KUSUM plants.

Implementation Process — Component A

  1. Project Identification — Select suitable land near a substation.
  2. Application & Registration — Via state DISCOM or online portal.
  3. Tendering — Bids invited; selection based on tariff or technical criteria.
  4. LOA Issued — Letter of Award to selected developer.
  5. Installation — Commission within 9 months.
  6. PPA Signed — With the DISCOM for feed-in tariff.
  7. Commissioning & Operation — Start generation and revenue flow.

Implementation supports lower transmission losses, rural employment and contributes to India's solar capacity target (280 GW by 2030).

State-wise Implementation (sample data)

StateImplementing AgencyTotal Sanction (MW)Installed (MW)
RajasthanRRECL6550433.25
Madhya PradeshMPUVNL179050.13
MaharashtraMSEDCL2606
HaryanaDHBVN & UHBVN1586.65
Himachal PradeshHIMURJA10059.95
ChhattisgarhCSPDCL306.5
Tamil NaduTANGEDCO141

Financial Support & Subsidies

No capital subsidy for consumers under Component A. If farmers cannot arrange equity, they can participate through third-party developers, local DISCOMs or lease models. Banks (e.g., SBI) offer loans up to 70% of project cost.

Summary

PM-KUSUM Component A enables farmers and local stakeholders to convert idle land into revenue-generating solar assets, while strengthening rural energy security and supporting national solar goals. It encourages agrivoltaics, provides stable feed-in tariffs and promotes inclusive rural development.

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