Follow India Renewable Energy News on WhatsApp for exclusive updates on clean energy news and insights

MNRE Releases Guidelines for CFA Disbursement under PM Surya Ghar Scheme

The Ministry of New and Renewable Energy (MNRE) has issued detailed guidelines for the release of central financial assistance (CFA) for rooftop solar projects under the Utility Led Aggregation (ULA) model of the PM Surya Ghar: Muft Bijli Yojana. The move is aimed at streamlining fund disbursement and ensuring transparency in the rollout of rooftop solar installations across India.

As per the guidelines, the CFA will be released in a single tranche only after the successful installation, inspection, and commissioning of the rooftop solar systems. No portion of the assistance will be provided in advance. The implementing agency will utilize the ULA redeem option on the national portal to initiate disbursement while specifying consumer-wise and vendor-wise details, ensuring accurate tracking of funds.

The national programme implementation agency will verify all reports uploaded on the portal before directly transferring funds to the ULA vendor’s bank account. The process also includes prior verification of vendor details and mandatory notification to the relevant state authority or utility, reinforcing accountability and proper oversight. The guidelines stipulate that this payment release framework will apply uniformly to all proposals submitted under the ULA model.

To facilitate timely disbursement, the MNRE will allocate funds in advance to the national programme implementation agency, enabling transparent tracking of financial assistance. Earlier this month, the ministry had also simplified the documentation process for its Waste to Energy programme, reducing paperwork requirements across all three project stages, demonstrating a continued effort to make renewable energy initiatives more accessible and efficient.