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Pradhan Mantri Kusum Yojana 2021 | Farmer Energy -Security and Upliftment Mahabhiyan

The Cabinet Committee on Economic Affairs – CCEA has approved the launch of the Kisan Energy Security and Upliftment Campaign. Kusum Yojana 2021 (PM KUSUM Yojana) will provide financial and water security to farmers. Online application for Kusum Solar Pump Scheme (PM Kusum Yojana) is available at The Kusum scheme has 3 components like 1, 2, and 3 which will be applicable to provide solar-powered agricultural pumps.

The aim of the Kusum Yojana (Pradhan Mantri Kusum Yojana) by all 3 components jointly is to produce 25,750 MW of solar power by the financial year 2022. The central government will provide a total financial assistance of Rs 34,422 crore for this scheme. Under Pradhan Mantri Kausum Yojana, farmer energy security and upliftment will create direct employment opportunities which will also increase self-employment opportunities.

Pradhan Mantri Kusum Yojana (CCEA) – Specialty, Benefits

The Kisan Energy Security and Upliftment Mahabhiyan (Cabinet Committee on Economic Affairs – CCEA) (Pradhan Mantri Kusum Yojana) will include three components as follows:

  • Component 1:- 10,000 MW Decentralized Ground Mounted Grid Connected Renewable Power Plants. This component will be applied to pilot mode for a capacity of 1000 MW. Under Component A, renewable power plants of 500 kW to 2 MW capacity will be set up by individual farmers/cooperatives/panchayats/farmer producer organizations (FPOs) on their barren or cultivable land. The remaining power is being purchased by DISCOMs at the feed in the tariff prescribed by the concerned SERC. Kusum Yojana 2019 is to provide a stable and continuous source of income to rural landowners.
  • Component 2:- 17.50 lakh standalone solar-powered agricultural pumps will be installed. Under this component, farmers will be assisted to install standalone solar pumps of up to 7.5 horsepower capacity.
  • Component 3:- Farmers can now use the energy generated to meet irrigation needs while the remaining available energy will be sold to DISCOM. This scheme is being made to provide additional income to the farmers and the states to meet their RPO goals.

Implementation of Prime Minister Kusum Scheme 2021

In order to successfully implement components B and C of the Kisan Urja Suraksha Evam Utthaan Mahabhiyan (KUSUM Scheme) / PM Kusum Scheme, the government will provide Central Financial Assistance (CFA) with a cost of 30% benchmark cost or tender cost whichever is lower. The state government will also provide a 30% grant amount and the remaining 40% will be borne by the farmer. For 30% investment by the farmer, the loan facility will also be available from the bank while the remaining 10% amount will have to be given by the farmer from his own pocket. The Central Government will provide 50% CFA for the North-Eastern states, Sikkim, Jammu and Kashmir, Himachal Pradesh, Uttarakhand, Lakshadweep and Andaman, and the Nicobar Islands.

In addition, standalone solar pump of PM Kusum Yojana will reduce crude oil imports which will save foreign exchange reserves and save 1.2 billion liters of diesel per year.

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