The correct answer is option 4, Madhya Pradesh. Before the launch of the `Saubhagya Scheme`, there were eight states in India that had achieved more than 99% household electrification.

Let`s analyze each option to understand why they are or are not among those eight states:

Option 1: Kerala - This option could be a potential candidate for the correct answer as it is one of the states mentioned in the question. However, without further information, we cannot conclude whether Kerala is indeed one of the eight states or not.

Option 2: Punjab - This option could also be a potential candidate for the correct answer. Like Kerala, without additional information, it is unclear whether Punjab is among the eight states or not.

Option 3: Himachal Pradesh - This option is also uncertain without more information. It is unknown whether Himachal Pradesh is part of the eight states or not.

Option 4: Madhya Pradesh - As stated in the question, Madhya Pradesh is not among the eight states that achieved more than 99% household electrification before the launch of the `Saubhagya Scheme`.

Therefore, option 4, Madhya Pradesh, is the correct answer based on the information provided.