PM KUSUM 2.0 to Add Battery Storage & 10 GW Agri‑PV – Progress, Targets and UPSC Relevance — UPSC Current Affairs

The Union Government is revising the <strong>PM KUSUM</strong> scheme to add battery‑energy‑storage and a 10 GW <strong>Agri‑PV</strong> component, aiming to bridge the solar‑demand gap in agriculture and meet India’s NDC climate targets. As of February 2026, the programme has achieved 35 % of its 34,800 MW target, highlighting both progress and the need for accelerated implementation.

Overview The Union Government is revising the PM KUSUM programme to include a battery‑energy‑storage component and a dedicated Agri‑PV module of up to 10 GW. The move aims to bridge the supply‑demand gap in agriculture and accelerate India’s clean‑energy commitments. Key recent developments Centre is formulating PM KUSUM 2.0 with a new provision for battery energy storage to smooth the diurnal mismatch between solar generation and irrigation demand. Union Minister Shri Pralhad Joshi announced a possible 10 GW Agri‑PV component to promote solar‑crop co‑location. As of February 2026, total installed capacity under the scheme stands at 12,164 MW , about 35 % of the 34,800 MW target for March 2026. Scheme components and performance (as of Feb 2026) The programme is split into three components: Component A – Decentralised solar power plants: 839.4 MW installed. Component B – Stand‑alone solar pumps (off‑grid): Over 10 lakh pumps installed. Component C – Solarisation of grid‑connected pumps: IPS : >12,787 pumps solarised. FLS : >13 lakh pumps covered, contributing 6,636.9 MW of capacity. Core objectives of PM KUSUM Provide a reliable, renewable energy source for irrigation, reducing dependence on diesel and erratic grid supply. Generate ancillary income for farmers through surplus electricity sales and land‑leasing for solar installations. Contribute to India’s climate commitments – NDCs target 60 % non‑fossil electricity by 2035 and 500 GW non‑fossil capacity by 2030. Alleviate the subsidy burden on state DISCOMs and cut diesel import bills. Why battery storage is being added Agricultural electricity demand peaks in the early morning and remains high throughout the day, while solar output peaks around noon and falls after sunset. This temporal mismatch creates operational challenges for grid operators and limits the utilisation of solar‑generated power. Incorporating battery storage will allow excess generation during peak sunlight to be stored and dispatched during demand‑heavy periods, improving reliability and reducing curtailment. Agri‑PV – a new frontier The proposed 10 GW Agri‑PV component will enable farmers to install photovoltaic panels above or alongside crops. This dual‑use model preserves arable land, offers shade that can reduce water evaporation, and creates an additional revenue stream without compromising agricultural productivity. UPSC relevance Understanding PM KUSUM is essential for GS‑III (Energy, Environment, Climate Change) and GS‑II (Rural Development). The scheme illustrates how policy integrates renewable‑energy targets, agricultural welfare, and fiscal prudence. Questions may focus on scheme components, performance metrics, the link with India’s NDCs , and the rationale for adding battery storage or Agri‑PV. Way forward To meet the 2026 target, the government must accelerate: Clearance and financing for battery‑storage projects at the farm level. State‑level implementation of FLS to achieve economies of scale. Capacity‑building for farmers on operating and maintaining solar‑pump and Agri‑PV systems. Robust monitoring to ensure that surplus power is effectively fed into the grid, enhancing DISCOM revenues. Successful execution will not only push India toward its renewable‑energy goals but also transform rural livelihoods, making it a high‑yield topic for UPSC preparation.

<h2>Overview</h2> <p>The Union Government is revising the <span class="key-term" data-definition="Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan – flagship scheme to promote solarisation of agricultural pumps and solar power plants in rural India (GS3: Energy, Environment).">PM KUSUM</span> programme to include a battery‑energy‑storage component and a dedicated <span class="key-term" data-definition="Agrivoltaics – co‑location of solar photovoltaic panels with crop cultivation, enabling simultaneous electricity generation and farming on the same land (GS3: Renewable Energy).">Agri‑PV</span> module of up to 10 GW. The move aims to bridge the supply‑demand gap in agriculture and accelerate India’s clean‑energy commitments.</p> <h3>Key recent developments</h3> <ul> <li>Centre is formulating <strong>PM KUSUM 2.0</strong> with a new provision for <span class="key-term" data-definition="Battery Energy Storage – technology that stores electricity generated from solar panels for later use, helping to match supply with agricultural demand (GS3: Energy).">battery energy storage</span> to smooth the diurnal mismatch between solar generation and irrigation demand.</li> <li>Union Minister <strong>Shri Pralhad Joshi</strong> announced a possible <strong>10 GW Agri‑PV</strong> component to promote solar‑crop co‑location.</li> <li>As of February 2026, total installed capacity under the scheme stands at <strong>12,164 MW</strong>, about 35 % of the <strong>34,800 MW</strong> target for March 2026.</li> </ul> <h3>Scheme components and performance (as of Feb 2026)</h3> <p>The programme is split into three components:</p> <ul> <li><strong>Component A – Decentralised solar power plants:</strong> <strong>839.4 MW</strong> installed.</li> <li><strong>Component B – Stand‑alone solar pumps (off‑grid):</strong> Over <strong>10 lakh</strong> pumps installed.</li> <li><strong>Component C – Solarisation of grid‑connected pumps:</strong> <ul> <li><span class="key-term" data-definition="Individual Pump Solarisation – scheme component enabling each farmer with a grid‑connected pump to replace diesel pumps with solar‑powered units (GS3: Rural Development).">IPS</span>: >12,787 pumps solarised.</li> <li><span class="key-term" data-definition="Feeder‑level Solarisation – scheme component where an entire agricultural feeder (group of pumps) is solarised collectively, reducing implementation costs (GS3: Rural Development).">FLS</span>: >13 lakh pumps covered, contributing <strong>6,636.9 MW</strong> of capacity.</li> </ul> </li> </ul> <h3>Core objectives of PM KUSUM</h3> <ul> <li>Provide a reliable, renewable energy source for irrigation, reducing dependence on diesel and erratic grid supply.</li> <li>Generate ancillary income for farmers through surplus electricity sales and land‑leasing for solar installations.</li> <li>Contribute to India’s climate commitments – <span class="key-term" data-definition="Nationally Determined Contributions – commitments made by countries under the Paris Agreement to reduce greenhouse gas emissions (GS3: Environment).">NDCs</span> target 60 % non‑fossil electricity by 2035 and 500 GW non‑fossil capacity by 2030.</li> <li>Alleviate the subsidy burden on state <span class="key-term" data-definition="DISCOMs – Distribution Companies, state‑run utilities responsible for electricity distribution; their finances are strained by agricultural electricity subsidies (GS3: Power Sector).">DISCOMs</span> and cut diesel import bills.</li> </ul> <h3>Why battery storage is being added</h3> <p>Agricultural electricity demand peaks in the early morning and remains high throughout the day, while solar output peaks around noon and falls after sunset. This temporal mismatch creates operational challenges for grid operators and limits the utilisation of solar‑generated power. Incorporating <span class="key-term" data-definition="Battery Energy Storage – technology that stores electricity generated from solar panels for later use, helping to match supply with agricultural demand (GS3: Energy).">battery storage</span> will allow excess generation during peak sunlight to be stored and dispatched during demand‑heavy periods, improving reliability and reducing curtailment.</p> <h3>Agri‑PV – a new frontier</h3> <p>The proposed <strong>10 GW Agri‑PV</strong> component will enable farmers to install photovoltaic panels above or alongside crops. This dual‑use model preserves arable land, offers shade that can reduce water evaporation, and creates an additional revenue stream without compromising agricultural productivity.</p> <h3>UPSC relevance</h3> <p>Understanding PM KUSUM is essential for GS‑III (Energy, Environment, Climate Change) and GS‑II (Rural Development). The scheme illustrates how policy integrates renewable‑energy targets, agricultural welfare, and fiscal prudence. Questions may focus on scheme components, performance metrics, the link with India’s <span class="key-term" data-definition="Nationally Determined Contributions – commitments made by countries under the Paris Agreement to reduce greenhouse gas emissions (GS3: Environment).">NDCs</span>, and the rationale for adding battery storage or Agri‑PV.</p> <h3>Way forward</h3> <p>To meet the 2026 target, the government must accelerate:</p> <ul> <li>Clearance and financing for battery‑storage projects at the farm level.</li> <li>State‑level implementation of <span class="key-term" data-definition="Feeder‑level Solarisation – scheme component where an entire agricultural feeder (group of pumps) is solarised collectively, reducing implementation costs (GS3: Rural Development).">FLS</span> to achieve economies of scale.</li> <li>Capacity‑building for farmers on operating and maintaining solar‑pump and Agri‑PV systems.</li> <li>Robust monitoring to ensure that surplus power is effectively fed into the grid, enhancing DISCOM revenues.</li> </ul> <p>Successful execution will not only push India toward its renewable‑energy goals but also transform rural livelihoods, making it a high‑yield topic for UPSC preparation.</p>

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