Maharashtra Cabinet Approves Rs 17,000 Crore Borrowing Plan to Boost Agriculture Solar Pumps

The funds are dedicated to the Maharashtra power distribution enhancement programme, focusing on the solarization of agricultural sectors and expanding connections to ensure the consistent availability of solar power to farmers.

The Maharashtra Cabinet, in a recent meeting, has given its nod for the borrowing of Rs 17,000 crore aimed at enhancing the network of agriculture solar pumps throughout the region. This move is split between loans from two major financial entities, with Rs 8,109 crore set to be borrowed from the Asian Development Bank (ADB).

The funds are dedicated to the Maharashtra power distribution enhancement program, focusing on the solarization of agricultural sectors and expanding connections to ensure the consistent availability of solar power to farmers, even during daylight hours. A detailed project report for this initiative is on its way to the Department of Economic Affairs (DEA) for further approval.

Major Investments in Agri Solar Pumps: -

Furthermore, the state plans to secure an additional Rs 9,020 crore from the Asian Infrastructure Investment Bank (AIIB) to facilitate the distribution of agricultural solar pumps and implement a comprehensive scheme for the solarization of agricultural lines. This part of the project demands a total investment of Rs 15,039 crore, with AIIB covering 60 per cent of the required funds. This initiative reflects the state's commitment to renewable energy sources and aims to significantly reduce the reliance on conventional power supplies for agriculture, enhancing efficiency and sustainability.

Flood Management and National Support: -

In addition to renewable energy advancements, the Cabinet has also approved a proposal seeking Rs 2,240 crore in financial assistance for a flood management program targeted at Kolhapur and Sangli districts in western Maharashtra. With a total project cost of Rs 3,200 crore, this programme intends to utilize additional water from the Krishna and Bhima river basins for drought-affected areas and establish a Geological Information System (GIS) to better predict and manage flood risks.

Alignment with Central Government's Vision: -

Parallel to the state's efforts, the Central Government, under the Ministry of New and Renewable Energy (MNRE), is advancing the Pradhan Mantri Kisan Urja Suraksha evam Utthan Mahabhiyan (PM KUSUM) Scheme. Launched on March 8, 2019, and extended until March 2026, PM KUSUM aims to revolutionize the agricultural sector by promoting the use of solar pumps and grid-connected solar power plants. With a vision to add approximately 34,800 MW of solar capacity by March 2026, the scheme is backed by a hefty Central Financial support of Rs 34,422 crore. This initiative not only seeks to provide energy and water security to farmers but also to de-dieselize the farm sector, thereby curbing environmental pollution and enhancing farmers' incomes through renewable resources.