PM-KUSUM (Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan) Component C is the one part of the scheme built for farmers who already have a grid-connected agricultural pump. Component A puts solar on barren land. Component B is for off-grid pumps with no electricity nearby. Component C does something different, it bolts a solar array onto your existing grid pump, lets the array run the pump during the day, and exports surplus units back to the DISCOM (Distribution Company) at a rate set by the State Electricity Regulatory Commission. The central subsidy is 30% for general states and 50% for the North-East, hilly, and island regions, calculated on MNRE’s benchmark cost or the tender cost, whichever is lower. States are free to add their own subsidy; where a state adds 30%, the farmer’s out-of-pocket falls to roughly ₹1.4–₹2 lakh for a 5 HP (horsepower) solarisation.
This guide walks through Component C end-to-end, the C1 versus C2 split, the subsidy math, the sell-to-grid mechanism, the application funnel, and the rejection patterns we see most often across the Rajasthan and Madhya Pradesh installations we have worked on.
Direct answer. PM-KUSUM Component C solarises an existing grid-connected agricultural pump. C1 (Individual Pump Solarisation) lets a farmer install solar panels on their own pump and sell surplus units to the DISCOM at a regulator-set rate. C2 (Feeder-Level Solarisation) is a DISCOM-led model. Central subsidy is 30% (50% in NE and hilly states); many states add their own share. The scheme period ended on 31 March 2026, so new applications depend on PM-KUSUM 2.0.
Scheme status, October 2026. PM-KUSUM’s sanctioned period ran to 31 March 2026. MNRE has allowed only projects whose PPA was signed, or whose Notice to Proceed was issued, on or before 31 December 2025 to complete, by 31 March 2027, with no extension beyond that date (MNRE office memoranda of 28 March, 25 May and 28 September 2026 on the PM-KUSUM national portal). New Component C applications depend on PM-KUSUM 2.0, which MNRE described in March 2026 as at the proposal stage. The process below explains how Component C has worked; confirm with your state implementing agency whether any window is actually open before preparing a file.
If your tubewell already runs on a metered grid connection, flat-rate, single-phase, or three-phase, Component C is the route built for you. You keep the grid as backup for nights and cloudy days, the solar array carries the pump through daylight hours, and the surplus turns into a small monthly income.
What Component C Solarisation Actually Does to Your Pump
Component C is often misunderstood as “another off-grid solar pump scheme”. It is not. The pump stays connected to the DISCOM. The solar array is wired in parallel with the grid feed through a bi-directional net meter, so during the day the solar panels carry the pump load and any surplus flows backward into the grid. At night, or during overcast weather, the same pump draws from the grid exactly as it did before. The farmer never loses irrigation capability and never depends on storage batteries.
Mechanically, a Component C installation adds four elements to the existing connection:
- A ground-mounted or pole-mounted solar array of up to twice the pump’s capacity in kilowatts (1 HP is about 0.75 kW), which is the limit MNRE’s guidelines allow under Individual Pump Solarisation. A 5 HP pump (about 3.7 kW) can take up to about 7.5 kWp; a 7.5 HP pump up to about 11 kWp.
- A grid-interactive solar inverter (string or central) that synchronises the array output with the DISCOM frequency and voltage, including the anti-islanding protection that shuts the inverter down safely if the grid goes down. This is different from the variable frequency drive (VFD) used in Component B standalone systems.
- A bi-directional net meter (or two unidirectional meters in some states) sealed by the DISCOM. This is what measures the surplus units flowing back.
- An AC isolator, DC isolator, and earthing kit wired into the existing pump starter.
The existing pump motor, starter, cables, and tubewell are untouched. This is the single biggest reason farmers prefer Component C over Component B, there is no need to replace a working pump, no need to dig out the casing, no need to retrain on a new control panel. The capital outlay is also significantly lower than a full Component B replacement because the pump itself is reused.
The Ministry of New and Renewable Energy (MNRE) sets the rules in its consolidated PM-KUSUM guidelines of 17 January 2024: equipment must be BIS-certified, and modules must be made in India with Indian-made cells. MNRE’s 2023 solar pump specification sets module efficiency at 19% or more. See also the Approved List of Models and Manufacturers (ALMM).
C1 (Individual) vs C2 (Feeder-Level), Which Applies to You
Component C has two sub-models, and the choice is not really a choice, it is determined by who initiates the project. C1 is farmer-led; C2 is DISCOM-led. Most farmers reading this guide will only ever interact with C1.
C1, Individual Pump Solarisation (IPS). The farmer (or a Farmer Producer Organisation, an FPO) applies to the State Implementing Agency for solar panels to be installed on their own existing grid pump. The panels feed the pump first, and any surplus is exported through a bi-directional meter. The farmer owns the asset, claims the subsidy, and earns the sell-to-grid income directly. This is the route for any farmer whose pump is already drawing metered grid supply and who wants to convert it to solar without giving up the grid backup.
C2, Feeder-Level Solarisation (FLS). The DISCOM identifies an agricultural feeder line that supplies a cluster of grid pumps, and installs a solar plant sized to the feeder’s annual farm demand near the substation (MNRE sets no capacity cap for feeder-level plants). The pumps connected downstream then receive solar power during the day without any rooftop, ground-mount, or net-meter changes at the farmer’s end. The farmer does not own the solar array and does not earn sell-to-grid income, the DISCOM does. The farmer’s benefit is that the agricultural feeder is now decarbonised and supply quality during the day improves significantly.
| Feature | C1, Individual Pump | C2, Feeder-Level |
|---|---|---|
| Who installs | Farmer or FPO | DISCOM |
| Who owns the array | Farmer | DISCOM / private developer |
| Subsidy applies to | Farmer | DISCOM / developer |
| Sell-to-grid income | Goes to farmer | Goes to DISCOM |
| Pump-side hardware change | Net meter + isolators | None |
| Suitable for | Farmers with one or two pumps wanting their own asset | Cluster feeders with 50+ pumps |
| Typical project size | 2 to 15 kWp per pump | 500 kWp–10 MWp per feeder |
| Application route | State Implementing Agency portal | DISCOM tender, no farmer application |
In practice, states choose their own mix. Maharashtra’s Mukhyamantri Saur Krishi Vahini programme is the best-known feeder-level example; states with a large agricultural power subsidy burden tend to favour feeder-level solarisation, while individual solarisation suits farmers who want to own the asset and the income.
For a side-by-side of the entire scheme, including how Component C sits alongside the other two components, read our PM-KUSUM complete guide. If you do not yet have a grid connection at the pump site, you actually need PM-KUSUM Component B for standalone pumps, not Component C. And if you own barren land that could host a 500 kWp–2 MWp solar plant under the landowner route, see PM-KUSUM Component A for landowners.
The 5-Stage Component C Solarisation Funnel
This is the framework we use across the C1 applications we have managed. Five sequential stages, each with its own approval gate. Skipping a gate means restarting the application, which can add 8 to 10 weeks because the State Implementing Agency revalidates the land record, the bill, and the pump capacity afresh.
Stage 1: Eligibility Verification (Day 0 to 7)
Before opening the portal of your State Implementing Agency (the DISCOM, state energy agency or department your state has designated for Component C; see our Haryana guide for one state’s route), confirm four eligibility conditions. Your pump must be grid-connected and the connection must be active and metered. A flat-rate connection that has been disconnected for non-payment cannot be solarised until the dues are cleared. Pumps of any capacity can be solarised, but central assistance is capped at the level for a 7.5 HP pump (15 HP in the North-East and hill states, for up to 10% of installations), so larger pumps carry a higher farmer share. Land ownership at the pump site must usually be in your name or an immediate family member’s name; some states accept a registered long-term lease, and tenant farmers face a distinct set of eligibility rules worth checking before applying. Aadhaar, bank account, and DISCOM consumer number must all reflect the same applicant. Mismatches at this stage are the leading rejection cause.
Stage 2: Application Submission and Document Upload (Day 8 to 14)
Steps vary by state, but a typical portal works like this: open the State Implementing Agency portal, register with your Aadhaar-linked mobile number, and trigger an OTP. Once logged in, select Component C-1 (individual pump solarisation), enter your DISCOM consumer number, and the portal pulls your sanctioned load and connection category from the DISCOM database. Upload the document set, latest electricity bill (within three months), Aadhaar copy, land record (Khata, Khatauni, or Patta), pump capacity certificate from the local electrical contractor, cancelled cheque, and a recent photograph of the pump and the proposed solar array site. The portal generates an Application Reference Number (ARN). Save it; every follow-up reference uses the ARN.
Stage 3: Technical Feasibility and DISCOM Sanction (Day 15 to 45)
The State Implementing Agency forwards the application to the DISCOM for two checks, distribution transformer (DT) headroom and net-meter compatibility. The DT must have enough capacity to absorb the surplus export; where it is heavily loaded, the DISCOM can cap export or ask for an upgrade. The existing energy meter must also be replaceable with a bi-directional meter. Approval commonly takes several weeks, and the DISCOM’s feasibility approval is the green light for the next stage.
Stage 4: Vendor Empanelment, Installation, and Commissioning (Day 46 to 90)
After feasibility approval, you work with one of the vendors your state has selected for Component C through its tender (MNRE’s guidelines require state tendering). The portal or agency shows the list. Installation of a 7.5 kWp array for a 5 HP pump takes 6 to 10 working days, site survey, civil foundation, structure fabrication, panel mounting, inverter wiring, DC and AC cabling, earthing, and integration with the existing pump starter. Once the array is energised and tested in island mode, the vendor uploads commissioning documents and the DISCOM schedules a net-meter installation and inspection within 7 to 14 working days. The DISCOM seals the bi-directional meter, signs the commissioning report on the portal, and your asset goes live.
Stage 5: Subsidy Settlement and Sell-to-Grid Activation (Day 91 to 150)
Under MNRE’s guidelines, the central subsidy is released to the State Implementing Agency, not to the farmer, and the agency pays the vendor in stages; the state share follows the state’s own rules. The farmer pays only their own contribution, usually before installation, directly or through a loan. From commissioning day, surplus units flowing into the grid are metered; the DISCOM credits or pays for them at the rate fixed by the state regulator, on the billing cycle set by the state. The first sell-to-grid statement typically arrives a few billing cycles after commissioning.
Subsidy Math: Central + State + Farmer Share for Component C
The central share is fixed by MNRE’s PM-KUSUM guidelines: 30% of the benchmark cost or tender cost, whichever is lower (50% in the North-East, hill states and islands), with central assistance capped at the level for a 7.5 HP pump. States are free to add their own subsidy, and Component C can also be done with the central share alone. The combined rate is what determines the farmer’s actual out-of-pocket.
| Category | Central Subsidy | State Subsidy | Farmer Share | Notes |
|---|---|---|---|---|
| State adds no share | 30% | 0% | 70% | Permitted under the guidelines; banks may lend up to 70% |
| State adds 30% | 30% | 30% | 40% | The classic PM-KUSUM 30-30-40 split |
| North-East + hilly + islands | 50% | Varies by state | Up to 50% | Higher central share, state top-up varies |
| Pumps above 7.5 HP | Capped at 7.5 HP level | Varies | Higher than above | 15 HP cap in NE/hill states, for up to 10% of installs |
Some states add extra support for particular groups of farmers; check your state’s notification. The farmer share can be self-funded or financed through a bank loan; MNRE’s guidelines say banks may lend up to 70% of the cost, with surplus-power income going towards repayment.
| Pump Capacity | Solar Array Size | Total Cost (₹) | After 60% Subsidy | Farmer’s Share |
|---|---|---|---|---|
| 3 HP | 4.5 kWp | ₹2.2–₹2.8 lakh | ₹88K–₹1.12L | ₹88K–₹1.12L |
| 5 HP | 7.5 kWp | ₹3.5–₹5.0 lakh | ₹1.4L–₹2.0L | ₹1.4L–₹2.0L |
| 7.5 HP | 10 kWp | ₹5.0–₹6.5 lakh | ₹2.0L–₹2.6L | ₹2.0L–₹2.6L |
| 10 HP | 13.5 kWp | ₹6.5–₹8.5 lakh | Higher (aid capped at 7.5 HP) | Higher (aid capped at 7.5 HP) |
| 15 HP | 20 kWp | ₹9.5–₹12 lakh | Higher (aid capped at 7.5 HP) | Higher (aid capped at 7.5 HP) |
The single biggest variable is the state share. A farmer whose state adds 30% on top of the central 30% ends up at 40% of total cost; the same farmer in a state that adds nothing would pay 70%. This is why we always recommend verifying the active state notification before committing, state subsidy budgets sometimes exhaust before the financial year ends. For the current Rajasthan-specific numbers, refer to our KUSUM Rajasthan guide or the DREBP and PM-KUSUM Rajasthan landing page.
Selling Surplus Solar Back to DISCOM
This is the part of Component C that most farmers underestimate. A grid-tied solar pump does not just cut the electricity bill, it converts the pump from a cost centre into a small income asset. The mechanism is straightforward. The solar array generates roughly 1,500 to 1,650 kWh per kWp per year in central and northern India. A 7.5 kWp array on a 5 HP pump generates about 11,500 kWh annually. The pump itself, running 4 to 6 hours a day in the irrigation season, consumes around 4,000 to 6,000 kWh per year. The difference, 5,500 to 7,500 kWh, is surplus that flows into the grid.
The DISCOM purchase rate is set by the State Electricity Regulatory Commission, and it differs from state to state. The table below uses an illustrative ₹3.25 per kWh; check your state’s tariff order for the actual figure. How the DISCOM credits or pays for the units also follows state rules.
| Pump | Array | Annual Generation | Self-Use | Surplus | Annual Income @ ₹3.25 |
|---|---|---|---|---|---|
| 3 HP | 4.5 kWp | 6,900 kWh | 2,500 kWh | 4,400 kWh | ₹14,300 |
| 5 HP | 7.5 kWp | 11,500 kWh | 4,500 kWh | 7,000 kWh | ₹22,750 |
| 7.5 HP | 10 kWp | 15,300 kWh | 6,800 kWh | 8,500 kWh | ₹27,625 |
| 10 HP | 13.5 kWp | 20,600 kWh | 8,500 kWh | 12,100 kWh | ₹39,325 |
| 15 HP | 20 kWp | 30,600 kWh | 12,500 kWh | 18,100 kWh | ₹58,825 |
Combine this surplus income with the avoided grid bill (assuming the farmer was previously paying ₹0.90 to ₹2.00 per kWh under agricultural tariff, heavily subsidised but still a cost), and the total annual financial benefit on a 5 HP solarisation lands at ₹25,000 to ₹35,000. Against a farmer’s out-of-pocket of ₹1.4–₹2 lakh, payback works out to 6 to 7 years and the system has a useful life of 25 years.
For farmers still weighing diesel against solar, see diesel vs solar pump ROI for the full cost comparison.
Get a free Component C feasibility check. Send us your latest electricity bill and pump nameplate photo, our agri-solar team confirms eligibility, sizes the array, and quotes the post-subsidy out-of-pocket within 48 hours. Get your free quote →
Common Rejection Reasons and Recovery
Across the Component C applications we have managed in Rajasthan, Madhya Pradesh, and Haryana, rejections cluster around six repeat causes. Each is preventable with a pre-check before Stage 2 submission.
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1
Disconnected or dues-pending grid connection. Component C requires an active, billed connection. Clear pending agricultural tariff dues at the DISCOM sub-division office before applying; the portal blocks any consumer number flagged as defaulter.
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2
Land record name mismatch with bill. The Khata holder must match the DISCOM consumer name. For inherited pumps, file a mutation update at the Tehsildar's office first, it takes 30 to 45 days but is unavoidable.
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3
Pump capacity certificate missing or wrong. The local certified electrical contractor must issue a fresh capacity certificate matching the motor nameplate. Old certificates from before the current motor replacement get auto-rejected.
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4
Distribution transformer over-loaded. If the DT is heavily loaded, the DISCOM can cap export or reject the application. Either request a DT upgrade (who pays depends on state rules) or accept the export cap.
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5
Aadhaar–bank seeding incomplete. Sell-to-grid payouts and any direct transfers to the farmer route through the Aadhaar-seeded bank account. Confirm seeding at the bank branch or via the UIDAI bank-mapper before submission, a missing seed holds up payment.
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6
Vendor not state-empanelled for Component C. A vendor empanelled for PM Suryaghar residential rooftop is not automatically authorised for KUSUM Component C, the empanelment lists are separate. Verify the vendor's KUSUM-C registration with the State Implementing Agency before signing.
If your application has already been rejected, respond within the window your state allows before the application is closed. Beyond that, you restart from Stage 1, but the documentation work already done is reusable, so the restart is faster than the original application.
Component B (Standalone) vs Component C (Grid-Tied), When to Choose Which
Component B and Component C are often discussed together because both deliver solar irrigation. The choice between them is genuinely binary, it depends on whether your pump site has an existing active grid connection. If it does, Component C is almost always the better economic choice. If it does not, Component B is the only route. Farmers currently running a diesel-only pump with no grid nearby should instead work through our PM-KUSUM diesel pump replacement guide, which covers the claim process for swapping the diesel set out entirely.
- + Fully off-grid, runs without DISCOM connection
- + No bi-directional meter or feasibility approval needed
- + Subsidy up to 60% (30% central + 30% state)
- − Pump replaced, old motor cannot be reused
- − No surplus income (no grid to export to)
- − Cloudy days mean reduced irrigation
- + Existing pump and motor reused, lower capex
- + Grid backup for nights and cloudy days
- + Surplus units earn ₹15K–₹25K per year
- + Same 30% central share as Component B; state share varies
- − Net-meter feasibility approval adds 30 days
- − Cannot run if grid is down and array is offline simultaneously
Verdict. For any farmer whose tubewell currently runs on a grid connection, Component C is the better choice. It preserves the pump asset, keeps the grid backup, and adds a ₹15,000–₹25,000 annual income stream that Component B simply cannot offer. Component B remains the right answer only where there is genuinely no grid within reach, typically remote dryland tracts in Rajasthan, Gujarat, and the Deccan plateau.
How Heaven Green Energy Helps with Component C Solarisation
Heaven Green Energy is MNRE-empanelled for PM-KUSUM Component C across Rajasthan, Madhya Pradesh, Haryana, and Uttar Pradesh, and has handled grid-tied pump solarisation projects ranging from individual 3 HP installations to cluster FPO projects covering 40+ pumps. Our agri-solar team handles the workflow end-to-end for projects that can still proceed and, once PM-KUSUM 2.0 opens, for new applications:
- Eligibility pre-check against your DISCOM consumer record, land Khata, and motor nameplate before any portal submission.
- State Implementing Agency liaison with whichever agency or DISCOM your state has designated, to track feasibility approval and resolve queries.
- ALMM-listed tier-1 Adani Solar modules, paired with BIS-certified grid-interactive inverters carrying full 5-year and 25-year warranties.
- Civil and structural work: concrete foundations, hot-dip galvanised structures, IS 3043-compliant earthing pits, that survive Rajasthan summer and monsoon for the full 25-year lifecycle.
- DISCOM coordination for net meter installation: we attend the inspection on your behalf and ensure the bi-directional meter is sealed correctly.
- Subsidy release and sell-to-grid follow-up with the agency and DISCOM, with reconciliation against your bank statement for the first three quarters post-commissioning.
Explore the services that match your situation:
- Solar Calculator: sizing and post-subsidy out-of-pocket for your pump HP in 60 seconds.
- Contact Heaven Green Energy: share your latest bill and pump photo for a free Component C feasibility report.
- DREBP and PM-KUSUM Rajasthan: the Rajasthan-specific landing page with state notification updates.
- KUSUM Rajasthan guide: RRECL-specific application pathway and current state subsidy notification.
For the broader scheme overview and where Component C sits relative to A and B, the PM-KUSUM complete guide is the right starting point.
Frequently Asked Questions
Who is eligible for PM-KUSUM Component C in 2026?
PM-KUSUM’s scheme period ended on 31 March 2026, and MNRE allows only projects with a PPA or Notice to Proceed issued by 31 December 2025 to finish, by 31 March 2027; new applications depend on PM-KUSUM 2.0, still at the proposal stage. Under the rules that applied, a farmer with an existing grid-connected agricultural pump was eligible for Component C-1 (Individual Pump Solarisation); pumps of any size could be solarised, but central aid was capped at the 7.5 HP level. The grid connection must be active, billed, and free of pending dues. Land ownership at the pump site usually must be in the applicant’s name or that of an immediate family member. Component C-2 (Feeder-Level Solarisation) is initiated by the DISCOM, not the farmer, so individual eligibility there is determined at the feeder level.
How much does Component C solarisation actually cost the farmer after subsidies?
For a 5 HP pump (the most common Indian agricultural pump size) paired with a 7.5 kWp solar array, the total project cost is ₹3.5 to ₹5 lakh. With central subsidy of 30% and a 30% state share where the state adds one, the combined subsidy is 60%. The farmer’s out-of-pocket therefore lands at ₹1.4 to ₹2 lakh. Without a state share, the farmer pays 70%. Smaller 3 HP installations cost ₹88,000 to ₹1.12 lakh net to the farmer at 60% subsidy.
What is the actual income from selling surplus solar to the DISCOM under Component C?
A 7.5 kWp solar array attached to a 5 HP pump generates around 11,500 kWh per year in central and northern India. The pump itself, running 4 to 6 hours daily in the irrigation season, consumes about 4,000 to 6,000 kWh. The surplus of 5,500 to 7,500 kWh is exported to the DISCOM at a rate set by the state electricity regulator. At an illustrative ₹3.00 to ₹3.50 per kWh, annual surplus income works out to ₹15,000 to ₹25,000 for a 5 HP installation. Larger 10 HP and 15 HP systems generate proportionally higher surplus income, up to ₹58,000 per year.
How long does the Component C application process take from start to commissioning?
When an application window is open, a clean Component C-1 application has typically run 90 to 150 days from portal submission to commissioning. Stage 1 (eligibility verification) takes 5 to 7 days, Stage 2 (portal submission) 5 to 7 days, Stage 3 (DISCOM feasibility) 25 to 35 days, Stage 4 (vendor selection, installation, and net-meter inspection) 30 to 45 days, and Stage 5 (subsidy settlement and sell-to-grid activation) another 30 to 45 days. Delays usually come from land record mutations, sanctioned-load mismatches, distribution transformer over-loading, or vendor empanelment confusion, all preventable with a Stage 1 pre-check.
What is the difference between Component B and Component C?
Component B solarises pumps with no grid connection available, the solar array directly drives a variable frequency drive that runs the pump, with no battery and no grid backup. Component C solarises pumps that already have a grid connection, the solar array runs the pump during the day and exports surplus to the grid, while the grid remains available as backup for nights and cloudy days. Component C reuses the existing pump motor (lower capex) and generates sell-to-grid income that Component B cannot. If the pump site has grid available, Component C is almost always the better economic choice.
Does Component C work if my pump runs on a flat-rate agricultural connection?
Yes. Most agricultural connections in Punjab, Haryana, parts of Rajasthan, and Madhya Pradesh are flat-rate (a fixed monthly charge per HP) rather than metered. Component C is applicable to these connections, and the DISCOM usually converts the connection to a metered bi-directional arrangement as part of the net-meter installation in Stage 4. The new meter measures both import and export. The flat-rate billing structure is replaced with net metering, which is actually better for the farmer because the surplus units now have a measurable cash value rather than being wasted.
What happens to the existing pump motor and starter under Component C?
Nothing, they are reused as-is. The Component C installation adds a solar array, a grid-interactive inverter, AC and DC isolators, and a bi-directional net meter, all wired in parallel with the existing pump feed. The motor, starter, control panel, cabling, tubewell casing, and delivery pipe are untouched. This is the single biggest reason farmers prefer Component C over Component B. There is no need to replace a working pump and no retraining required on a new control panel.
Can I take a bank loan for the farmer share of Component C?
Yes. The farmer’s contribution (typically 40% of total cost in progressive states) can be financed through agricultural loans from public-sector and cooperative banks; MNRE’s guidelines say banks may lend up to 70% of the cost where there is no state share, with surplus-power income going towards repayment. Interest rates and tenure depend on the lender. Some State Implementing Agencies have also arranged lender tie-ups; ask your agency what is available.