The Ministry of New and Renewable Energy has issued operational guidelines for implementing the payment security mechanism (PSM) and central financial assistance (CFA) components under the PM-Surya Ghar: Muft Bijli Yojana.
The scheme introduces two models for residential rooftop solar installations, the renewable energy service company model, where third-party entities finance installations allowing consumers to pay only for the electricity consumed without upfront costs, and the utility-led aggregation model, where discoms or state-designated entities install rooftop solar systems on behalf of households. A Rs 1 billion corpus fund has been allocated for the PSM to de-risk investments in RESCO-based models, with scope for supplementation through additional grants and approvals.