PM-KUSUM Big Change: Farmers Can Grow Crops and Earn from Solar Power on the Same Land

Key Highlights

• Dedicated agrivoltaics component planned under the next phase of PM-KUSUM.

• Farmers can grow crops while generating solar power on the same land.

• Around 29 lakh agricultural pumps have been solarised under PM-KUSUM.

• BAIF is testing 17 solar configurations across 30 crops.

• Nearly 70,000 Surya Mitras have been trained for solar-system maintenance.

The next phase of the Pradhan Mantri Kisan Urja Suraksha Evam Utthaan Mahabhiyan (PM-KUSUM) could bring a major opportunity for farmers by allowing agriculture and solar power generation on the same land. The government is preparing a dedicated agrivoltaics component under the next phase of the scheme.

Under the agrivoltaics model, solar panels are installed above or around agricultural fields in a way that allows crops to continue growing. This means farmers can continue earning from farming while also generating electricity from their land. The government has said that the model will have a particular focus on small and marginal farmers, Farmer Producer Organisations (FPOs), cooperatives and Gram Panchayats.

What is the new change in PM-KUSUM?

Union Minister for New and Renewable Energy Pralhad Joshi highlighted the proposed change while addressing the curtain-raiser event for the 7th Agrivoltaics World Conference 2026 in New Delhi.

According to the government, the next phase of PM-KUSUM will include a dedicated component for agrivoltaics. The objective is to allow farmers to produce food and clean energy from the same piece of land.

The government had already announced preparations for PM-KUSUM 2.0, including a dedicated 10 GW Agri-PV component to promote the co-location of solar panels and crops.

How will agrivoltaics help farmers?

Agrivoltaics combines crop cultivation with solar power generation. Solar panels are installed at suitable heights and spacing so farming activities can continue underneath or around them.

For farmers, this can create multiple income and cost-saving opportunities. They can earn from selling their crops, potentially sell surplus electricity generated by their solar system to the local DISCOM where applicable, and reduce diesel expenses by using solar-powered agricultural pumps.

Importantly, the proposed model does not mean farmers have to give up ownership of their agricultural land. The land remains with the farmer while solar energy generation is integrated with farming.

The idea is to provide an additional income source and reduce farmers' dependence on crop production alone, which can be affected by monsoon conditions and market prices.

PM-KUSUM has already expanded solar power in agriculture

The government says around 29 lakh agricultural pumps have been solarised under PM-KUSUM so far. Last year, decentralised solar capacity added 16.3 GW, including 7.6 GW through PM-KUSUM and 8.7 GW through rooftop solar, largely under the PM Surya Ghar Muft Bijli Yojana. The latter has reached around 56 lakh beneficiaries.

PM-KUSUM's existing framework includes solarisation of agricultural pumps and decentralised solar power generation. The scheme's national portal also states that farmers can install grid-connected solar power plants of up to 2 MW on eligible land and sell electricity to local DISCOMs at tariffs determined by the state regulator.

Special focus on small and marginal farmers

Small and marginal farmers are expected to be an important focus of the agrivoltaics model. Government data has historically shown that a large majority of India's operational agricultural holdings are below two hectares. The Agriculture Census 2015-16 categorises marginal holdings as below one hectare and small holdings as 1 to 2 hectares.

For farmers with smaller holdings, combining agriculture with solar energy could provide another avenue for income without completely replacing crop cultivation.

The proposed approach will also involve FPOs, cooperatives and Gram Panchayats, potentially helping farmers participate through collective models.

Agrivoltaics technology is being tested on 30 crops

Research is also underway to determine how agrivoltaics can work across different crops, climates and regions.

At BAIF's Rural Innovation Centre in Pune, researchers are testing 17 different solar configurations across 30 crops. The work is aimed at identifying suitable combinations of crop types, panel height, spacing, tracking systems and business models for different farming conditions.

The government has also highlighted the need for structures that allow tractors and harvesters to move freely while being strong enough to withstand local weather conditions.

Alongside this, India is developing village-level technical skills for solar systems. Nearly 70,000 Surya Mitras have been trained for the maintenance and technical operation of solar energy systems.

Agrivoltaics World Conference 2026 in New Delhi

The 7th Agrivoltaics World Conference 2026 will be held from October 21 to 23, 2026, at Bharat Mandapam, New Delhi.

The three-day international event will bring together farmers, policymakers, researchers, industry leaders and international delegates to discuss the future of agrivoltaics and ways to scale the technology.

An Agrivoltaics Pitch Hub has also been announced around the theme of “Fueling Farm to Fork Innovations”, with the National Solar Energy Federation of India (NSEFI) as the knowledge partner. The initiative will focus on the 3F framework-Food, Fuel and Fibre and encourage innovative solutions for the future of agrivoltaics.

What this means for farmers

If the dedicated agrivoltaics component is implemented in the next phase of PM-KUSUM, farmers could have an opportunity to combine two activities on the same land-growing crops and generating solar electricity.

For small and marginal farmers in particular, the model is being explored as a way to diversify farm income while continuing agricultural production. However, the actual benefits will depend on factors such as crop suitability, solar system design, electricity tariffs, financing, installation costs and implementation rules under the new component.

Also Read: UP Farmers Can Get Up to ₹6 Lakh Agricultural Loan at 6% Interest Under New Scheme

CMV360 Says

The proposed agrivoltaics component could bring a new dimension to PM-KUSUM by combining farming with solar power generation on the same land. The model is particularly relevant for India's small and marginal farmers, who need diversified income opportunities. With research underway across crops and regions, the next phase of PM-KUSUM could help develop practical models for combining agricultural production, clean energy and rural livelihoods.