Several reforms like inclusion of co-applicants, removal of capacity-based caps etc. have been introduced to increase the reach of the scheme.
The Pradhan Mantri Surya Ghar Muft Bijli Yojana (PMSGMBY) has achieved significant milestones in empowering homes with clean and affordable solar energy. Public Sector Banks (PSBs) have approved over 5.79 lakh loan applications amounting to ₹10,907 crore by September 2025 , increasing the financial assistance available to beneficiaries for installing rooftop solar power systems.
Source: Jansamarth Portal
The implementation of the Pradhan Mantri Surya Ghar Muft Bijli Yojana (PMSGMBY ) is being actively supported by streamlining the loan disbursement process , providing affordable collateral-free loans at low interest rates, and simplified financing through public sector banks. The loan disbursement process is completed through the Jansamarth portal , which is integrated with the Pradhan Mantri Surya Ghar Muft Bijli Yojana national portal ( pmsuryaghar.gov.in) . This ensures a seamless digital application process , enhanced user experience, and data-driven decision-making for beneficiaries .
The key benefits of this ideal loan scheme include loan up to Rs 2 lakh at competitive interest rates without any property collateral , long repayment tenure commensurate with power cost savings , 6 months moratorium period on payment , low margin contribution from the applicant and digital approval process based on self-declaration.
With the active participation of public sector banks, several improvements have been made to simplify the lending process and expand the scheme’s reach. Based on user feedback, significant improvements have been made to the loan scheme, including adding co-applicants to expand eligibility , removing capacity-based limits, and simplifying documentation requirements.
The Department of Financial Services, in coordination with the Ministry of New and Renewable Energy, actively reviews the progress of loans under the scheme and strengthens its implementation through collaboration with State Level Bankers’ Committees and Lead District Managers to ensure faster adoption , better reach and wider dissemination of the scheme.
