Residential Rooftop Solar Installations Under PM Surya Ghar Cross 600,000
Gujarat leads with 281,769 installations, making up 46% of India's total
November 28, 2024
Residential rooftop solar installations under the PM Surya Ghar: Muft Bijli Yojana have touched 616,019 as of November 21, 2024, according to data provided by Minister of State for New and Renewable Energy Shripad Yesso Naik in the Lok Sabha.
The program, approved on February 29, 2024, program aims to install rooftop solar systems in 10 million households by the end of the financial year 2026-27.
Implemented through the National Portal (https://www.pmsuryaghar.gov.in), the program enables residential consumers to register, apply, and select vendors for their rooftop solar systems.
The platform allows users to negotiate installation costs, secure approvals, and benefit from subsidies transferred to their bank accounts following inspections by electricity distribution utilities.
Gujarat leads the states by a substantial margin with 281,769 installations, accounting for nearly 46% of the total installations.
Maharashtra is a distant second with 120,696 installations, while Uttar Pradesh and Kerala show similar numbers with approximately 51,300 installations each.
The middle tier consists of Tamil Nadu, Rajasthan, and Madhya Pradesh, accounting for 17,000-19,300 installations each. The lower tier includes Haryana, Uttarakhand, and Telangana, with installations ranging from 7,000 to 14,000 units.
The remaining states collectively account for 25,641 installations.
To promote awareness about the program, the Ministry of New and Renewable Energy is employing various outreach methods, including campaigns on social media, print and electronic media, radio jingles, street plays, and door-to-door initiatives.
Statistical Analysis and Stakeholder Insights
The program demonstrates interesting conversion dynamics across states and union territories as we examine the two critical conversion stages in detail:
High Performers
The data reveals efficiency in several regions, with Lakshadweep (40.76%), Rajasthan (40.71%), and Goa (40.15%) achieving the highest conversion rates.
These states have done well in converting initial registrations into formal applications, suggesting effective administrative processes and strong citizen engagement.
Moderate Achievers
A substantial middle tier emerges, with states like Haryana (33.79%), Kerala (34.61%), and Maharashtra (30.05%) maintaining healthy conversion rates.
The NCT of Delhi showed a conversion rate of 28.32%. Gujarat’s conversion rate was a reasonable 26.26% despite handling large volumes.
States Needing Improvement
Several regions reflected conversion rates below 10%:
- Jharkhand: 2.35%
- Himachal Pradesh: 2.51%
- Jammu and Kashmir: 2.83%
- Bihar: 5.70%
- Odisha: 5.89%
Gujarat stands out with a 90.65% application-to-installation conversion rate, demonstrating implementation efficiency. Other notable performers include Kerala at 60.13%, Puducherry at 44.19%, Madhya Pradesh at 41.84%, and Telangana at 38.29%
Moderate Implementation
The following states demonstrated conversion rates of over 30%:
- Punjab: 36.49%
- Uttarakhand: 35.73%
- Ladakh: 35.26%
- Chandigarh: 30.87%
Laggard States
- Arunachal Pradesh: 0%
- West Bengal: 0.95%
- Meghalaya: 0.98%
- Assam: 1.00%
- Jharkhand: 1.15%
These figures reveals significant regional disparities in program implementation efficiency, suggesting the need for targeted interventions and best practice sharing to optimize the program’s overall performance.
Despite this, subsidies under the program allow consumers to achieve cost break-even in 4-5 years for 3 kW to 5 kW systems, making adoption financially viable for many.
The program faces several implementation challenges that affect these conversion rates. Processing times typically range from 2-3 months but can extend to 4-5 months due to bureaucratic hurdles and complex approval processes.
Tamil Nadu’s case particularly highlights these challenges with its intricate registration system. Supply chain issues further complicate implementation, with shortages in 3 kW system components and DCR modules, while price disparities between DCR and non-DCR modules influence adoption decisions.
Regional performance variations reflect multiple factors, including financial incentive structures and local challenges. Weather conditions impact installation timelines, particularly in regions like Chennai, while state-specific net metering and billing systems create additional complexities.
The financial landscape shows promise with improved access to collateral-free financing, though the program’s success varies with subsidy availability.
These patterns underscore the need for streamlined processes and regional adaptations to improve the program’s effectiveness.
The stark contrasts in state performance suggest that successful implementation models from high-performing states could provide valuable insights for regions struggling with lower conversion rates.
Accelerated adoption will be possible if paperwork and approvals are speeded up, policies are redrawn to ensure a steady supply of modules and inverters, financing options are widely publicized, and awareness about the program and its subsidy components is increased by strengthening outreach efforts.
In September, the Ministry of New and Renewable Energy (MNRE) introduced a ₹5 billion (~$59.7 million) Innovative Projects Component as part of the Surya Ghar program to showcase and demonstrate cutting-edge solar technologies and applications.