Cabinet approves ₹5,070 crore PM Surya Sarovar Yojana for 5,000 MW floating solar projects
New Delhi, July 31
The Union Cabinet on Friday approved the Pradhan Mantri Surya Sarovar Yojana, a ₹5,070 crore scheme for the development of 5,000 MW of Floating Solar Photovoltaic projects with co-located Energy Storage Systems, aimed at expanding renewable energy capacity and strengthening grid reliability.
According to an official release, the scheme, approved by the Cabinet chaired by Prime Minister Narendra Modi, envisages the development of floating solar projects with a minimum energy storage capacity of two hours, or 10,000 MWh. The projects will be sanctioned between FY 2026-27 and FY 2030-31, while financial support will continue to be disbursed up to FY 2032-33.
The approval follows an assessment by the National Institute of Solar Energy (NISE), which estimated a floating solar potential of around 102.18 GWp across reservoirs and other suitable inland water bodies in the country.
Under the scheme, the Centre will provide Central Financial Assistance (CFA) of ₹1 crore per MW for eligible floating solar projects after successful commissioning. In addition, financial assistance of up to ₹50 lakh per project will be provided for feasibility studies, including bathymetry and hydrography assessments, environmental studies and other preparatory activities required for project development.
The government said "the scheme would enhance the floating Solar PV capacity in the country by 5,000 MW, which is presently around 700 MW only."
According to the release, all States and Union Territories will benefit from the scheme. It aims to promote the use of existing reservoirs and industrial ponds for renewable energy generation, reducing pressure on land resources while integrating energy storage systems to improve grid reliability.
The government said the scheme is expected to reduce around 10 million tonnes of carbon dioxide emissions annually and generate approximately 16,000-17,000 full-time equivalent employment opportunities across the project value chain. It also aims to promote domestic manufacturing of floatation systems, photovoltaic cells, modules and energy storage systems, supporting the vision of Aatmanirbhar Bharat.
The scheme will further contribute to renewable energy capacity addition, support national energy and climate objectives, and facilitate optimal utilisation of water resources while advancing the vision of Viksit Bharat.
— ANI
Reader Comments
Great initiative, but I hope the feasibility studies mentioned (bathymetry, environmental impact) are done properly. Floating panels can affect aquatic ecosystems if not planned carefully. The ₹50 lakh per project for studies seems small, hope states don't cut corners there.
5,000 MW is just the beginning - NISE estimates 102 GW potential! This is the kind of ambitious thinking we need for Viksit Bharat. And the employment generation of 16-17k jobs along with domestic manufacturing push will definitely boost our Atmanirbhar Bharat vision. 💪
Impressive commitment to clean energy. India is showing real leadership in renewable innovation. The co-located storage component could be a game-changer for grid stability. 10 million tonnes of CO2 reduction annually is no small feat! 🌍
One thing to watch: who maintains these floating platforms? They face harsh weather, corrosion, and bird damage. Also, will states cooperate on water body usage rights? The scheme looks good on paper, but execution in India is always the real test. Hope this time it's different!
The floating solar approach is brilliant - we can also reduce evaporation from reservoirs in water-stressed areas. Gujarat, Rajasthan, Karnataka should lead the way. But let's make sure the ₹1 crore per MW subsidy actually reaches the developers on time. Delays in disbursal have killed many schemes before.
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