PM-KUSUM 2.0 to include 10 GW agrivoltaic component

The government is preparing PM-KUSUM 2.0 with a dedicated 10 GW agrivoltaic (agri-PV) component to support the co-location of solar panels with agricultural crops. Union Minister for New and Renewable Energy Pralhad Joshi announced the proposal at the 4th National Agro-RE Summit held in New Delhi on March 10, 2026.

The planned component aims to allow farmers to generate electricity while continuing cultivation on the same land, creating a decentralised renewable energy model for rural areas. The announcement was made at the summit organised by the National Solar Energy Federation of India (NSEFI) in collaboration with the India Agrivoltaics Alliance.

Joshi said India’s agrivoltaic potential is estimated between about 3,000 GW and nearly 14,000 GW. Studies indicate that combining solar power generation with agriculture could increase farmer incomes in some cases from around Rs 60,000 per acre annually to over Rs 1 lakh per acre through additional electricity revenue.

On solar irrigation, the Minister highlighted the cost burden of diesel-based irrigation. Irrigating wheat using diesel currently costs nearly Rs 6,790 per acre, while crops such as cotton can exceed Rs 8,000 per acre. Solar pumps can deliver annual savings of Rs 5,000 to Rs 6,500 per acre while reducing emissions. Under the existing Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM) scheme, more than 10 lakh standalone solar agricultural pumps have been installed and over 13 lakh grid-connected agricultural pumps have been solarised across the country.

Joshi added that the scheme is enabling farmers to become “Urjadaata” (energy providers) in addition to their traditional role as “Annadata” (food providers). He also noted progress under the PM Surya Ghar: Muft Bijli Yojana rooftop solar programme, which has benefited more than 31 lakh households so far.

Commenting on the broader energy transition, Joshi said India’s non-fossil fuel capacity has grown from about 81 GW in 2014 to nearly 275 GW currently, with more than half of the installed electricity capacity now coming from non-fossil sources. Solar capacity has increased from 2.8 GW to nearly 143 GW during this period, while wind capacity has risen from 21 GW to about 55 GW and biopower from 8.1 GW to around 12 GW. He reiterated that the country’s 500 GW non-fossil fuel capacity target will be driven by decentralised installations across farms, rooftops and rural enterprises.

Union Minister of State for Power and New and Renewable Energy Shripad Yesso Naik, who also addressed the summit, called for stronger collaboration between government, industry, research institutions and financial organisations to accelerate agrivoltaic deployment and develop affordable solutions for farmers.

The featured photograph is for representation only.