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PM-KUSUM hub · Karnataka playbook

PM-KUSUM in Karnataka: the KREDL solar-pump guide for EPCs

How PM-KUSUM works in Karnataka — KREDL as the nodal agency, the Component-B pump opportunity, empanelment, the subsidy split, and how a tender really runs. For EPCs, not farmers.

By the SuryaHub team Updated 19 June 2026 12 min read
TL;DR for EPCs
  • KREDL is the state nodal agency; the work comes through tenders, not walk-in subsidy.
  • The big prize is Component-B standalone solar pumps for off-grid farms.
  • A reported state plan targets roughly 40,000 pumps — verify the live number with KREDL.
  • You must empanel with KREDL, then win a price-based (L1) tender.
  • Subsidy = central CFA + Karnataka state share + farmer share — all percentages are estimates; verify with the SNA.
  • Plan for EMD, a PBG and a 5-year O&M obligation.

PM-KUSUM in Karnataka is a tender business, not a counter where farmers collect a subsidy. If you are a solar EPC, your route in runs through KREDL — the state nodal agency — and the contracts it floats for solar pumps. This guide maps that route: who runs the scheme, which components are live, the pump opportunity, how to empanel, and the money you need to fund a bid. Every slab and target here is an estimate to verify with KREDL.

Who runs PM-KUSUM in Karnataka?

KREDL — the Karnataka Renewable Energy Development Limited — runs PM-KUSUM in Karnataka as the state nodal agency (SNA). MNRE sets the national scheme and pays the central financial assistance (CFA), but KREDL is the body an EPC actually deals with. It floats tenders, empanels vendors, releases subsidy on milestones, and coordinates with the state DISCOMs.

KREDL and the DISCOMs

Karnataka's distribution companies — BESCOM, HESCOM, MESCOM, CESC and GESCOM — sit alongside KREDL. For Component B, the standalone off-grid pumps, the DISCOM role is light because there is no grid connection. For Component C, where existing grid pumps are solarised, the DISCOM signs off the connection and metering. Always confirm which DISCOM covers your tender area before you bid.

Why this matters for your firm

You are selling to and being paid by a government agency, not a homeowner. That changes everything: the work is won on price and compliance, payment follows milestones, and one slow document can hold a claim for weeks. Treat KREDL as your customer and the tender as your contract.

Which PM-KUSUM components are live in Karnataka?

In Karnataka, Component B — standalone off-grid solar pumps — is the main EPC opportunity, with Component C feeder and individual solarisation also in play. Component A, the small ground-mounted plants, depends on which feeders and barren land the state opens up.

Component B: standalone solar pumps

Component B replaces a diesel pump or serves a farm with no grid. The farmer gets a solar pump sized by horsepower — commonly 3, 5, 7.5 or 10 HP — and the state subsidises most of the cost. For an EPC this is volume work: many small, similar installs across a district. Our Component B EPC guide covers the full delivery model.

Component C: solarising grid pumps

Component C solarises pumps that are already on the grid — either one pump at a time (C1) or a whole agricultural feeder (C2). The split between individual and feeder work shifts with state policy. Our Component C guide explains the difference and the economics.

The Karnataka pump-expansion opportunity

Karnataka has reported a large Component-B expansion — a figure around 40,000 pumps has appeared in budget and policy documents — but the live number and timeline move and must be verified with KREDL. Do not size your team or buy stock against a headline figure.

The state has a long farm base and many off-grid and diesel pumps, which is the natural market for Component B. The opportunity is real, but it arrives as tenders in batches, not as one big order. Check the current sanction and target on kredlinfo.in and the state nodal agency directory before you commit.

How to get empanelled with KREDL

You get PM-KUSUM work in Karnataka by empanelling with KREDL and then winning a tender. Empanelment is the gate; the tender is the contract. Skipping the empanelment step means you cannot bid at all.

What empanelment checks

  • Turnover and net worth — proof your firm can fund the work.
  • Technical experience — past solar or pump projects of a stated size.
  • BIS, ALMM and MNRE-spec compliance — for modules, motors and the controller.
  • Bank standing — to back the EMD and the post-award PBG.
  • Service footprint — that you can run 5-year O&M in the area.

Each criterion has a current threshold KREDL publishes in the tender or empanelment notice. The numbers change, so read the live document. Our empanelment process guide walks through a typical dossier.

How the Karnataka subsidy splits

The Karnataka PM-KUSUM subsidy is the central CFA plus a state top-up, with the farmer paying the balance — every percentage is an estimate to verify with KREDL. There is no single fixed national number, and the split varies by component, category and the latest order.

Central CFA · ~30%
Set by MNRE; higher (~50%) for special-category / NE states. Verify the current order.
State share · Varies
Karnataka adds a state top-up. The exact percentage is set by the state and moves. Verify with KREDL.
Farmer share · Balance
Whatever is left after CFA + state share. Some farmers also take a bank loan for it.

Indicative only — verify the current split with KREDL.

For the national framing of how CFA, state share and farmer share stack, see our subsidy structure guide and the state subsidy stacking map.

How a KREDL tender works

A KREDL PM-KUSUM tender is usually won on lowest evaluated price — the L1 bidder — after you clear the technical and compliance checks. You read the document, price the pump per HP, place an EMD, and submit. If you win you sign, post a PBG and start delivery.

The bid flow in short

  • Read the tender — scope, pump sizes, quantities, area and deadline.
  • Build the cost sheet — module, motor, controller, structure, freight, install and 5-year O&M.
  • Place the EMD — earnest money to bid.
  • Submit before the deadline — usually online; a single missed field can disqualify.
  • If L1, sign and post the PBG — then mobilise.

Price per HP is the variable that wins or loses you the job. Our benchmark cost by HP guide shows the indicative price bands to test your sheet against.

EMD, PBG and working capital

Two amounts gate a KREDL bid: the EMD you place to participate, and the PBG you post if you win — both are percentages of the order and tie up real cash. Subsidy is paid on milestones, so you fund the build before you are reimbursed.

EMD is refunded if you lose; the PBG stays locked through the contract, often the full O&M period. Add the cost of stock, freight and crews, and you can see why working capital — not the bid price — is what limits how many pumps a small EPC can take on. Our EMD and PBG financials guide models the cash squeeze. Every percentage is set in the live tender — verify it there.

Execution and the 5-year O&M

A Component-B job is not done at commissioning — you carry a typical five-year O&M obligation, and the PBG backs it. You install, run the acceptance test, hand over to the farmer, and then keep the pump running for five years.

Across a district of pumps, O&M is a logistics problem: spares, travel, warranty claims on motors and controllers, and proof of each service visit. Plan the service model before you bid, because a thin O&M plan eats your margin and a forfeited PBG hurts far more.

Mistakes that cost EPCs money

Most losses in Karnataka PM-KUSUM are avoidable. Watch these.

  • Bidding on a headline target — size against the live KREDL sanction, not a budget number.
  • Under-pricing O&M — five years of service across a district is real cost; price it in.
  • Ignoring working capital — milestone payments mean you fund the build first.
  • Non-compliant supply — wrong module, motor or controller spec fails inspection. Confirm against the latest MNRE order.
  • Weak farmer files — incomplete documents stall the subsidy claim. See the farmer document checklist.

How SuryaHub helps Karnataka PM-KUSUM EPCs

SuryaHub keeps your KREDL pipeline in one place: every tender, EMD and PBG deadline, the bill of materials and stock, each farmer file, and every job tracked through the government workflow from survey to subsidy claim and 5-year O&M. For an EPC running many small pumps across districts, that visibility is the difference between margin and chaos. SuryaHub is pre-revenue; the only real pilots are Suryantra Energy and RGESPL, and the scheme numbers here are estimates, not promises.

Run every KREDL pump job on one platform

See how SuryaHub tracks tenders, BOMs, farmer files and O&M across districts.

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Frequently asked questions

Who runs PM-KUSUM in Karnataka?+

KREDL, the Karnataka Renewable Energy Development Limited, runs PM-KUSUM in Karnataka as the state nodal agency. KREDL floats tenders, empanels EPCs and coordinates with the DISCOMs like BESCOM and HESCOM. MNRE funds the central share, but KREDL is who an EPC actually deals with on the ground.

How does an EPC get PM-KUSUM work in Karnataka?+

An EPC gets PM-KUSUM work in Karnataka by getting empanelled with KREDL and then winning a competitive tender. Empanelment checks your turnover, technical experience, BIS and ALMM compliance and bank standing. Tenders are usually lowest-price L1. There is no walk-in subsidy for EPCs in Karnataka.

What is the Karnataka solar pump subsidy under PM-KUSUM?+

The Karnataka solar pump subsidy under PM-KUSUM is the central CFA plus a state top-up, with the farmer paying the balance. The exact percentages are set by MNRE and the state and revised periodically. Treat any figure as an estimate and verify the current split with KREDL before you quote.

What is the Karnataka 40,000 solar pump target?+

The Karnataka 40,000 solar pump number refers to a state expansion plan for Component-B pumps under PM-KUSUM that has been reported in budget and policy documents. The exact figure and timeline move with each sanction order. Verify the current target on kredlinfo.in and Karnataka budget papers before planning capacity.

Which DISCOMs are involved in Karnataka PM-KUSUM?+

Karnataka PM-KUSUM involves the state DISCOMs such as BESCOM, HESCOM, MESCOM, CESC and GESCOM, alongside KREDL. For Component B standalone pumps the DISCOM role is lighter; for Component C grid-connected solarisation the DISCOM signs off connection and metering. Confirm the DISCOM for your tender area with KREDL.

Does Karnataka PM-KUSUM need DCR and ALMM compliance?+

Yes. Karnataka PM-KUSUM supplies must meet the domestic content (DCR) and ALMM rules and the MNRE technical specification, like the rest of the scheme. These rules are revised and sometimes litigated. Confirm the exact module, cell and pump-controller requirement against the latest MNRE office memorandum before you procure.

How does SuryaHub help PM-KUSUM EPCs in Karnataka?+

SuryaHub tracks KREDL tenders, EMD and PBG deadlines, the bill of materials and every farmer file in one place, and runs each pump job from survey to subsidy claim and 5-year O&M. SuryaHub is pre-revenue; the only real pilots are Suryantra Energy and RGESPL.

Sources & references

Karnataka scheme details come from KREDL and central MNRE sources. Karnataka figures — the pump target, state subsidy share and tender terms — are estimates; verify each with the state nodal agency before you act.

Written by the SuryaHub team · reviewed against MNRE, PM-KUSUM portal & KREDL sources · updated 19 June 2026.

Method: Scheme structure is taken from the sources above and re-checked periodically. Karnataka figures — the pump target, state subsidy share and tender terms — are estimates to verify with KREDL. SuryaHub is pre-revenue; only Suryantra Energy and RGESPL are real pilots.

Change log: 19 Jun 2026 — first published.

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