Boost to Solar Energy
New Delhi
The Pradhan Mantri Surya Ghar Yojana (PMSGY) has significantly boosted India’s residential rooftop solar segment, with 4,946MW of capacity installed across states and Union Territories as of July 2025, according to a joint report by the Institute for Energy Economics and Financial Analysis (IEEFA) and JMK Research & Analytics. Launched in February 2024, the scheme, also called the PM Surya Ghar: Muft Bijli Yojana, provides free electricity to households through subsidised rooftop solar installations.
The report highlights that subsidy disbursements have crossed ₹9,280 crore, while over 57.9 lakh applications have been submitted, showing strong public interest. Gujarat leads with 1,491MW installed, followed by Maharashtra, Uttar Pradesh, Kerala, and Rajasthan, which together account for nearly 77.2% of the total capacity. Despite this progress, only 13.1% of the 1-crore target has been met, and just 14.1% of the ₹65,700 crore allocated subsidies have been released, raising concerns about achieving the FY2027 target of 30GW.
Experts point to low consumer awareness, limited access to finance, outdated perceptions of high costs, and fragmented supply chains for key components as major barriers. The report recommends district-level facilitation cells, standardised rooftop solar kits, and strengthened grievance redressal mechanisms to accelerate installations. Institutionalising streamlined digital processes, product standardisation, and consumer-centric support are seen as critical for the long-term success of PMSGY in expanding India’s renewable energy adoption.