PM Kusum Yojana for Solar Pumps: Subsidy, Cost & Application Process

For most farmers, the first question is simple. How much will a solar pump cost after the subsidy?

Under the PM Kusum Yojana, the final cost depends on the state, pump capacity, and the scheme component selected. However, the government covers a significant share of the total cost, which means farmers have to pay only a small portion themselves.

The scheme supports three main types of projects.

• Farmers can install a standalone solar water pump
• They can convert an existing agricultural pump to solar power
• They can use their land to set up a decentralized solar power plant

In most cases, the commonly mentioned 60% subsidy includes 30% financial assistance from the central government and at least 30% support from the state government. The farmer pays the remaining ~40% amount. In some states, this share can also be financed through a bank solar loan, reducing the upfront payment further.

The exact subsidy, cost, and application process vary from one state to another. This guide explains how the PM Kusum Yojana works, what is its vision (kisanon ke liye PM kusum Yojana ka lakshya kya hai), how much subsidy farmers can receive, what different PM Kusum Yojana solar pumps may cost after the subsidy, who is eligible, and how to apply.

PM Kusum Yojana at a Glance

Before examining the subsidy, pump cost, and application process, here is a quick overview of the PM Kusum Yojana and its current implementation status.

Across all three components, PM Kusum solar yojana has an overall target of 34,800 MW of solar capacity. The approved central financial support for the scheme is ₹34,422 crore.

• Based on a press release by PIB (Press Information Bureau), more than 9.75 lakh standalone solar pumps had been installed under Component B of the scheme as of 31 December 2025.
• Under Component C, more than 12 lakh agricultural pumps had been solarized, either individually or through feeder-level solarization.

The completion deadline has been extended to 31 March 2027 for eligible projects where the Power Purchase Agreement (PPA) or Notice to Proceed was issued by 31 December 2025. This extension does not automatically apply to every new application or project under the scheme.

What Is the PM Kusum Yojana (PM Kusum Yojana Kya Hai)?

The PM Kusum Yojana is a central government scheme that promotes the use of solar energy in agriculture. It is implemented by the Ministry of New and Renewable Energy (MNRE).

The scheme is associated with subsidized solar water pumps, but its scope is much wider.

It supports farmers in three main ways:

1. Setting up small solar power plants on agricultural or barren land
2. Installing standalone solar pumps in areas without reliable grid electricity
3. Solarizing existing grid-connected agricultural pumps and feeders

Main Objectives of the PM Kusum Yojana

The scheme allows farmers to access a more reliable source of electricity for irrigation, reduce their dependence on diesel, and, in some cases, earn additional income by supplying surplus solar power to the grid.

Here are its main objectives:

• Improve energy security for farmers
• Provide a dependable source of power for irrigation
• Reduce the use of diesel-powered agricultural pumps
• Lower the cost of running irrigation systems
• Help farmers earn from surplus solar electricity
• Reduce pollution and promote clean energy in agriculture

In simple terms, the goal of PM Kusum Yojana is to give farmers a stable irrigation power supply while reducing their energy expenses.

Is PM Kusum the Same as PM-Kisan?

No, PM Kusum and PM-Kisan are two separate government schemes. Many times, people use the PM kisan kusum Yojana wrongly. In reality, both the schemes are different.

• PM Kusum Solar Yojana: It supports solar power plants, solar pumps, and the solarization of agricultural electricity systems.
• PM-Kisan Yojana: It provides direct income support to eligible farming families.

Enrolling in one scheme does not automatically register a farmer for the other.

PM Kusum Yojana’s Three Components: Which One Is Right for You?

The PM Kusum Yojana is divided into three components, and each serves a different purpose. The right component depends mainly on whether you have suitable land for a solar plant, need a new standalone solar pump, or already use a grid-connected agricultural pump.

Here are the details of all three components:

Under the current scheme targets, Component B covers 14 lakh standalone solar pumps. Component C covers the solarization of 35 lakh grid-connected agricultural pumps, including pumps covered through feeder-level solarization.

Which PM Kusum Component Covers a New Solar Pump?

Component B is meant for farmers who need a new standalone solar pump. It is most suitable for farms without an electricity connection, farms located far from the grid, and farmers who currently depend on diesel pumps.

The system operates independently using solar power and does not require a regular grid connection.

Which Component Covers an Existing Electric Agricultural Pump?

Component C applies when a farmer already has a grid-connected agricultural pump. Solar panels are added to supply electricity to the existing pump, allowing it to run on solar power during the day.

Depending on the project design, the pump may be solarized individually or receive solar electricity through a dedicated agricultural feeder.

Can Every PM Kusum Solar Pump Sell Electricity?

No, the ability to sell electricity depends on the component and the type of system installed.

• Under Component A, electricity generated by the solar plant is sold to the DISCOM under a power purchase arrangement.
• Component B pumps are standalone systems and generally not connected to the electricity grid. They, therefore, do not export or sell power.
• Under Component C, surplus electricity may be sold to the grid in some cases, but this depends on the system configuration and the rules followed by the state government or DISCOM.

PM Kusum Yojana Subsidy Explained

Under the standard PM Kusum solar pump yojana subsidy structure, the central government covers 30% of the project cost, and the state government provides at least another 30%. This is why the scheme is commonly described as offering a 60% subsidy.

Here’s a clear breakdown of how much the farmer has to pay:

A farmer may not always have to pay the entire 40% contribution upfront. Where bank finance is available, the farmer may pay ~10% initially and take a loan for the remaining non-subsidized amount. However, this loan is not an additional subsidy. It must be repaid to the bank according to the applicable loan terms.

Subsidy in North-Eastern, Hilly and Island Regions?

Higher central assistance is available in certain North-Eastern, hilly, and island regions. These include the North-Eastern states, Sikkim, Jammu and Kashmir, Ladakh, Himachal Pradesh, Uttarakhand, Lakshadweep, and the Andaman and Nicobar Islands.

Here’s a clear breakdown:

PM Kusum Yojana Price List and Solar Pump Cost

There isn’t an official standardized PM Kusum Yojana price list that applies nationwide. Each state selects vendors through its own tender process, and the approved cost of a solar pump, therefore, differs by location, system type, and application year.

The table below shows indicative prices based on standard market research. The amount paid by the farmer will be lower after the applicable central and state subsidies are deducted.

*Please note: The solar pump price range listed in the section above is just an indicative range, based on standard market estimates. The actual cost can vary based on the brand, GST inclusion or exclusion, pump type, promotional offers, and even your city. SolarSquare does not provide solar water pumps or facilitate solar installation for farmers under the PM Kusum Yojana. We install rooftop solar at homes, housing societies, and commercial and industrial buildings.

How to Check the Official PM Kusum Price List?

To find the correct price for your state, visit the PM Kusum Yojana official website or the website of your State Implementing Agency.

Then, follow these steps:

1. Select your state and the relevant scheme component
2. Choose the required pump capacity
3. Select an AC or DC system
4. Choose between a surface and submersible solar pump
5. Check the approved vendor and tender price
6. Confirm how much subsidy applies and how much the farmer must pay
7. Verify whether installation, GST, piping, and other required work are included in the quoted amount

Always rely on the latest state tender or beneficiary notice rather than unofficial price lists, since approved costs and farmer contributions can change from one application round to another.

What Solar Pump Capacity Can a Farmer Get?

For most individual farmers, the PM Kusum solar pump yojana subsidy is available for solar pumps of up to 7.5 HP.

A farmer may choose a pump with a higher capacity, but the central subsidy is generally calculated only on the cost of a 7.5 HP system. The farmer bears any additional cost for the higher-capacity pump.

Higher-capacity systems may also be supported for group or cluster irrigation projects. In such cases, the eligible capacity is calculated based on the number of participating farmers and the irrigation requirements of the group.

Who Is Eligible for PM Kusum Yojana?

A farmer can meet the basic eligibility conditions and still not receive a solar pump in that application cycle. PM Kusum Yojana is demand-driven. Which is why selection depends on the target allotted to the state, available capacity, and the rules followed by the state implementing agency.

The following applicants may be eligible:

• Individual farmers
• Groups of farmers
• Farmer Producer Organisations
• Cooperatives
• Panchayats
• Water User Associations
• Primary Agricultural Credit Societies, where permitted by the state

Renewable power generators and project developers may also apply under Component A to set up decentralized solar power plants.

Documents Required for PM Kusum Yojana Registration

One small mismatch in your records can slow down verification. For example, if the name on your Aadhaar card does not match the name in your land record or bank account, the application may require correction or additional verification before it can move ahead.

Although the exact document list varies by state, applicants are generally asked to submit:

• Aadhaar card
• Mobile number linked to Aadhaar
• Land ownership or tenancy records, such as khasra, khatauni, or 7/12 extract
• Bank passbook or bank account details
• Passport-size photograph
• Existing agricultural electricity connection details for Component C
• Any additional declaration or certificate required by the state agency

Farmers should make sure that the name and other details on their Aadhaar card, land records, and bank account match.

How to Apply for PM Kusum Yojana Online?

The PM Kusum applications are generally handled through state portals rather than one common national application form. The exact process may differ slightly by state, which means PM Kusum Yojana online registration in UP might differ slightly from how registration is done for PM Kusum Solar Pump Yojana in Maharashtra, Rajasthan, and so on.

However, most applications follow these steps for PM Kusum Yojana online registration:

• Step 1 – Identify the correct component: Apply under Component B if you need a new standalone solar pump and choose Component C if you already have a grid-connected agricultural pump and want to solarize it.
• Step 2 – Find your State Implementing Agency: Check which department, renewable energy agency, electricity distribution company, or state corporation is responsible for PM Kusum solar yojana in your state.
• Step 3 – Check whether applications are currently open: States accept applications only during specific registration periods and within their allotted targets. Confirm that the application window is active before starting the process.
• Step 4 – Complete mobile and identity verification: Create an account using your mobile number and complete the required identity verification. Many state portals use an OTP (one time password) sent to an Aadhaar-linked mobile number.
• Step 5 – Enter land, water-source, and pump details: Provide information such as your land survey number, water source, existing electricity connection, required pump capacity, and the type of pump needed.
• Step 6 – Upload the required documents: Upload your Aadhaar card, land records, bank details, photograph, and any other documents requested by the state portal.
• Step 7 – Pay only through the authorized portal: Make payments only through the official state portal or another authorized government payment channel. Never ever transfer money to a private bank account or an unknown agent.
• Step 8 – Application verification and beneficiary selection: The state agency will verify the application, check eligibility, and select beneficiaries based on available targets and applicable state rules.
• Step 9 – Vendor allocation and site survey: Once selected, an empanelled vendor or authorized agency may inspect the site to confirm the water source, land conditions, pump requirement, and installation feasibility.
• Step 10 – Installation and commissioning: The approved vendor will install the solar pump system. After inspection and successful commissioning, the project is recorded as completed under the scheme.

State-Wise PM Kusum Application Portals

State governments manage PM KUSUM applications through their designated renewable energy agencies, agriculture departments, or electricity distribution companies. Farmers should apply through the official portal notified for their state.

The table below lists the main agency or application route used in major states. Farmers should use it to identify the correct state authority before checking whether PM Surya Ghar registrations are currently open.

Benefits of PM Kusum Solar Pumps

PM Kusum solar pumps can reduce irrigation costs, improve access to daytime power, and create additional income opportunities for farmers.

Their main benefits include:

• Lower irrigation costs: Solar pumps eliminate the recurring cost of diesel and reduce dependence on paid grid electricity. Once installed, the fuel cost of running the pump is close to zero.
• Daytime power for irrigation: Farmers can operate the pump during daylight hours instead of waiting for irregular or late-night electricity supply.
• Additional income opportunities: Under Component A and eligible Component C projects, farmers may earn money by selling electricity to the DISCOM or using their land for a solar power project.
• Lower pollution: Replacing diesel pumps with solar PV systems reduces fuel consumption, emissions, and local air pollution.
• Reduced pressure on state power subsidies: Solar-powered irrigation can lower the electricity subsidy burden on state governments and DISCOMs.

Limitations and Practical Considerations of PM Kusum Yojana

While the PM Kusum Yojana can significantly reduce the cost of installing and operating a solar pump, farmers should understand a few practical limitations before applying.

• Applications depend on state targets: Each state and district receives a limited allocation. Registration may close once the available target is filled, and farmers have to wait for the next application cycle.
• Subsidy support is usually capped at 7.5 HP: For most individual farmers, central assistance is calculated only up to a 7.5 HP pump.
• Component B pumps cannot sell electricity: These are standalone, off-grid systems designed to run agricultural pumps. Since they are not connected to the grid, they cannot export surplus power.
• Applying does not guarantee selection: The state implementing agency verifies applications and selects beneficiaries based on eligibility, available targets, and state priorities. A successfully submitted form is only an application, not a confirmation of approval.

PM Kusum Yojana Official Website and Fraud Warning

PM Kusum Yojana can make solar pumps affordable for farmers, but the application must be completed through the correct government channel. Before registering, paying a fee, or selecting a vendor, verify the official portal for your state through the PM Kusum Yojana official website.

• Fraudulent websites, mobile apps, agents, and WhatsApp contacts may use names that sound similar to PM Kusum and ask farmers to pay registration charges or pump costs. Do not transfer money to a personal bank account, private UPI ID, or an unverified contact.
• Use the MNRE PM Kusum portal for official scheme information and only the designated state agency or state-government portal for applications and payments.
• After every transaction, save the payment receipt, acknowledgement, and application number.

The safest approach is simple. Verify the portal, check the latest state notification, and pay only through an authorized government channel.

Frequently Asked Questions

Can a state offer more than 30% subsidy under the PM Kusum Yojana?

Yes, the standard state contribution is at least 30% of the approved cost, but a state may provide additional financial support through its own schemes. This can reduce the amount that the farmer has to pay. Farmers should check the latest state notification because the subsidy structure can differ by location and application round.

What does benchmark cost or tender cost, whichever is lower, mean in the PM Kusum scheme?

MNRE (Ministry of New and Renewable Energy) sets a benchmark cost for eligible solar pump systems, while states also discover prices through their tender process. The central subsidy is calculated on whichever of these two amounts is lower. For example, if the benchmark cost is ₹3 lakh but the state tender price is ₹2.7 lakh, the subsidy will be calculated at ₹2.7 lakh.

Does the farmer pay only 10% of the solar-pump cost?

This is not true in every case. Under the standard subsidy structure, the central and state governments together generally cover 60% of the approved cost. The farmer is responsible for the remaining 40%. Where bank finance is available, the farmer may pay around 10% initially and take a loan for another 30%. That 30% is a repayable bank loan, not an additional subsidy.

What is the cost of a 3 HP solar pump under PM Kusum Yojana?

A 3 HP solar pump system may cost ~₹1.8 lakh* to ~₹2.5 lakh* before subsidy, depending on the state tender and system specifications.

*Please note: The solar pump price range listed in the section above is just an indicative range, based on standard market estimates. The actual cost can vary based on the brand, GST inclusion or exclusion, pump type, promotional offers, and even your city. SolarSquare does not provide solar water pumps or facilitate solar installation for farmers. We install rooftop solar at homes, housing societies, and commercial and industrial buildings.

What is the cost of a 5 HP solar pump under PM Kusum Yojana?

A 5 HP solar pump system may cost ~₹3 lakh* to ~₹3.5 lakh* before subsidy, depending on the state tender and system specifications.

*Please note: The solar pump price range listed in the section above is just an indicative range, based on standard market estimates. The actual cost can vary based on the brand, GST inclusion or exclusion, pump type, promotional offers, and even your city. SolarSquare does not provide solar water pumps or facilitate solar installation for farmers. We install rooftop solar at homes, housing societies, and commercial and industrial buildings.

How do I apply for PM Kusum Yojana in Uttar Pradesh?

For a new standalone solar pump under Component B, farmers should check the latest registration notice issued through the Uttar Pradesh Agriculture Department or the concerned district agriculture office. For Component C, UPNEDA operates dedicated KUSUM C-1 and C-2 portals. Applications should be submitted only when the relevant state registration window is open.

How do I apply for PM Kusum in Maharashtra?

Farmers in Maharashtra can apply through MSEDCL’s Magel Tyala Saur Krushi Pump Yojana portal. The portal provides services for submitting an application, checking its status, making the beneficiary payment, and raising complaints. Payments should be made only through the authorized MSEDCL system.

Can a farmer with an electricity connection apply?

Yes, a farmer who already has a grid-connected agricultural pump may be eligible under Component C. This component supports the solarization of existing agricultural pumps, either individually or through feeder-level solarization.

What is the official website for PM Kusum Yojana?

The National Portal for PM-Kusum, managed by MNRE, should be used for central scheme information and official updates. Applications and payments are generally handled through the designated state implementing agency. Farmers should verify the state portal through official government sources before sharing documents or making any payment.