Slow progress in PM Surya Ghar scheme raises concerns; Parliamentary committee calls for stronger state engagement

New Delhi: In a major clean energy milestone, India has reached its Panchamrit target of installing 50 per cent of its total power capacity from non-fossil sources, five years ahead of the 2030 deadline.

A standing committee on Energy of Eighteenth Lok Sabha, which was table in the House today, lauded the Ministry of New and Renewable Energy (MNRE), Ministry of Power (MoP), and other stakeholders for propelling the country to this achievement for marking a strong stride toward its long-term climate commitments.

According to data submitted by the MNRE, as of 30 June 2025, India’s total installed power capacity stood at 485 GW, of which 243 GW, or roughly 50 per cent , originated from non-fossil energy sources.

The Committee noted that the country has already installed 116 GW of solar capacity, with an ambitious target of 292 GW to be reached by 2030. It noted that India needs to add around 176 GW of new solar installations over the next five years to meet the broader goal of 500 GW of non-fossil power capacity.

The Ministry informed that 128 GW of solar capacity is currently under implementation, while an additional 62 GW is in the tendering phase.
However, the Committee flagged several challenges that could impede progress. These include delays in land acquisition, bottlenecks in connectivity approvals, inadequate storage infrastructure, and the need to strengthen domestic manufacturing.

Emphasizing the urgency of addressing these barriers, the Committee urged the MNRE and all relevant stakeholders to diligently follow the planned roadmap” to ensure that the momentum in solar and other renewable energy projects is not lost.

The Lok Sabha Committee has also noted that the Land acquisition has emerged as one of the most significant challenges slowing down the development of utility-scale solar projects across India. The Ministry of New and Renewable Energy (MNRE) informed the Committee that large solar installations typically require 4 to 7 acres of land per megawatt.

To fully realize India’s long-term solar potential, the country would need an estimated 1.4 to 2 million hectares of land. The Committee warned that it could overlaps with agriculturally productive or ecologically sensitive area, creating competition with food security and conservation priorities.

The Committee echoed the Ministry’s concerns, stressing that the challenge poses a “critical risk” to meeting India’s planned solar expansion. It called for urgent policy innovation and coordinated action among central and state agencies to secure sustainable land solutions without undermining ecological balance or agricultural needs.

For Union Government’s flagship PM Surya Ghar: Muft Bijli Yojana, which aims to install rooftop solar systems in one crore households by 2026–27, is facing significant implementation hurdles, a Parliamentary Committee has observed.

Despite the scheme’s ambitious scale and heavy promotion, the Ministry of New and Renewable Energy (MNRE) has reported that only 16 lakh rooftop solar installations had been completed by June 2025. This leaves a massive shortfall of 84 lakh installations—or 84% of the target—to be achieved in just the next two years.

The Committee identified lack of awareness as the primary reason for the slow adoption of the scheme. While MNRE has undertaken outreach initiatives through print, radio, television, and digital media, the Committee noted that progress will remain limited unless States and their DISCOMs fully participate.

Pointing to the critical role of local-level trust and coordination, the Committee urged the MNRE to work closely with States and power distribution companies to craft state-specific outreach campaigns.

Tailoring communication to local contexts, the Committee said, could boost public confidence, encourage household investments, and ensure adequate space and infrastructure for rooftop solar deployment at the required scale.

With timelines tightening and targets still far from reach, the Committee stressed the need for urgent, coordinated efforts to accelerate the rollout of rooftop solar systems under the PM Surya Ghar scheme.