Lok Sabha Question No. 1395 (UNSTARRED), answered on 2022-12-15
Subject: Implementation of PM-KUSUM
Ministry: NEW AND RENEWABLE ENERGY
Asked by: Sudhakar Tukaram Shrangre, Saikia Dilip, Arun Sao, Sunil Kumar Singh, Ranjeetsingh Naik Nimbalkar

## GOVERNMENT OF INDIA MINISTRY OF NEW AND RENEWABLE ENERGY

## LOK SABHA UNSTARRED QUESTION NO. 1395

ANSWERED ON 15.12.2022

## IMPLEMENTATION OF PM-KUSUM

1395. SHRI SUDHAKAR TUKARAM SHRANGARE SHRI DILIP SAIKIA SHRI ARUN SAO SHRI SUNIL KUMAR SINGH SHRI RANJEETSINGH HINDURAO NAIK NIMBALKAR

Will the Minister of NEW AND RENEWABLE ENERGY be pleased to state:

- (a) the salient features and objectives of Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM);
- (b) the quantum of funds allocated, released and utilized during the last three years and the current year, year and State/UT-wise;
- (c) the targets set and achievements made in respect of installation of stand alone solar agriculture pumps under PM-KUSUM during the said period, year and State/UT-wise;
- (d) the details of the reasons for slow pace of implementation of PM-KUSUM; and
- (e) the fresh steps taken by the Government for proper implementation of PM-KUSUM?

## ANSWER

## THE MINISTER OF NEW & RENEWABLE ENERGY AND POWER

## (SHRI R.K. SINGH)

(a)The main objectives of the Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM) include de-dieselisation of the farm sector, providing water and energy security to farmers, increasing the income of farmers and curbing environmental pollution. The Scheme has three components targeted to achieve solar power capacity addition of 30.8 GW by 31.3.2026 with total central financial support of Rs. 34422 Cr. Other salient features of the Scheme are given at Annexure-I.

- (b)  State  wise  funds  are  not  allocated  under  PM-KUSUM, as  it  is  a  demand  driven  scheme. Further, the funds are released to States/UTs on achieving certain milestones. The state-wise and year-wise details  of  the  funds  released  under  the  Scheme  during  the  last  three  years  and  the current year are placed at Annexure-II.
- (c) PM-KUSUM is a demand driven scheme and therefore state-wise targets have not been set under the scheme. The capacities are allocated based on demand received from the states/ UTs. State/UT-wise standalone solar pumps allocated and installations achieved during the last three years and the current year are placed at Annexure-III.
- (d) Availability of low-cost financing for farmers and state share of funds is a major challenge in implementation  of  the  PM-KUSUM  Scheme.  In  addition,  the  pace  of  implementation  was significantly affected due to the COVID-19 pandemic during 2020-21 and 2021-22.
- (e) The steps taken by Ministry for proper implementation of the Scheme are placed at AnnexureIV.

*****

## Annexure-I referred to in reply to part (a) of lok sabha unstarred question No. 1395 for 15.12.2022

## Other salient features of PM- KUSUM Scheme

| Targets/Conditions                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | Financial Assistance available                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| The Scheme is demand driven and open for all farmers of the country for implementation as per guidelines issued for the Scheme ComponentA : Setting up of 10,000 MW of Decentralized Ground/Stilt Mounted Solar Power Plants on barren/fallow/pasture/marshy land of farmers. Such plants can be installed by individual farmer, Solar Power Developer, Cooperatives, Panchayats and Farmers Producer Organisations. Component B : Installation of 20.00 Lakh Stand-alone Solar Pumps in off-grid areas. Component C: Solarisation of 15 Lakh Grid Connected Agriculture Pumps through (i) Individual Pump Solarisation and (ii) Feeder Level Solarisation. The beneficiaries under Component-B and Component-C could be individual farmer, Water User Associations, Primary Agriculture Credit Societies and Communities/Cluster Based Irrigation Systems. | Procurement Based Incentive (PBI) to the DISCOMs @ 40 paise/kWh or Rs.6.60 lakhs/MW/year, whichever is lower, for buying solar/ other renewable power under this scheme. The PBI is given to the DISCOMs for a period of five years from the Commercial Operation Date of the plant. Therefore, the total PBI that payable to DISCOMs is Rs. 33 Lakh per MW. For Component-B and individual pump solarisation under Component-C: CFA of 30% of the benchmark cost or the tender cost, whichever is lower, of the stand-alone solar Agriculture pump is provided. However, in North Eastern States, Sikkim, Jammu & Kashmir, Ladakh, Himachal Pradesh and Uttarakhand, Lakshadweep and A&N Islands, CFA of 50% of the benchmark cost or the tender cost, whichever is lower, is provided. In addition, the respective state/UT has to provide atleast 30% financial support. Balance cost is to be contributed by beneficiary. For agriculture feeder solarization, CFA of Rs 1.05 Crore per MW is provided. There is no mandatory requirement of financial support from participating State/UT. The feeder solarisation can be implemented in CAPEX or RESCO mode. |

## State-wise and year-wise funds released under the PM-KUSUM Scheme

(Amount in Rs. Crore)

| S. No.   | States/UTs        |   2019-20 |   2020-21 |   2021-22 |   2022-23 (till 30.11.2022) |   Total |
|----------|-------------------|-----------|-----------|-----------|-----------------------------|---------|
| 1.       | Arunachal Pradesh |      0    |      0    |      0    |                        0.15 |    0.15 |
| 2.       | Gujarat           |      0    |      3.95 |      0    |                        0    |    3.95 |
| 3.       | Haryana           |      0    |     51.33 |    161.12 |                       38.46 |  250.91 |
| 4.       | Himachal Pradesh  |      0    |      2.8  |      0    |                        5.77 |    8.57 |
| 5.       | Jammu &Kashmir    |      0    |      0    |      0    |                       15.45 |   15.45 |
| 6.       | Jharkhand         |      0    |     16.05 |      0    |                        0    |   16.05 |
| 7.       | Karnataka         |      0    |      1.26 |      0    |                        0    |    1.26 |
| 8.       | Madhya Pradesh    |     71.07 |      0    |      0    |                        0    |   71.07 |
| 9.       | Maharashtra       |      0    |      0    |      9.6  |                      151.76 |  161.36 |
| 10.      | Manipur           |      0    |      0.36 |      0    |                        0    |    0.36 |
| 11.      | Meghalaya         |      0    |      0.28 |      0    |                        0    |    0.28 |
| 12.      | Odisha            |      0    |      0.77 |      0    |                        0    |    0.77 |
| 13.      | Punjab            |      0    |      8.28 |     23.7  |                       27.99 |   59.97 |
| 14.      | Rajasthan         |     68.98 |     52.06 |    153.49 |                      190.98 |  465.51 |
| 15.      | Tamil Nadu        |     11.21 |      0    |     20.3  |                        0    |   31.51 |
| 16.      | Tripura           |      0    |      3.96 |      7.36 |                        0    |   11.32 |
| 17.      | Uttarakhand       |      0    |      0    |      0    |                        3.31 |    3.31 |
| 18.      | Uttar Pradesh     |      0    |     15.34 |     13.73 |                       35.79 |   64.86 |
| 19.      | Others            |      0    |      0    |     16.75 |                        0    |   16.75 |
| Total    | Total             |    151.26 |    156.43 |    406.04 |                      469.66 | 1183.39 |

State/UT-wise standalone solar pumps allocated and installed under PM-KUSUM Scheme during last three years and current year till 30.11.2022*

|       |                   | Pumps            | Pumps Installed (Nos.)   | Pumps Installed (Nos.)   | Pumps Installed (Nos.)   | Pumps Installed (Nos.)   |
|-------|-------------------|------------------|--------------------------|--------------------------|--------------------------|--------------------------|
| S.no. | State/UT          | allocated (Nos.) | 2020-21                  | 2021-22                  | 2022-23 (till 30.11.22)  | Total                    |
| 1     | Arunachal Pradesh | 200              | 0                        | 0                        | 0                        | 0                        |
| 2     | Assam             | 5000             | 0                        | 0                        | 0                        | 0                        |
| 3     | Chhattisgarh      | 25000            | 0                        | 0                        | 0                        | 0                        |
| 4     | Goa               | 200              | 0                        | 0                        | 0                        | 0                        |
| 5     | Gujarat           | 8082             | 93                       | 366                      | 810                      | 1269                     |
| 6     | Haryana           | 197655           | 8166                     | 23798                    | 7379                     | 39343                    |
| 7     | Himachal Pradesh  | 1180             | 40                       | 185                      | 250                      | 475                      |
| 8     | Jammu& Kashmir    | 5000             | 0                        | 103                      | 359                      | 462                      |
| 9     | Jharkhand         | 16717            | 381                      | 6336                     | 2205                     | 8922                     |
| 10    | Karnataka         | 10314            | 76                       | 238                      | 0                        | 314                      |
| 11    | Kerala            | 100              | 0                        | 0                        | 0                        | 0                        |
| 12    | Ladakh            | 1600             | 0                        | 0                        | 0                        | 0                        |
| 13    | Madhya Pradesh    | 57000            | 7234                     | 0                        | 0                        | 7234                     |
| 14    | Maharashtra       | 200000           | 0                        | 2426                     | 27436                    | 29862                    |
| 15    | Manipur           | 150              | 0                        | 28                       | 0                        | 28                       |
| 16    | Meghalaya         | 235              | 0                        | 35                       | 0                        | 35                       |
| 17    | Mizoram           | 1700             | 0                        | 0                        | 0                        | 0                        |
| 18    | Nagaland          | 65               | 0                        | 0                        | 0                        | 0                        |
| 19    | Odisha            | 5741             | 110                      | 647                      | 381                      | 1138                     |
| 20    | Punjab            | 63000            | 1107                     | 5390                     | 5473                     | 11970                    |
| 21    | Rajasthan         | 158884           | 3514                     | 18929                    | 30178                    | 52621                    |
| 22    | Tamil Nadu        | 6200             | 988                      | 199                      | 1223                     | 2410                     |
| 23    | Telangana         | 400              | 0                        | 0                        | 0                        | 0                        |
| 24    | Tripura           | 4021             | 63                       | 358                      | 753                      | 1174                     |
| 25    | Uttar Pradesh     | 36842            | 2959                     | 3883                     | 0                        | 11389                    |
| 26    | Uttarakhand       | 1838             | 0                        | 0                        | 307                      | 307                      |
|       | Total             | 807124           | 24731                    | 62921                    | 76754                    | 168953                   |

## Annexure-IV referred in reply to part (e) of the Lok Sabha Unstarred Question No. 1395 to be answered on 15.12.2022

## Steps taken by Ministry for proper implementation of the PM-KUSUM Scheme inter-alia include:

-  PM-KUSUM Scheme has been extended till 31.03.2026.
-  Central Financial Assistance (CFA) available for pump capacity up to 15 HP (increased from  7.5  HP)  to  the  individual  farmers  in  the  North-eastern  States,  UTs  of  Jammu  & Kashmir and  Ladakh,  States  of  Uttarakhand  and  Himachal  Pradesh  and  Island  UTs  of Andaman & Nicobar and Lakshadweep, and for each farmer in the cluster/ community irrigation projects in high water table areas in all the States/ UTs.
-  Meeting with Banks/FIs for availability of low cost financing to farmers.
-  State level tender allowed for procurement of standalone solar pumps
-  Time period extended for implementation to 24 months from the date of initial sanction.
-  Requirement  of  performance  bank  guarantees  under  Component-A  and  Component-C (Feeder Level Solarization) relaxed.
-  Tender conditions  have  been  revised  to  increase  the  installer  base  in  order  to  expedite extending benefit under the Scheme.
-  Solarization of pumps under the Scheme included under Agriculture Infrastructure Fund (AIF) to provide subsidized loans to farmers.
-  Scheme included under Priority Sector Lending (PSL) Guidelines of the Reserve Bank of India (RBI) to enable ease of accessing finance. Further, a number of banks have issued lending guidelines for the Scheme.
-  Specifications & testing procedure of the solar pumps have been revised time to time to promote quality of installations.
-  Web-Portals at Central and at State levels have been developed for monitoring of Scheme.
-  Creating publicity and awareness including through CPSUs.
-  Toll free number provided for ease of getting information on the Scheme.
-  Regular monitoring of the progress and issuance of clarifications and amendments to the scheme  guidelines  based  on  lessons  learnt  during  implementation  and  feedback  from stakeholders.