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PM-KUSUM Empowers Farmers as Urjadata, Reaching Over 20 Lakh Beneficiaries

Written by: Team Angel OneUpdated on: 16 Dec 2025, 9:32 pm IST
PM-KUSUM scheme empowers farmers as Urjadata, benefiting over 20 lakh, with earnings up to ₹80,000/ha/yr from solar projects.
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The PM-KUSUM scheme is transforming the agricultural landscape by empowering farmers as 'Urjadata' and benefiting over 20 lakh individuals.  

This initiative allows farmers to harness solar energy, providing them with an opportunity to increase their income by leasing land for solar power projects. 

Farmers' Income Boost through Solar Energy 

Under Component A of the PM-KUSUM scheme, farmers can lease their land for solar power plant installations, earning up to ₹80,000 per hectare annually.  

This component has seen a median average income of ₹4.5 lakh per megawatt per month for commissioned plants. The scheme is demand-driven, with capacities allocated based on the demand and progress reported by States and Union Territories. 

Significant Savings with Solar Pumps 

Component B of the scheme focuses on replacing existing diesel pumps with solar pumps. This transition offers substantial savings, with farmers saving approximately ₹60,000 annually on diesel costs.  

With an average diesel consumption of 4.6 litres per day for 5 HP pumps, the breakeven point is achieved in less than a year, making it a financially viable option for farmers. 

Leasing Land for Solar Projects 

Component C of the scheme provides farmers with an opportunity to earn ₹25,000 per acre annually by leasing their land for solar project installations.  

This additional income stream supports farmers in diversifying their revenue sources and contributes to the broader goal of increasing renewable energy adoption across the country. 

Read More: Shakti Pumps Share Price Surges Nearly 13% After Securing New Orders! 

State-wise Fund Allocation and Beneficiaries 

The funds under the PM-KUSUM scheme are released based on demand and progress reported by States and Union Territories. Maharashtra, Gujarat, and Haryana have received significant allocations, reflecting their active participation in the scheme.  

As of November 30, 2025, Maharashtra leads with 11,21,416 beneficiaries, followed by Rajasthan with 2,35,924 and Gujarat with 2,28,504 beneficiaries. 

Conclusion 

The PM-KUSUM scheme is playing a pivotal role in empowering farmers by providing them with new income opportunities through solar energy. By enabling farmers to become 'Urjadata', the scheme not only enhances their financial stability but also contributes to the nation's renewable energy goals. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing. 

Published on: Dec 16, 2025, 4:02 PM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

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