Cabinet Approves 'Pradhan Mantri Surya Sarovar Yojana (PM-SSY)' for Development of Floating Solar Photovoltaic Projects with Energy Storage Systems with a Total Outlay of Rs.5,070 Crore

Key Highlights:

• The Union Cabinet approved Pradhan Mantri Surya Sarovar Yojana (PM-SSY) with a total outlay of Rs. 5,070 crore.
• The scheme aims to develop 5,000 MW of Floating Solar Photovoltaic (FSPV) projects with 10,000 MWh Energy Storage Systems (ESS).
• Projects will be sanctioned from FY 2026-27 to FY 2030-31, with financial support continuing up to FY 2032-33.
• It provides Central Financial Assistance (CFA) of Rs. 1 crore per MW for FSPV projects and up to Rs. 50 lakh for feasibility studies.
• The initiative is projected to reduce approximately 10 million tonnes of CO₂ emissions annually and generate 16,000–17,000 full-time equivalent employment opportunities.

Detailed Insights:

• The scheme will utilize existing reservoirs and industrial ponds, thereby eliminating competition for scarce land resources.
• Integration of Energy Storage Systems (ESS) is crucial for strengthening grid reliability and ensuring stable power supply.
• The National Institute of Solar Energy (NISE) estimates India's floating solar potential at approximately 102.18 GWp.
• This initiative will significantly enhance India's current FSPV capacity, which is presently around 700 MW.
• It promotes domestic manufacturing of floatation systems, PV cells, modules, and energy storage components, supporting Aatmanirbhar Bharat.
• The scheme contributes to renewable energy capacity addition, national climate objectives, and the vision of Viksit Bharat.

Key Concepts Involved:

• Floating Solar Photovoltaic (FSPV): Solar panels mounted on structures that float on water bodies like reservoirs or lakes.
• Energy Storage Systems (ESS): Technologies that store electrical energy for later use, enhancing grid stability and reliability.
• Central Financial Assistance (CFA): Financial support provided by the central government to states or specific projects.