India Plans PM-KUSUM 2.0 with Solar Irrigation and Agrivoltaics

19 October 2026

  • The government is developing PM-KUSUM 2.0 to align solar-energy initiatives with existing agricultural schemes.
  • The proposed phase aims to encourage solar-powered irrigation, modern farming practices and the adoption of more remunerative crops.
  • A dedicated agrivoltaics component is planned, allowing farmers to generate solar power while continuing agricultural activities on the same land.
  • Small and marginal farmers, farmer producer organisations, cooperatives and panchayats are expected to be among the intended beneficiaries.
  • The proposal is still under development and will be submitted to the Union Cabinet for approval once the framework is ready.
The Government of India is considering an expanded version of the Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyaan (PM-KUSUM), with a focus on linking renewable energy adoption more closely with agricultural development. Renewable Energy Secretary Santosh Kumar Sarangi told that the Ministry of New and Renewable Energy and the Ministry of Agriculture are discussing ways to align the proposed PM-KUSUM 2.0 with existing agricultural schemes. The objective is to maximise benefits for farmers by bringing clean energy and agricultural support measures together.

The proposed phase is expected to encourage farmers using solar-powered water pumps to adopt modern irrigation practices and consider crops that offer better returns. PM-KUSUM already supports decentralized renewable energy generation, standalone solar agricultural pumps and the solarisation of grid-connected irrigation pumps. Linking the next phase with agricultural programmes could strengthen the connection between reliable energy access, efficient water use and farm productivity. The specific design and incentives for PM-KUSUM 2.0 are still being developed.

Agrivoltaics is another important part of the planned expansion. This approach allows solar electricity to be generated on land that continues to be used for farming, creating the possibility of combining agricultural production with an additional source of income. The government has indicated that the proposed component will focus on small and marginal farmers, farmer producer organisations, cooperatives and panchayats, while ensuring that land ownership remains with farmers. Its practical benefits will depend on suitable system design, crop selection, site conditions and access to electricity markets.

The government is also considering how PM-KUSUM 2.0 can complement existing programmes that promote remunerative crops and improved agricultural practices. Coordination between the renewable energy and agriculture ministries could help connect solar infrastructure with broader farm-development objectives, rather than treating energy installations as standalone projects. However, the final scheme structure, eligibility requirements and implementation arrangements have not yet been confirmed. The proposal will be taken to the Union Cabinet after the inter-ministerial work is completed.

For farmers and agricultural businesses, the proposed approach could create opportunities to combine solar energy generation with irrigation improvements and more diversified farm income. It may also increase demand for solar pumps, agrivoltaic systems, installation services and supporting infrastructure, while making water-use efficiency an important consideration in agricultural energy planning.

Cognitud supports organisations exploring the intersection of renewable energy and sustainable agriculture, including opportunities to improve energy access, resource efficiency and land use. Through its work across energy transition, climate action and sustainable supply chains, Cognitud can help businesses assess the environmental and operational considerations involved in adopting cleaner energy solutions across the agricultural sector.
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