For farmers across Uttar Pradesh, diesel pumps have long been the default for irrigation - expensive to run, dependent on fluctuating fuel prices, and prone to breaking down at the worst possible times. Grid-connected electric pumps are cheaper per unit but come with their own headaches: unreliable supply from UPPCL, fixed-hour schedules that do not always match crop needs, and bills that have climbed steadily as UP tariffs have moved toward Rs 7-9 per unit in 2026.
PM KUSUM - the Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan - was designed to solve both problems at once. Under the scheme, farmers in UP and across India can replace diesel or grid-powered pumps with standalone solar pumps at heavily subsidised prices. The central and state governments together cover up to 60 percent of the cost, and in many cases farmers can borrow most of the remaining amount, leaving an out-of-pocket contribution as low as 10 percent of the total system cost.
This guide explains exactly how PM KUSUM works in Uttar Pradesh, what you will pay, how to apply, and what to realistically expect from a solar pump over its lifetime.
What PM KUSUM Is and How It Works in UP
PM KUSUM was launched by the Ministry of New and Renewable Energy (MNRE) in 2019 and has been expanded and revised several times since. The scheme has three distinct components - only one of which is specifically about agriculture pumps, though all three benefit the farming community.
The Three Components of PM KUSUM
- Component A: Setting up decentralised solar power plants of up to 2 MW capacity on barren or fallow farmland. Farmers lease their land to solar developers and receive a fixed annual income per acre. This is less relevant for individual pump users but is a meaningful income source for landowners in rural UP districts like Hardoi, Unnao, and Sitapur.
- Component B: Individual standalone solar agriculture pumps for farmers who currently use diesel pumps or have no electricity connection. Capacity ranges from 0.5 HP to 7.5 HP. This is the component most relevant for farmers replacing a diesel pump in Lucknow's surrounding agricultural belt, in Barabanki, Raebareli, and Ayodhya.
- Component C: Solarisation of existing grid-connected agriculture pumps. Farmers who already have electric pumps can add solar to reduce or eliminate their electricity bills, with surplus power exported to the grid.
How UP Implements KUSUM Through UPNEDA
In Uttar Pradesh, the nodal agency for PM KUSUM is UPNEDA - the Uttar Pradesh New and Renewable Energy Development Agency. UPNEDA manages the registration portal, ties up with empanelled solar pump vendors, coordinates with banks for financing, and handles the subsidy disbursement process. Applications are submitted through the official UPNEDA portal, and installation is carried out by vendors on the UPNEDA-approved list.
The implementing vendor installs the solar panels, pump, controller, and mounting structure. The farmer does not deal with individual component procurement - the turnkey system comes with a 5-year comprehensive warranty on pump and electronics, and a 25-year performance warranty on the solar panels.
Financial Breakdown: What Farmers in UP Actually Pay
The subsidy structure under PM KUSUM Component B is the most important thing to understand before applying. The headline figure of 60 percent subsidy is accurate but needs unpacking.
Subsidy Slabs and Farmer Contribution
The central government contributes 30 percent of the benchmark cost. The UP state government contributes an additional 30 percent through UPNEDA. This leaves 40 percent to be borne by the farmer - but most banks and cooperative institutions offer loans covering up to 30 percent of the total cost at subsidised interest rates, leaving the farmer's own cash contribution at approximately 10 percent.
To give a concrete example: a 5 HP solar pump system under PM KUSUM has a benchmark cost of roughly Rs 2.5-3 lakh in UP. After the 60 percent subsidy, the farmer's share is Rs 1-1.2 lakh. With a bank loan covering 75 percent of that amount, the initial out-of-pocket payment falls to Rs 25,000-30,000. The loan repayment is typically structured over 5-7 years.
This is entirely separate from the PM Surya Ghar Muft Bijli Yojana, which covers residential rooftop solar and offers up to Rs 78,000 in central subsidy for homes. A farmer with a residence in Lucknow could theoretically benefit from both schemes - KUSUM for the agriculture pump and PM Surya Ghar for the home rooftop - since they target different assets.
Running Costs vs Diesel Pumps: The Real Saving
The financial case for switching from diesel to solar is compelling when you run the actual numbers. A 5 HP diesel pump running 6 hours a day during the kharif and rabi seasons in UP consumes roughly 3-4 litres of diesel per hour, totalling 18-24 litres per day. At 2026 diesel prices of around Rs 85-90 per litre, that is Rs 1,500-2,160 in daily fuel costs during active irrigation season.
A solar pump of equivalent capacity has a fuel cost of exactly zero. Its only ongoing costs are periodic cleaning of the panels and a potential pump service every 3-5 years (typically Rs 3,000-8,000). Over a 25-year lifespan, the diesel savings from a single 5 HP pump can exceed Rs 15-20 lakh at current fuel prices - far outweighing the total installed cost of the solar system even before subsidy.
Farmers in Kanpur Dehat and Unnao who have already installed KUSUM pumps report that they now irrigate on their own schedule rather than waiting for UPPCL supply windows - a practical benefit that does not show up in rupee calculations but matters enormously during critical crop growth stages.
How to Apply for PM KUSUM in Uttar Pradesh
Eligibility Criteria
- The farmer must be a resident of Uttar Pradesh with land in their name.
- The intended pump location must have no existing grid-connected electric pump under Component B (Component C applies for grid-connected pump solarisation).
- Landholding must be between 0.4 hectare and 2 hectare for most subsidy slabs, though larger holdings qualify under different MNRE norms.
- The farmer must have a bank account linked to Aadhaar for subsidy transfer.
Documents Required
- Aadhaar card of the farmer
- Khasra-Khatauni (land records) showing ownership
- Bank account details linked to Aadhaar
- Passport-size photograph
- Mobile number registered with Aadhaar
- For Component C: existing electricity connection bill showing agriculture pump load
Application Process Through UPNEDA
Registration is done through the UPNEDA online portal. The farmer fills in land details, selects pump capacity based on crop type and irrigated area, and submits the application along with scanned documents. UPNEDA verifies the application and allots an empanelled vendor. The vendor surveys the site, confirms the system specification, and provides an installation timeline. Subsidy disbursement happens directly from the government to the vendor after installation and commissioning, so the farmer only arranges the net payable amount at the time of installation.
At Sunwize, we work with farmers in and around Lucknow who want to understand the KUSUM process before they begin - walking them through the portal registration, document checklist, and what to ask an empanelled vendor during site survey.
What to Expect After Installation
System Performance in UP's Climate
Solar pumps in Uttar Pradesh typically generate enough power to run 6-8 hours of pumping per day from March through October, which covers both the kharif (June-November) and rabi (November-April) irrigation seasons well. In the peak winter fog months of December and January, effective pumping hours drop to 4-6 hours on foggy days, but this coincides with the lowest water demand period for most rabi crops. The seasonal pattern is a near- perfect match for agricultural irrigation needs in UP.
Maintenance and Long-Term Reliability
Solar pumps require very little maintenance compared to diesel engines. The main tasks are cleaning the solar panels every 2-3 weeks during dust season (April-May and post-harvest October-November) and checking the submersible pump cable connections annually. The 5-year comprehensive warranty on KUSUM-installed systems covers component failures during that period at no cost to the farmer. After the warranty period, a typical annual maintenance budget of Rs 2,000-5,000 is sufficient for most 3-7.5 HP systems.
The long-term case for PM KUSUM is straightforward: the subsidy makes the initial cost accessible, the elimination of diesel spending makes the ongoing economics highly favourable, and the independence from UPPCL grid schedules gives farmers control over their irrigation that no grid-tied solution can fully match. For farmers across UP's agricultural districts - from the flat plains around Raebareli and Barabanki to the sugarcane belt around Unnao and Sitapur - this scheme represents one of the most directly impactful energy subsidies available in 2026.
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