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Government Prepares ‘PM-KUSUM 2.0’ to Expand Agri-Solar Power Across India

Building on the foundation of its flaghip agricultural solar program, the Ministry of New and Renewable Energy (MNRE) has unveiled plans for PM-KUSUM 2.0. The upgraded framework aims to accelerate the adoption of clean energy in the farming sector following the successful solarization of over 10 lakh agricultural pumps nationwide.

MN
By Mogg's News Desk
Published: July 27, 2026, 09:15 IST · Updated: July 27, 2026, 14:32 IST · 5 min

NEW DELHI — Building on the foundation of its flaghip agricultural solar program, the Ministry of New and Renewable Energy (MNRE) has unveiled plans for PM-KUSUM 2.0. The upgraded framework aims to accelerate the adoption of clean energy in the farming sector following the successful solarization of over 10 lakh agricultural pumps nationwide.

While the initial phase concentrated heavily on individual solar pump installations, PM-KUSUM 2.0 shifts significant focus toward feeder-level solarization. Under this approach, entire agricultural electricity feeders will be powered by dedicated solar plants, streamlining energy distribution to rural areas and ensuring reliable daytime power supply for irrigation.

Beyond modernizing irrigation infrastructure, the updated policy introduces new economic avenues for agricultural landholders:

Land Leasing Opportunities: Farmers and landowners can lease barren or uncultivated land to power distribution companies (DISCOMs) or independent power producers to set up solar plants.

Stable Revenue Stream: Leasing unused acreage offers cultivators a steady, long-term source of passive income to hedge against crop yield fluctuations and seasonal weather risks.

Grid-Connected Generation: Cultivators setting up grid-tied solar setups can sell excess electricity back to local DISCOMs, turning farms into local clean energy hubs.

By scaling up distributed solar generation across rural networks, PM-KUSUM 2.0 is designed to relieve the financial burden on state power utilities, reduce reliance on heavily subsidized grid electricity, and cut carbon emissions from diesel-powered pumps.

Detailed operational guidelines and state-wise implementation targets for PM-KUSUM 2.0 are expected to be rolled out by the ministry in the coming months.

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