MNRE Changes How Service Charges Are Given Under PM Surya Ghar Solar Scheme

MNRE Changes How Service Charges Are Given Under PM Surya Ghar Solar Scheme

December 31, 2025

The Ministry of New and Renewable Energy (MNRE) has updated the rules for giving out service charges under the PM Surya Ghar: Muft Bijli Yojana, the government’s big rooftop solar program aimed at helping households install solar panels. The changes explain how and when agencies get paid and make some key parts of the process clearer for states and implementing bodies.

The PM Surya Ghar scheme plans to support around 10 million rooftop solar installations across India by 2026-27, with ₹750.21 billion set aside for the program, including ₹6.57 billion for service charges to help manage and run the scheme. Under the revised rules, distribution companies (DISCOMs) will continue to act as the main implementing agencies in each state but must now register on the national PM Surya Ghar portal to qualify for service charges. States can also nominate their renewable energy development agencies as additional implementing bodies. The amendment shifts the focus to deploying staff at DISCOM field units for better on-ground support, instead of unspecified regional or national units. The base allocation of ₹2 billion out of the total service charge pool remains the same and will be shared among states based on the number of domestic consumers they have, with a minimum amount guaranteed for each agency. Payments will be made in three equal yearly instalments, released at the start of each financial year. 

The updated guidelines also strengthen rules for reallocating service charges if more than one agency in a state carries out Surya Ghar tasks. Now, any reallocation must follow procedures set by the Mission Director, adding more supervision. 

For the model solar villages part of the program , the service charge amounts stay the same  ₹500,000 per village in general states and ₹750,000 in special category states and union territories. What’s new is the payment method: half of the charge is released when a village is picked for initial work, and the rest is given after the work is completed along with the last solar subsidy payment. These changes aim to make the service charge process more structured and ensure that implementing agencies meet conditions before funds are released.