·The Hindu·15 marks·250–350 wordsPolityEconomyEnvironment

What implementation bottlenecks does residential rooftop solar face in India? Suggest measures to make the scheme more inclusive for renters and urban poor households.

New · District CollectorCan you hold the district for 72 hours?Floods, a heatwave, an outbreak, a grievance queue. Take the decisions, see the consequences.Play →
In this answer
  1. Implementation Bottlenecks
  2. Measures for Renters and the Urban Poor

The PM Surya Ghar: Muft Bijli Yojana (2024) aims to put rooftop solar on 1 crore households by FY 2026-27. It has an outlay of ₹75,021 crore and offers up to 300 free units a month [1]. Demand is no longer the problem. The binding limits are now delivery and equity, because the scheme depends on DISCOM approvals and on households that own their roofs.

Implementation Bottlenecks

  • Applications not turning into installations: Andhra Pradesh had 9.13 lakh applications but only 2.31 lakh installations by July 2026 [2]. Nationally, over 1 crore registrations had produced about 33 lakh installations by May 2026 [7].
  • DISCOMs lose from approving: Net metering is a consumer right under the Electricity (Rights of Consumers) Rules, 2020 [5]. But it cuts DISCOM sales to their best-paying customers, so the body that inspects and connects systems has a reason to delay.
  • Spending bunched at the end: Only ₹27,343.9 crore of central subsidy (CFA), about 36% of the outlay, had been released by July 2026 [4][1]. That leaves a heavy payout for the final months.
  • Uneven spread across states: The scheme has no state-wise allocation [3]. Poorer states with weak DISCOMs can fall behind without anyone noticing.
  • Grid and quality strain: Reverse power flow, transformer upgrades, smart-meter gaps and small installers of uneven quality all limit how fast it can scale.

Measures for Renters and the Urban Poor

  • Zero-upfront models: Scale up MNRE's RESCO and Utility-Led Aggregation models, backed by a ₹100 crore payment-security corpus [6]. Make aggregation the default for low-income clusters, so DISCOMs become partners rather than gatekeepers.
  • Shared and virtual net metering: Eligibility now requires a suitable roof and the applicant's own grid connection [3]. Yet 40.45 lakh systems already serve 48.8 lakh households [4], which shows systems can be shared. Extend this to housing societies, slum-rehabilitation blocks and rented buildings, with credits split across individual bills.
  • Fair cost-sharing: State regulators should fix how DISCOMs are compensated in advance. That would speed approvals without shifting costs onto households that have no panels.
  • Transparent targeting: Publish installations by income group and delivery model, and set state-wise inclusion targets.
  • Link with public housing: Install solar by default on government-built urban housing blocks.

In short, the scheme's constraint has moved from demand to delivery. Aligning DISCOM incentives and mainstreaming shared, zero-upfront models can extend "Muft Bijli" to households without their own roofs. This would advance SDG 7 (affordable, clean energy) and India's Panchamrit climate goals.

Sources

  1. 1Cabinet approves PM-Surya Ghar: Muft Bijli Yojana for installing rooftop solar in One Crore households (PIB)1 crore target, ₹75,021 crore outlay, 300 free units, CFA
  2. 2Lok Sabha Unstarred Question No. 523, answered 22.07.2026 (MNRE)Andhra Pradesh applications vs installations
  3. 3Lok Sabha Unstarred Question No. 525, answered 22.07.2026 (MNRE)no state-wise allocation; eligibility needs a suitable roof and own grid connection
  4. 4Lok Sabha Unstarred Question No. 1698, answered 29.07.2026 (MNRE)40.45 lakh systems serving 48.8 lakh households; ₹27,343.9 crore CFA released
  5. 5Electricity (Rights of Consumers) Rules, 2020 (PIB)net metering as a consumer (prosumer) right
  6. 6MNRE issues Operational Guidelines for implementation of various components under PM-Surya Ghar (PIB)RESCO and Utility-Led Aggregation models; ₹100 crore payment-security corpus
  7. 775 Lakh Households Targeted for Rooftop Solar Installations by December 2026 (PIB)over 1 crore registrations vs about 33 lakh installations
Practice
5 questions on this article
Check the answer for each question, or reveal all at once.
Practice MCQs →

More from this note

More on Polity