The central government has launched new schemes to promote solar energy. The government has launched two more financial models related to the Pradhan Mantri Surya Ghar Yojana. These include Renewable Energy Service Companies (RESCO) and Utility-Based Integration Model. The special thing about both the models is that customers will not have to pay a single rupee for installing solar power plants on their rooftops.
Under the RESCO model, third party will install solar power plants on the rooftops of customers. Under this, third party companies will receive payment from consumers for the electricity produced from solar power plants. Under the utility-based integration model, DISCOMs or state-nominated organizations will install solar power plants on the rooftops in residential areas. Consumers will have to pay only for the consumption of electricity produced by the solar power plant.
To de-risk the investments made under the RESCO model, the central government has set up a fund of Rs 100 crore. The power ministry has said that these guidelines are in addition to the existing method of implementation by consumers through the national portal.
The Pradhan Mantri Surya Ghar Free Electricity Scheme aims to provide solar power to one crore households by March 2027. The scheme was launched in February 2024 with an allocated budget of Rs 75,021 crore. The actual demand came from the 3-5 kW load segment, which accounted for 77 per cent of the installations. While 14 per cent of the installations were in the above five kW category.