Kusum Yojana: Solar Pump Subsidy Scheme

Central government is going to invite online applications for Kusum Yojana 2018-19 (Kisan Urja Suraksha evam Utthaan Mahabhiyan). Govt. will provide 60% subsidy of the total cost to farmers for setting up of solar power plants for agriculture / farming under this Solar Power Subsidy Scheme. Candidates can now apply online for Kusum Scheme to get pumps and tube wells for farming purpose. Kusum Yojana 2018-19. Govt. will provide 17.5 lakh pumps to farmers in the first phase. The total cost of setting targeted 3 crore solar power plants till 2022 will be around 1.4 lakh crore out of which, the central govt. will provide Rs. 48,000 crore (as per the Union Budget 2018-19).

Online Application Form

Under this scheme, govt. will provide 60% subsidy to farmer for setting up of pumpsets and tube wells on their land. For example, if the total cost to set up a Solar Pump is Rs. 1 lakh, then the central govt. will provide 60,000 as subsidy to farmers. Just like other Solar Power Subsidy Schemes for Agriculture, Central govt. will soon invite online applications for this scheme.

This could be done through a new dedicated portal where farmers needs to make online registration for this Solar Power Subsidy Scheme. Application Forms are not out yet, as soon as the registration lines will be open, we will update it here along with the complete list of documents and other procedures to avail the Subsidy benefits.

Subsidy for Farmers

All the farmers will get this subsidy from the central govt. to setup Solar Agricultural pumpsets. Farmer will only have to pay an upfront cost of 10% for this purpose. All the new agricultural pumpsets will replace the existing petrol and diesel pumpsets. The cost distribution for setting up of pumps and tube-wells is as follows:-

Central Government	60% of the total cost as Subsidy
Banks	30% of total cost as Loans to Farmers
Farmers	10% of total Cost

Central govt. in its Union Budget 2018-19 has allocated Rs. 1,40,000 crore (1.4 trillion) to generate total energy capacity of 28,250 MW. This subsidy will be given to the farmers directly into their bank account through Direct Benefit Transfer (DBT).

Income Generation

Farmers can easily setup the solar power plants with minimal investment and start utilizing the Sun Energy to boost their agricultural production. This new scheme includes giving of new agricultural pumps to the farmers, solarizing the existing agricultural pumps and also providing tube wells for farming.

Indian farmers take loans from banks for farming purposes. If farmers are unable to produce the adequate amount of crops, then they will to suffer for loan repayment. So, govt. has launched this new scheme to provide solar pumpsets and solar tube wells to help them in reducing their crop loss and earn additional income.

This energy can even be generated for the revival of barren land which will lead to income generation. Moreover, farmers can sell their generated electricity to the DISCOMS to earn additional income. For more details on the 4 components of this Solar Power Scheme, click at Kusum Yojana 2018-19 Components