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Can the same agricultural land be used to grow crops and produce electricity? Agri Voltaics is making this possible by allowing solar panels and farming activities to operate together.
On 21 October 2026, the Government of India brought attention to this technology during the 7th Agri Voltaics World Conference at Bharat Mandapam, New Delhi. Union Agriculture Minister Shivraj Singh Chouhan and Union Minister for New and Renewable Energy Pralhad Joshi highlighted how agricultural land could support both crop cultivation and solar electricity generation.
One of the important announcements was the government's plan to introduce a major Agri-Voltaics programme under the next phase of the PM-KUSUM scheme.
For farmers, this could mean an opportunity to continue cultivation while earning additional income through electricity-related arrangements. For solar developers, equipment suppliers and renewable energy businesses, it signals opportunities worth exploring in agricultural solar projects.
However, the announcement does not introduce a new mandatory Agri Voltaics registration, subsidy application deadline or compulsory project licence. Businesses must still examine the existing rules that apply to their proposed activities and monitor future programmed guidelines.
| Particular | Details |
| Announcement date | 21 October 2026 |
| Event | 7th Agri Voltaics World Conference |
| Location | Bharat Mandapam, New Delhi |
| Ministries involved | Ministry of Agriculture and Farmers Welfare Ministry of New and Renewable Energy. |
| Key representatives | Shivraj Singh Chouhan and Pralhad Joshi |
| Main announcement | Plans to expand Agri-voltaics through the next phase of PM-KUSUM |
| Main objective | Produce solar electricity while continuing agricultural cultivation |
| Potential stakeholders | Farmers, FPOs, solar developers, EPC companies and renewable energy businesses |
| Policy status | Government announcement and future programmed proposal |
| New compliance deadline | Not specified in the announcement |
| New compulsory Agri Voltaics licence | Not introduced by the press release |
The announcement focuses on future development, farmer participation and practical project design rather than introducing immediate regulatory obligations.
Agri Voltaics, also known as Agri PV, is a method of using agricultural land for two purposes: growing crops and producing solar electricity.
In a conventional ground-mounted solar project, panels may occupy much of the available land, making regular cultivation difficult. An Agri Voltaics system is designed to avoid that problem. Solar panels are installed at a suitable height or distance apart so agricultural activities can continue underneath or between them.
The electricity generated may be used or sold under applicable technical and commercial arrangements.
The important feature is that farming remains part of the project.
How Is Agri Voltaics Different from a Conventional Solar Power Project?
| Basis | Conventional Solar Project | Agri Voltaics Project |
| Land use | Mainly electricity generation | Electricity generation and agriculture |
| Crop cultivation | May be limited | Intended to continue |
| Panel installation | Designed mainly for power output | Must also consider farming activities |
| Farmer participation | Depends on project ownership or land arrangements | May involve continued cultivation and energy-related income |
| Planning requirements | Solar resource, land and electricity infrastructure | Solar resource, crops, agricultural access and electricity infrastructure |
| Main consideration | Efficient power generation | Balancing power generation with agricultural productivity |
The difference matters particularly in India, where many farmers depend on relatively small areas of land for their livelihood.
Why Does This Technology Matter for Indian Agriculture?
Agricultural land cannot simply be treated as unused space available for energy projects. It provides income, food and employment to rural communities. Agri Voltaics offers a different approach. Instead of asking farmers to choose between farming and solar electricity, it aims to make both activities possible where the land and project design are suitable.
However, a successful project requires more than installing panels above crops. It must also provide sufficient sunlight, suitable growing conditions, access for farm machinery and workable commercial arrangements.
India wants to increase renewable energy generation while protecting agricultural production.
During the conference, Agriculture Minister Shivraj Singh Chouhan emphasized that more than 85% of Indian farmers are small and marginal farmers. He also referred to an average landholding of approximately 0.96 hectares.
This creates a practical concern for solar project development. Farmers with limited land may not be able to give up cultivation entirely, even when solar electricity offers financial opportunities. The government therefore wants Agri Voltaics projects to work around the requirements of agriculture.
The main objectives discussed include:
The government's message is that solar development should support farmers rather than make agricultural work more difficult.
The conference brought together government representatives, researchers, technology specialists and industry participants to discuss how Agri Voltaics could be developed on a larger scale.
1. Agriculture and Renewable Energy Ministries Will Work Together
Shivraj Singh Chouhan stated that the Agriculture Ministry and the Ministry of New and Renewable Energy would work together on Agri Voltaics development. This coordination is important because agricultural solar projects involves several connected activities. Solar developers need to examine land suitability, electricity generation, equipment installation and grid connectivity. Farmers need to consider crop production, irrigation, harvesting and land access.
A project may generate electricity efficiently but still create problems if it makes farming difficult. The government's proposed approach therefore gives importance to both agricultural and energy requirements.
2. Major Agri-voltaics Expansion Planned Under PM-KUSUM
Pralhad Joshi announced plans for an ambitious Agri-voltaics programme under the next phase of the Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM). The proposed programme is expected to focus on expanding solar energy use in agriculture while supporting the continued productive use of farmland.
This announcement is relevant to farmers, solar developers and businesses considering renewable energy project development. However, detailed conditions for the proposed program, including eligibility, financial support and application procedures, were not established by the conference announcement itself. Businesses should wait for the relevant official program guidelines before making assumptions about subsidies or application deadlines.
3. Agricultural Production Must Continue
The Agriculture Minister highlighted a concern that is easy to overlook: solar panels should not prevent farmers from doing their regular work. He specifically discussed the importance of panel height, structural spacing and movement of agricultural machinery.
Farmers must be able to plough, irrigate, cultivate and harvest their crops. The project design should also allow them to change crops according to seasonal requirements rather than permanently restricting cultivation to a single crop.
4. Greater Focus on Farmer Protection
The government also raised concerns about what happens when solar projects are discontinued or abandoned. Farmers should not be left responsible for unused equipment, removal costs or financial burdens arising from poorly structured projects. Clear agreements, maintenance responsibilities and payment arrangements will be important to the long-term success of Agri Voltaics projects.
5. Employment Opportunities for Rural Communities
The government encouraged the involvement of Farmer Producer Organisations (FPOs), rural youth and women. Training local workers to operate, repair and maintain solar equipment could help generate employment within villages. The announcement therefore extends beyond electricity generation and considers the wider economic role that renewable energy projects may play in rural areas.
The biggest attraction of Agri Voltaics is that farmers may not have to give up crop cultivation to participate in a solar project. However, the financial and agricultural benefits will depend on the system design and commercial arrangements.
Additional Income from Solar Electricity
Farmers who participate in suitable projects may receive electricity-related income in addition to their agricultural earnings. There are different ways participation could be structured. A farmer may own a solar installation, participate through an eligible group or enter into an agreement with a project developer.
The amount received would depend on the ownership structure, electricity purchase arrangements, investment requirements and contractual terms. Agri Voltaics should therefore be considered a potential additional income opportunity, not a guaranteed source of fixed earnings.
Continued Crop Cultivation
A well-designed Agri Voltaics system allows farmers to continue growing suitable crops. This is particularly important for small landholders who rely on agriculture as their main source of income.
The system must provide enough usable space and suitable sunlight for cultivation. Some crops may perform well under partial shading, while others may require more direct sunlight. The results will vary by location and growing conditions.
Possible Water Savings
Solar panels can change how sunlight reaches the soil and how water evaporates from the land.
Research published by the Energy and Resources Institute (TERI) reports water savings of approximately 30% under certain studied Agri-voltaics conditions.
These findings are encouraging, especially in agricultural areas where water availability is a concern.
However, they should not be treated as guaranteed savings for every project. Water use depends on crop type, rainfall, irrigation methods and system design.
Potential Improvement in Crop Production
The TERI research also reports yield improvements of approximately 10–20% for certain crops under suitable Agri Voltaics systems. This does not mean all crops will produce more when solar panels are installed.
Incorrect panel placement or excessive shading could reduce agricultural productivity. Farmers and developers should therefore assess whether the selected crops and installation design are compatible before investing.
India has a large agricultural sector, creating considerable potential for the development of dual-use solar projects. A July 2026 study by TERI and the Energy Transitions Commission identified approximately 47.5 million hectares of land as technically suitable for Agri-voltaics.
The study also estimated a more realistic deployment potential of around 16 million hectares.
These figures represent research estimates, not land parcels already approved for solar development.
Key Findings from the TERI Study
| Study finding | Reported estimate. |
| Land technically suitable for Agri-voltaics | Approximately 47.5 million hectares |
| More realistic deployment potential | Approximately 16 million hectares |
| Potential annual electricity generation under the studied scenario | Up to 12,775 TWh |
| Possible crop yield improvement in certain systems | 10–20% |
| Possible water savings under studied conditions | Around 30% |
The study's findings show the potential scale of Agri Voltaics, but actual development will depend on land availability, project costs, technical conditions, financing and regulatory permissions.
States Identified with Significant Agri Voltaics Potential
During the conference, Pralhad Joshi stated that six states together accounted for approximately half of the estimated suitable land:
These states may offer opportunities for solar project developers and agricultural businesses interested in exploring dual-use projects. However, the inclusion of a state in the study does not mean that agricultural land can automatically be converted or used for any solar installation. Project developers must assess the location, land-use conditions, crop compatibility and available electrical infrastructure.
Can Agri Voltaics Help Meet India's Future Electricity Demand?
The TERI study estimated that an Agri Voltaics deployment scenario covering approximately 16 million hectares could generate up to 12,775 TWh of electricity annually. The Ministry of New and Renewable Energy compared this with projected Indian electricity demand of approximately 5,250-10,020 TWh by 2050.
These estimates indicate considerable technical potential.
They do not mean that all the identified land will be developed, nor do they guarantee that such electricity generation levels will be achieved.
Turning technical potential into operational projects requires suitable financing, infrastructure, agricultural arrangements and government policies.
Installing solar panels on agricultural land requires more detailed planning than simply choosing an open location.
An Agri-voltaics project has to consider electricity generation and farming activities together.
Solar Panel Height and Spacing
Panel height affects how much room remains for agricultural work. The support structures must be positioned so that farmers can move through the fields and use suitable equipment. Spacing also determines how sunlight reaches crops. If panels are positioned too closely or create excessive shade, crop growth may be affected.
The required design depends on agricultural conditions and engineering assessment. The October 2026 government announcement did not introduce a universal mandatory height or spacing standard for all Agri Voltaics projects.
Agricultural Machinery and Farm Access
Farmers must be able to carry out routine work such as ploughing, sowing, irrigation and harvesting. Solar support structures, wiring and other equipment should not unnecessarily obstruct these activities. This is especially important where farmers use tractors or other machinery.
Project planning must also consider access routes for both farming equipment and solar maintenance teams.
Rainwater Management and Soil Protection
Solar panels change how rainwater falls on agricultural land. Water may collect along panel edges and flow towards particular areas. Without suitable drainage, this can contribute to soil erosion or affect crop cultivation. The Agriculture Minister specifically highlighted the importance of rainwater collection and safe drainage arrangements.
Developers should examine surface drainage and irrigation requirements while designing the installation.
Equipment Maintenance and Long-Term Safety
Solar installations require periodic inspection, cleaning and maintenance. In Agri Voltaics projects, these activities must be managed alongside farming operations. Electrical components and maintenance routes should be arranged to minimise risks to people working on the land. Developers should also clearly establish who will be responsible for repairs, replacement and eventual equipment removal.
Farmer protection is an important part of Agri Voltaics development. The October 2026 conference highlighted concerns about electricity payments, project abandonment and removal of solar infrastructure. A long-term project arrangement should not leave farmers uncertain about their rights or responsibilities.
Electricity Revenue and Payment Terms
Farmers should understand how any electricity-related income will be calculated and paid. The agreement should make clear whether they are receiving rent, a share of project revenue or another contractual payment. Payment schedules, deductions and responsibilities should be explained before the arrangement begins.
Agricultural Land Access
The project agreement should explain how the land will be used during the operating period. Farmers should understand whether any area will become inaccessible and whether they can change crops or continue using agricultural machinery. Crop damage, repairs and restoration responsibilities should also be addressed where relevant.
Responsibilities if the Project Is Abandoned
A project may face financial or operational difficulties before its expected completion. Farmers should not be left without a clear arrangement for unused infrastructure. Contracts may therefore need suitable provisions concerning responsibility for damaged equipment, discontinuation of operations and land restoration.
Solar Panel Removal After Contract Expiry
Solar infrastructure may have to be removed or replaced at the end of a project agreement. The contract should clearly allocate responsibility for dismantling equipment, managing associated costs and restoring the land. These are important contractual safeguards. They should not be presented as a new compulsory checklist introduced by the conference announcement.
The PM-KUSUM scheme is a central government initiative aimed at increasing solar energy use in agriculture. Its existing framework has supported decentralised renewable energy projects, standalone solar agricultural pumps and the solarisation of grid-connected pumps.
Existing PM-KUSUM Scheme Components
| Component | Main purpose |
| Component A | Setting up decentralised grid-connected renewable energy power plants |
| Component B | Installing standalone solar agricultural pumps |
| Component C | Solarising existing grid-connected agricultural pumps, including feeder-level solarisation |
Under the published Component A framework, eligible renewable energy power plants generally have capacities of 500 kW to 2 MW. Farmers, groups of farmers, cooperatives, panchayats, Farmer Producer Organisations and other eligible participants may be involved under applicable guidelines. Electricity purchase arrangements depend on the relevant scheme provisions and state regulatory conditions.
The published MNRE overview identifies 31 March 2026 as the earlier scheme period, while the official PM-KUSUM portal also displays later implementation communications. Farmers and developers should therefore check the latest applicable directions and state-wise availability rather than rely only on an older scheme summary.
What Was Announced for Agri Voltaics Under PM-KUSUM?
During the 7th Agri Voltaics World Conference, Pralhad Joshi announced plans for a major Agri Voltaics programme under the next phase of PM-KUSUM. The intention is to support more solar energy generation alongside agriculture.
The Minister also acknowledged that Agri Voltaics projects can have higher installation costs than conventional solar projects, particularly because elevated structures and suitable panel arrangements may be required. The government indicated that it wanted to address this cost gap through future programmed development.
Is a New Agri Voltaics Subsidy Available in 2026?
The 21 October 2026 announcement does not itself specify a new subsidy amount, eligibility conditions, application portal or deadline for the proposed Agri Voltaics programme.
Existing PM-KUSUM financial assistance arrangements cannot automatically be assumed to apply to a future Agri Voltaics expansion. Farmers and solar developers should refer to the official MNRE and PM-KUSUM portals and the relevant state implementing agencies for confirmed updates.
Agri Voltaics is relevant not only to farmers but also to companies working in renewable energy, engineering, equipment manufacturing and project development. As the sector develops, businesses may find opportunities in planning, installing and maintaining agricultural solar projects. However, project opportunities must be evaluated independently. A government policy announcement does not guarantee new contracts, funding or electricity sales.
Solar Power Plant Setup and Project Development
Businesses interested in solar power plant setup in India may explore Agri Voltaics as a project category where farming and electricity generation can operate together. A developer would need to assess agricultural suitability, solar electricity generation, financing and commercial arrangements. A project that appears attractive because of available land may still be unviable if installation costs are high or grid connectivity is limited. Early feasibility assessment is therefore important.
Opportunities for Solar EPC Contractors
Engineering, Procurement and Construction (EPC) companies may have opportunities to design and build solar installations suited to agricultural conditions.
Agri Voltaics projects can require mounting structures and layouts that differ from ordinary ground-mounted installations. Contractors may need to coordinate electrical engineering with the needs of farmers and agricultural machinery.
Solar Panel Manufacturing and Equipment Supply
Wider use of Agri Voltaics could create opportunities for businesses supplying solar panels, support structures and electrical equipment.
Manufacturers interested in solar panel manufacturing plant setup should assess equipment demand, technical specifications, investment requirements and applicable manufacturing regulations. Where relevant, manufacturers and project suppliers may also need to examine the applicable BIS certification and Approved List of Models and Manufacturers (ALMM) requirements.
These obligations arise from the governing product and project rules, not automatically from the Agri Voltaics conference announcement.
Opportunities for Farmer Producer Organisations
FPOs may help bring farmers together for suitable agricultural solar projects.
This can be useful where individual farmers have relatively small landholdings and may need collective participation arrangements. FPO involvement could support communication, coordination and project planning, depending on the organisation's structure and responsibilities.
Rural Employment and Maintenance Services
Agri Voltaics projects may also create work for local technicians and service providers. Potential activities include equipment inspection, maintenance, repair and monitoring. Research cited during the conference estimated that Agri Voltaics could support approximately 1.10 lakh to 3.32 lakh full-time-equivalent jobs under the studied scenarios. These are potential employment estimates rather than jobs already created.
A solar project must have a workable plan for the electricity it generates. For a grid-connected Agri Voltaics project, this involves more than installing equipment.
Grid Connectivity Assessment
Developers need to consider whether the local electricity network can accommodate the proposed project. The available infrastructure, distance from the connection point and technical requirements can affect project costs. Grid connectivity should therefore be considered during the feasibility stage rather than after construction has been planned.
Electricity Purchase Agreements
The financial performance of a project may depend on the terms under which electricity is sold. Electricity purchase arrangements can involve distribution companies or other eligible buyers under applicable regulatory frameworks.
Important commercial factors include the electricity tariff, duration of the agreement, payment terms and allocation of operational responsibilities. The conference announcement did not introduce a universal electricity purchase tariff for Agri Voltaics projects.
Project Cost and Financial Viability
During the conference, Pralhad Joshi stated that elevated and tilted structures could make Agri Voltaics projects approximately 25–30% more expensive than conventional ground-mounted solar installations. The actual difference will depend on the selected design, equipment, location and project conditions.
Businesses planning an Agri Voltaics investment should therefore consider both the additional construction cost and the value of continued agricultural use.
Businesses exploring agricultural solar projects should understand that the October 2026 announcement is not a new licensing notification. However, individual projects may still be subject to existing land-use, electricity, technical or environmental requirements. The applicable rules depend on the nature and location of the proposed project.
Agricultural Land Use Permissions
Land-use rules vary across states. Before starting a project, developers should establish whether the proposed solar installation is permissible on the selected land and whether any permission is required under the relevant state or local framework. Technical suitability alone does not establish legal permission to develop a project.
Electrical Safety and Grid Approvals
Solar projects may need to comply with applicable electrical safety requirements, grid connection rules and technical standards. The specific requirements depend on the proposed installation and the applicable electricity regulations. Developers should identify the relevant authorities and procedures before committing to project construction.
Environmental Clearance and Pollution Control Requirements
Environmental Clearance and Pollution Control Board requirements depend on the activity and applicable legal provisions. Not every solar power project automatically requires Environmental Clearance or Consent to Establish and Consent to Operate. A project involving separately regulated industrial activities, particular environmental conditions or additional development components may require further assessment.
Businesses should verify applicability rather than assume that all solar projects have identical environmental compliance obligations.
Equipment Certification and Procurement Requirements
Solar modules, inverters and other electrical equipment may be subject to applicable technical standards and procurement conditions. For example, ALMM requirements may be relevant to certain solar PV modules and projects under the governing framework.
Manufacturers and developers should examine the current requirements for their particular equipment and project category. The government did not announce a new universal BIS or ALMM certification requirement for Agri Voltaics on 21 October 2026.
Agri Voltaics offers an interesting combination of farming and electricity generation, but it also introduces practical challenges.
A project needs to remain useful for farmers throughout its operating life, not just during installation.
These challenges do not make Agri Voltaics unsuitable for India. They show why projects need detailed agricultural, technical and commercial planning.
The proposed expansion may create different opportunities and responsibilities for different stakeholders.
| Stakeholder | Potential opportunity | What should be assessed |
| Farmers | Agricultural income alongside potential energy-related payments | Project design, land access and contract terms |
| FPOs | Collective participation and project coordination | Organisational powers and responsibilities |
| Solar developers | Agricultural solar project development | Investment, land suitability and electricity sales |
| EPC companies | Solar design and installation | Farming access, technical design and cost |
| Equipment manufacturers | Supply of solar equipment and structures | Product standards, procurement rules and market feasibility |
| Investors | Financing potential Agri Voltaics projects | Revenue arrangements and project risks |
| Compliance consultants | Project-specific regulatory assessments | Actual legal requirements and applicable approvals |
The commercial importance of Agri Voltaics will depend on future policy details and the ability of projects to operate successfully in real agricultural conditions.
The government announcement gives farmers and businesses a reason to explore Agri Voltaics, but it is important to make decisions based on confirmed requirements.
Before investing or entering a long-term agreement, stakeholders should:
These are practical planning measures. They are not a newly introduced statutory checklist under the October 2026 announcement.
Developing a renewable energy business can involve several stages, from project planning and business setup to identifying applicable approvals and preparing regulatory documentation.
For businesses considering Agri Voltaics or related solar activities, understanding the actual legal requirements before investing can help prevent avoidable delays and unnecessary expenditure.
Corpseed provides renewable energy industry advisory and related business compliance services. Depending on the project, relevant support may include the following.
Renewable Energy Project Planning and Regulatory Assessment
Businesses interested in renewable energy project consultancy can explore Corpseed's renewable energy industry services. The relevant work may involve understanding project-related regulations, identifying applicable compliance requirements and planning suitable next steps.
Environmental Clearance and Regulatory Support
Where a project involves an activity requiring Environmental Clearance, Corpseed offers support through its Environmental Clearance service. The need for such approval must first be assessed under the relevant environmental rules.
Solar Panel Manufacturing Plant Setup
Entrepreneurs planning to establish solar equipment manufacturing operations may need to examine machinery, project costs, plant setup requirements and applicable business approvals. Corpseed provides solar panel manufacturing plant setup support through its dedicated service offering.
ALMM and Applicable Solar Equipment Compliance
Solar equipment businesses may also require assistance understanding ALMM requirements where those rules apply. Corpseed offers an ALMM Certification service relevant to covered solar manufacturing and equipment-related requirements.
Planning a solar energy business or evaluating an Agri Voltaics project?
Explore Corpseed's renewable energy, environmental and solar equipment compliance services to identify the assistance relevant to your proposed activity.
The October 2026 conference showed that the government wants to give greater attention to solar power generation alongside agriculture.
Agri Voltaics could allow Indian farmers to continue cultivating their land while participating in solar electricity generation. At the 7th Agri Voltaics World Conference on 21 October 2026, the government announced plans to expand this approach through the next phase of PM-KUSUM.
The development may create opportunities for farmers, solar EPC contractors, renewable energy developers and equipment manufacturers. However, the success of Agri Voltaics projects will depend on agricultural suitability, construction costs, grid infrastructure and fair commercial arrangements.
The conference announcement does not introduce a new compulsory Agri Voltaics licence or confirmed application deadline. Farmers and businesses should rely on official programmed guidelines and applicable project-specific regulations before proceeding.
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