The Ministry of New and Renewable Energy (MNRE) has unveiled operational guidelines for implementing key components of the PM-Surya Ghar: Muft Bijli Yojana, a scheme designed to promote rooftop solar systems across the residential sector.

To streamline implementation, the guidelines introduce two financing models. Under the Renewable Energy Service Company (RESCO) model, third-party entities will finance rooftop solar installations, enabling consumers to pay only for the electricity consumed, eliminating upfront costs. The Utility-Led Aggregation (ULA) model involves DISCOMs or state-designated entities installing solar systems on behalf of households.

To mitigate investment risks, a Rs 1 billion Payment Security Mechanism (PSM) fund has been established. This fund will support RESCO-based grid-connected rooftop solar models, with potential for expansion through additional grants, subject to ministry approval.

These guidelines complement the existing capex-based model available via the national portal (pmsuryaghar.gov.in) and aim to accelerate rooftop solar adoption by addressing financial and operational barriers.