The notification, issued on October 8, 2024, aims to encourage startups, institutions, and industries to develop new solutions such as blockchain-based peer-to-peer solar trading, smart materials, and solar systems integrated with electric vehicles.

The scheme will offer financial assistance covering up to 60 per cent of the project cost or Rs 300 million, whichever amount is lower. The National Institute of Solar Energy (NISE) will function as the Scheme Implementation Agency (SIA). Additionally, MNRE plans to introduce annual innovation awards, with prizes reaching up to Rs 10 million to further incentivize research.

The government intends to increase the share of solar rooftop capacity under the PM-Surya Ghar Yojana, which received approval in February 2024 with a budget of Rs 750.21 billion and is set to be implemented until FY 2026-27. Proposals for innovative projects will be invited by MNRE, promoting joint research and international collaborations.