Mission Solar Charkha 2026: Up to ₹9.599 Crore Subsidy, Eligibility & Guidelines

At a glance

About the scheme

Mission Solar Charkha was initiated by the Ministry of Micro, Small and Medium Enterprises as a pilot project to boost the rural economy and generate sustainable livelihood opportunities. The scheme focuses on setting up Solar Charkha Clusters covering a focal village and surrounding hamlets within an 8 to 10 kilometre radius. Each cluster accommodates between 200 and 2,042 artisans—predominantly women and youth—equipping spinners with solar-powered charkhas and weavers with solar looms to increase production efficiency and curb rural-to-urban migration.

Benefits

• Maximum overall project subsidy of ₹9.599 crore per Solar Charkha cluster.
• Subsidy of ₹15,750 per charkha (capped at ₹45,000 price) for 2,000 solar charkhas, totalling ₹3.15 crore for 1,000 spinners.
• Subsidy of 35% (₹38,500 per loom capped at ₹1,10,000 price) for 500 solar looms, amounting to ₹1.93 crore for 500 weavers.
• 100% capital subsidy up to ₹1.20 crore per cluster for constructing a work shed with at least 20,000 square feet space.
• 100% capital subsidy up to ₹0.40 crore per cluster for setting up a 50 kW capacity solar grid.
• 35% one-time capital subsidy up to ₹0.75 crore per cluster for twisting, dyeing, and 500 stitching machines.
• Interest subvention of 8% on working capital for six months, offering up to ₹1.584 crore per cluster.
• Capacity building and training support of ₹0.595 crore per cluster covering spinners and weavers over two years.

Who can apply (eligibility)

• Khadi and Village Industry (KVI) institutions having a positive balance sheet, assets, at least 200 artisans, annual sales turnover of at least ₹1.00 crore in each of the past three financial years, and an increase in new artisans.
• Other entities like SPVs, Societies, Trusts, Section 8 Companies, or LLPs with sound governance, MIS, equity/debt resources, and verified profitability/IRR over the last three financial years.
• First-time entrepreneurs with verified social commitment and funding backing from commercial banks, NBFCs, or venture capital funds.
• Promoter agency must conduct a baseline survey identifying at least 200 beneficiaries with Aadhaar cards, of which at least 50% must be women.
• Promoter must provide 20,000 square feet to 2 acres of land (owned or leased for a minimum of 15 years) at their own cost.
• Promoter must deposit at least 15% of working capital needs or three months of projected working capital into a dedicated account prior to fund release.
• Promoter must establish an SPV (such as a Section-8 or Producer company) before receiving the first instalment.

Who cannot apply

• Entities unable to arrange suitable land of at least 20,000 square feet either by ownership or long-term lease of 15 years.
• Proposals submitted without fulfilling the mandatory 50% women beneficiary quota in the baseline survey.
• Fresh proposals submitted while the Ministry of MSME completes the pilot project assessment phase.

Documents required

• Legal registration certificate and establishment details of the promoter organisation
• List of Board of Directors or Governing Body members and summary of registered objectives
• Audited financial statements and Income Tax returns for the preceding three financial years
• Minutes of the last Annual General Meeting (AGM)
• Details of major donors, formal MoUs, and institutional linkages
• Curriculum vitae of domain experts and key technical personnel leading the project
• Three-year year-wise work plan along with a time-linked activity chart
• Baseline survey report containing Aadhaar details of at least 200 identified artisans
• Proof of land ownership or 15-year registered lease deed for at least 20,000 square feet

How to apply

1. 1Go to the official Mission Solar Charkha portal at kviconline.gov.in.
2. 2Select 'New Registration' to create user credentials by entering required promoter details.
3. 3Log in using the newly created credentials and open the online application form.
4. 4Fill in all operational and organizational fields, upload mandatory documents, and submit online.
5. 5For offline submission, prepare the complete proposal in hard and soft copy as per Annexure-III.
6. 6Forward the endorsed proposal package directly to the Chief Executive Officer, Khadi and Village Industries Commission (KVIC), Mumbai.

Frequently asked questions