The Union Cabinet has approved the PM-Surya Sarovar Yojana, with an outlay of Rs 5,070 crore, to develop 5,000 MW of floating solar power capacity across India. 

The move is aimed at expanding renewable energy while making better use of water bodies for clean power generation.

Under the scheme, solar panels will be installed on reservoirs and other suitable water bodies instead of using large areas of land. This approach can help conserve land while also benefiting from the cooling effect of water, which can improve the performance of solar panels.

The approval comes as India continues to accelerate investment in renewable energy to meet rising electricity demand and reduce dependence on fossil fuels. Floating solar projects are gaining attention because they offer an alternative in regions where land availability is limited or expensive.

The new programme could also create opportunities for companies involved in solar equipment, engineering, construction, project development and power transmission. As projects are identified and awarded, renewable energy players could see a larger pipeline of government-supported business.

Beyond generating electricity, floating solar projects can make productive use of existing reservoirs without requiring additional land for large solar farms. The initiative therefore fits into India’s broader strategy of increasing clean energy capacity while managing land constraints.

The 5,000 MW target marks a significant expansion of India’s floating solar ambitions. With the government providing financial support through the Rs 5,070 crore programme, the scheme is expected to encourage more investment in the segment and accelerate the development of large-scale floating solar projects across the country.

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