The Union cabinet cleared the Prime Minister Dhan-Dhaanya Krishi Yojana (PMDDKY), a ₹24,000-crore-a-year initiative invested in transforming agriculture and allied sectors in 100 districts, starting 2025–26, reported Mint.
The cabinet also approved several key proposals to strengthen state-run NTPC Ltd and NLC India Ltd (NLCIL) to make fresh investments in renewable energy at the meeting chaired by Prime Minister Narendra Modi.
NTPC will invest ₹20,000 crore over time, while NLCIL will commit ₹7,000 crore to clean energy projects.
PMDDKY is the first scheme of its kind exclusively focused on enhancing farm productivity, promoting crop diversification and sustainable practices, and improving post-harvest infrastructure at the panchayat and block levels. The scheme also intends to increase irrigation coverage and facilitate access to both short and long-term credit for farmers.
The PMDDKY scheme will be implemented through convergence of 36 existing schemes under a unified framework to maximize impact and streamline delivery, Ashwini Vaishnaw, Union minister of railways, information & broadcasting, electronics & information technology, briefing the media on the cabinet decisions.
"States will be partners. There will be constant monitoring of the scheme at the block level, district level, and state level. Technology partners will be appointed. All stakeholders related to agriculture will be consulted," Vaishnaw said during the briefing.
"About 17 million farmers will benefit from the scheme in the next six years," he said, adding that the implementation of the scheme will begin from August.
Under the PMDDKY scheme, 100 districts across the country will be identified based on three key indicators—low agricultural productivity, moderate crop density and below average credit parameters.
District-wise allocation will be determined by each state or Union Territory’s share of Net Cropped Area and operational holdings, with at least one district selected from every state.
The cabinet also allowed increased financial autonomy to NTPC Ltd. The company has now been given the permission to invest up to ₹20,000 crore in renewable energy projects, up from the earlier ₹7,500 crore cap, through its subsidiary NTPC Green Energy Ltd (NGEL).
Renewables Meet Rural Ambitions
On July 14, Reuters reported that India achieved 50% of its installed electricity capacity from non-fossil fuel sources—achieving the target five years ahead of its 2030 under the Paris Agreement, indicating accelerated pace of the country’s clean energy transition.
The government’s twin focus on agriculture and renewable energy shows India’s commitment to integrating green policies with rural development
