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The Centre has announced incentives for Panchayati Raj Institutions (PRIs) to promote rooftop solar installations in rural communities under the PM-Surya Ghar: Muft Bijli Yojana. The Panchayati Raj Ministry has urged states to ensure the successful implementation of this scheme. In a letter dated 8 July, Additional Secretary of the Panchayati Raj Ministry, Chandra Shekhar Kumar, asked state departments to disseminate the operational guidelines of the scheme, which was launched in February 2024. This initiative aims to install rooftop solar panels and provide free electricity up to 300 units per month for 10 million households. Kumar emphasised the need for necessary actions to involve PRIs, state Panchayati Raj departments, and other stakeholders actively in the scheme's implementation. The scheme, approved by the Centre, is designed to increase solar rooftop capacity and empower residential households to generate their own electricity. With an outlay of Rs 750.21 billion, it will be implemented until FY 2026-27. It offers a central financial assistance (CFA) of 60% of the system cost for 2 kW systems and 40% of additional system cost for systems between 2 kW and 3 kW, with the CFA capped at 3 kW. At current benchmark prices, this translates to a subsidy of Rs 30,000 for a 1 kW system, Rs 60,000 for a 2 kW system, and Rs 78,000 for a 3 kW system or higher. The scheme also includes a Rs 8 billion budget to develop a 'model village' in each district for the adoption of rooftop solar in rural areas and a Rs 10 billion allocation to incentivise local bodies to promote rooftop solar installations. The guidelines provide an option for beneficiaries to forgo the subsidy, which can be availed through the PM Surya Ghar National Portal. The Additional Secretary highlighted that the scheme would help PRIs promote clean energy adoption in rural areas and create a new revenue source for these institutions. The Centre's approval of this scheme underscores its commitment to increasing the share of solar energy in the national grid and empowering residential households to become energy self-sufficient.(Source: PTI & ET)