Recalibrating PM-KUSUM Scheme

Syllabus: GS2/Government Policy and Intervention; GS3/Energy

Context

  • As the Pradhan Mantri Kisan Urja Suraksha Evam Utthaan Mahabhiyan (PM-KUSUM) scheme approaches its target year of 2026, a recalibration is necessary to address challenges and optimize its impact in achieving energy security for farmers, promoting renewable energy, and meeting climate commitments.

About the PM-KUSUM

  • It was launched by the Ministry of New and Renewable Energy (MNRE) aimed at enhancing energy security for farmers and promoting the use of renewable energy in the agricultural sector.
  • It seeks to achieve multiple objectives, including reducing the dependency on diesel in the farm sector, increasing farmers’ income, and contributing to India’s renewable energy targets.
  • The PM-KUSUM scheme aims to enhance farmers’ energy independence and promote renewable energy adoption through three key components.
    • Component A targets the installation of 10,000 MW of decentralized renewable energy plants on barren land, with power sold to DISCOMs at feed-in tariffs. 
    • Component B focuses on installing 17.50 lakh standalone solar agricultural pumps in off-grid areas, offering 30% central assistance, 30% state subsidy, and 40% farmer contribution. 
    • Component C supports the solarization of 10 lakh grid-connected pumps, enabling farmers to use solar energy for irrigation and sell surplus power to DISCOMs.

Key Benefits

  • Socio-Economic Benefits: Provides affordable and reliable energy access to marginalized farmers.
    • Reduces dependency on expensive diesel and erratic grid supply.
    • Help in doubling the farmers’ income.
    • Surplus energy sold to DISCOMs generates additional revenue.
    • Cuts operational costs, and enhances profitability.
    • Boosts local employment through installation, maintenance, and operations of solar infrastructure.
  • Environmental Benefits:  Reduces greenhouse gas emissions by 32 million tonnes of CO₂ annually.
    • Promotes sustainable agricultural practices by minimizing reliance on fossil fuels.
    • Advances India’s commitment to achieving 500 GW of renewable energy capacity by 2030 under Panchamrit targets.
  • Technological Benefits: 
    • Promotes innovation in solar technology and supply chains.
    • Encourages adoption of low-maintenance solar pumps and hybrid systems.

Key Challenges

  • Implementation Bottlenecks: Slow Progress like only 30% of targets achieved as of 2024.
    • Centralized implementation has sidelined local agencies with field expertise.
  • Affordability and Accessibility: Despite subsidies, high upfront costs deter adoption, especially among small and marginal farmers.
  • Availability of Subsidized Electricity: Heavily subsidized electricity for farmers reduces their incentive to adopt solar pumps.
  • Heavily subsidized electricity for farmers reduces their incentive to adopt solar pumps.
  • Technical and Logistical Issues: Lack of uniformity in pump capacities and poor maintenance infrastructure.
  • Integration with DISCOMs: Financially stressed DISCOMs are hesitant to procure surplus solar power from farmers.
  • Regional Disparities: States with better infrastructure like Haryana and Rajasthan outperform others like Bihar and Odisha.

Success Stories and Potential

  • PM-KUSUM has contributed to the reduction of diesel consumption in the agricultural sector, and provided farmers with a reliable and sustainable source of energy.
    • By promoting the use of solar energy, the PM-KUSUM scheme aligns with India’s commitment to increasing the share of installed capacity of electric power from non-fossil fuel sources to 40% by 2030.
  • Beneficiaries like Devki Devi and Sunita Devi, known as ‘Solar Didis’ from Bihar, have benefited from local government programs and the Aga Khan Rural Support Programme (India).
    • Their experiences underscore the potential of solar energy to transform agricultural practices.

Key Recommendations (Need for Recalibration)

  • Decentralization: Empowering local agencies to implement the scheme based on regional needs and conditions.
  • Incentives for Solar Adoption: Enhancing incentives for farmers to adopt solar pumps by addressing the issue of cheap electricity.
  • More Focus on Components A and C: Prioritizing the implementation of Components A and C to ensure balanced progress across all components.
  • DISCOM Viability: Introduce policy incentives for DISCOMs to ensure timely procurement of surplus power.
  • State-Specific Strategies: Develop state-level plans for equitable distribution and efficient implementation.

Conclusion

  • The PM-KUSUM scheme has the potential to drive India’s climate action and promote sustainable agricultural practices. 
  • However, to realize this potential, it is crucial to address the implementation challenges and recalibrate the scheme to meet its targets by 2026.
Daily Mains Practice Question
[Q] Analyze the socio-economic and environmental significance of the PM-KUSUM scheme. Highlight the challenges in its implementation and suggest ways to recalibrate the scheme for better outcomes.

Source: BL

 

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