Introduction
Are you wondering if there are subsidies for solar panels in India? You’re in luck! The Indian government offers a range of generous solar panel subsidies for domestic homes, encouraging the widespread adoption of solar energy.
India’s solar energy sector is shining brighter than ever. Over the last nine years, the country’s installed solar capacity has soared by 30 times, reaching an impressive 89.4 GW as of August 2024. This rapid growth has positioned India as the 5th largest solar power capacity holder globally. With a potential to harness up to 748 GWp of solar energy, India is truly tapping into the power of sunshine.
This solar revolution is aligned with India’s ambitious COP26 goal: achieving 500 GW of non-fossil fuel-based energy by 2030—the world’s largest renewable energy expansion plan. Government subsidies for solar panels play a crucial role in this success story, making it easier for households to install rooftop solar panels. These subsidies not only reduce upfront costs but also empower families to save on electricity bills over time. Moreover, solar panels offer significant benefits, such as reducing greenhouse gas emissions and providing a reliable, low-maintenance energy source for decades.
By adopting solar energy, we contribute to a greener planet and move toward energy independence. If you’ve been contemplating going solar, now is the perfect time. Together, we can make the future brighter and cleaner, one rooftop at a time, with these solar rooftop subsidies in India.
What is a Government Solar Panel Subsidy?
A government solar panel subsidy is a financial incentive designed to make solar energy more accessible. These subsidies, which include tax credits, rebates, and grants, reduce the initial investment for homeowners and businesses. By encouraging solar adoption, they promote environmental sustainability, reduce reliance on fossil fuels, and foster growth in the green economy.
Who Can Avail of a Government Solar Panel Subsidy?
Government solar panel subsidies in India are available to homeowners, businesses, and farmers. Eligibility typically requires property ownership and adherence to specific criteria like energy usage or income limits. Farmers, for instance, can benefit from schemes like PM-KUSUM and PM Surya Ghar Muft Bijli Yojana. These programs, both national and state-specific, provide financial assistance such as rebates and tax incentives, making solar energy adoption affordable and widespread.
PM Surya Ghar Muft Bijli Yojana
The PM Surya Ghar Muft Bijli Yojana empowers Indian households to adopt rooftop solar by providing subsidies of up to 60% for systems up to 2 kW and 40% for 2-3 kW systems, with benefits capped at 3 kW. This scheme aims to significantly reduce household electricity expenses by up to ₹15,000 annually for those consuming up to 300 units per month, along with income from surplus power. The registration and application process is streamlined and accessible via pmsuryaghar.gov.in With a budget of ₹75,021 crore until 2026-27, this initiative is a key step in India’s sustainable energy journey.
Grid Connected Rooftop Solar Programme
Under the Ministry of New and Renewable Energy (MNRE), the Grid Connected Rooftop Solar Programme targets installing 40,000 MW of rooftop solar by 2026, focusing on residential sectors. The scheme offers Central Financial Assistance (CFA), covering 40% of costs for systems up to 3 kW and 20% for systems between 3 kW and 10 kW. Additionally, communal facilities in housing societies receive specific incentives. Residents can apply through the National Portal for Rooftop Solar or state DISCOM portals. Subsidies are transferred directly after installation and inspection, supporting India’s environmental and energy security goals.
PM-KUSUM Scheme
Launched in 2019, the Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM) Scheme supports Indian farmers by promoting solar-powered agricultural practices. The scheme includes three components: setting up 10,000 MW of decentralized solar power plants on farmers’ land, installing 14 lakh stand-alone solar pumps in off-grid areas, and solarizing 35 lakh grid-connected agricultural pumps. Farmers benefit from up to 30% central financial assistance, with subsidies reaching 50% in certain regions. By reducing operational costs and enhancing incomes, the PM-KUSUM Scheme aligns with India’s sustainable energy goals.
Production Linked Incentive (PLI) Scheme: National Programme on High Efficiency Solar PV Modules
The Production Linked Incentive (PLI) Scheme for High Efficiency Solar PV Modules, launched by the Indian government, aims to boost domestic manufacturing capacity with an investment of ₹24,000 crore. This initiative reduces dependence on imported components and encourages manufacturers to produce high-efficiency modules using locally sourced materials. By driving employment, investments, and technological advancements, the PLI Scheme supports India’s Atmanirbhar Bharat initiative and strengthens energy security.
Delhi Solar Energy Policy 2024
The Delhi Solar Energy Policy 2024 targets expanding the city’s solar capacity to 4,500 MW by 2026-27, blending 750 MW of rooftop solar within Delhi and about 3,750 MW from utility-scale solar outside the state. The policy offers financial incentives like Generation-Based Incentives and capital subsidies for residential installations. It introduces community and net metering options, maximizing space and cost efficiency for adopters. The policy also supports the Renewable Energy Service Company (RESCO) model, allowing solar adoption without upfront capital investment. This initiative lowers electricity costs, enhances energy security, and supports environmental sustainability. By taking advantage of these government solar panel subsidies, you can significantly reduce your energy costs, contribute to a greener environment, and become part of India’s renewable energy revolution. For more information and to apply, visit the respective program portals or consult with authorized solar service providers today.