In India, the rooftop solar subsidy is offered under the PM Surya Ghar Muft Bijli Yojana. Under this scheme, homeowners can claim a subsidy of ₹30,000 to ₹78,000, depending on the size of the on-grid rooftop solar system they install.
To get the subsidy, apply on the national portal (pmsuryaghar.gov.in), choose a registered solar company, and get the system installed. Once the system is commissioned and approved, the subsidy is credited directly to your bank account.
Here are some benefits of the PM Surya Ghar Muft Bijli Yojana:
Lower cost: The subsidy cuts the upfront cost of going solar.
Energy independence: You depend less on the grid and are less affected by rising power tariffs.
Up to 90% savings on electricity bill for years: Most systems recover their cost in 3 to 5 years. After that, you get almost free electricity for the rest of the system's life.
Cleaner environment: Every 1 kW system is said to have the same impact as planting ~39 full-grown trees, so you help reduce pollution.
In this blog, you will get a walkthrough of PM Surya Ghar Muft Bijli Yojana, who can apply, the documents you need, the full online process, and the mistakes to avoid.
The Government of India launched this scheme in February 2024 through the Ministry of New and Renewable Energy (MNRE). The target is to install rooftop solar systems on 1 crore homes in India.
If your system makes more power than you use, the extra units go back to the grid through net metering. Most homeowners know this scheme as PM Surya Ghar Yojana. It is the subsidy programme for rooftop solar through which you can avail a subsidy of ₹78,000 (capped) for a 3 kW or above system size.
The subsidy you receive depends on the size of your solar system. For a 1-2 kW solar system, the subsidy is ₹30,000 per kW. For capacity above 2 kW and up to 3 kW, you get an additional ₹18,000 per kW. The maximum subsidy is capped at ₹78,000 for systems of 3 kW or more.
System Size
Central Subsidy
1 kW
₹30,000
2 kW
₹60,000
3 kW and above
₹78,000 (capped)
Please note: The central government has set a maximum subsidy of ₹78,000 for homeowners. So any system of 3 kW or more receives a fixed subsidy of ₹78,000, no matter how large it is. Residents of Uttar Pradesh, Delhi, Chhattisgarh, Uttarakhand, and Rajasthan may also get an extra state subsidy, based on the size of their system. However, these state benefits are not offered in every city. You must check whether your city is covered before you count on the extra amount.
The PM Surya Ghar Yojana covers residential rooftops only. Commercial and industrial buildings do not qualify under this scheme. Housing societies can apply for solar in shared areas, but under separate rules. You can apply if you meet these conditions:
You are an Indian citizen and the legal owner of the property where the system will be installed.
You have a valid electricity connection in your name from your local DISCOM (Distribution Company).
You have not taken any other solar subsidy for your home before.
You choose solar panels that are DCR-compliant (Domestic Content Requirement) and listed under ALMM (Approved List of Models and Manufacturers).
You install a grid-tied rooftop solar system.
You must have the following documents ready from the beginning to apply for the PM Surya Ghar Yojana:
Latest electricity bill with the consumer number and system details (sanctioned load)
Aadhaar card
Mobile number linked to Aadhaar
Bank details with a cancelled cheque
Proof of property ownership, or the owner’s consent if you are not the sole owner.
Note: Requirements can vary slightly by state and DISCOM. Check with your DISCOM if you are unsure.
To apply for the PM Surya Ghar Muft Bijli Yojana, you need to meet the eligibility rules, submit the required documents, choose a registered solar company, and get your net meter approved. Here is the full process, step by step:
Visit the portal: Go to the national portal (pmsuryaghar.gov.in), open the consumer section, and start your application.
Create your profile: Log in and fill in your name, email address, address, state, district, and PIN code. Then save the profile.
Fill in the application: Click "Apply" and enter your personal details and your latest electricity bill information. Upload your ID proof, proof of ownership, and your most recent electricity bill.
Add your bank details: Upload your bank account details and a cancelled cheque. The central subsidy is usually paid by direct bank transfer (DBT), so make sure your bank account is linked to your Aadhaar.
Choose a registered Solar Company: Pick a solar company from the state-wise list on the portal and ask for a quote.
Upload the signed agreement: Sign an agreement with your chosen solar company and upload it to the portal.
Apply for net metering: After the solar company completes the work, submit the system details on the portal and apply for the net meter. Your DISCOM will then issue a commissioning certificate to confirm that the system is live.
Claim the subsidy: Log back into your consumer account and upload the commissioning certificate to claim your subsidy. Once your claim is approved, the money reaches your bank account within 30 days.
Most homes get their subsidy within a few weeks to a couple of months after applying. The installation itself takes only a few days. Most of the waiting time comes from DISCOM approvals and inspections, and this differs from state to state.
Once your claim is processed, the central subsidy goes straight to your bank account, usually within 30 days of commissioning. In total, you can expect the whole process, from subsidy application, to commissioning, to take about 60 to 90 days.
Most delays and rejections happen because of small errors. Avoid these:
Installing panels that are not listed under ALMM
Not linking your bank account to your Aadhaar
Choosing a system larger than your sanctioned load
Having a name on your documents that does not match your Aadhaar
Installing the system before DISCOM feasibility approval
How to Choose the Right Solar Company
Your solar company decides how smooth the whole process will be. A professional solar company saves your time, effort, and money. A local solar company can leave you stuck with delays and rejected claims. Before you choose your solar company, check these points:
Portal registration: The solar company must be registered on the official PM Surya Ghar portal.
DCR panels: Ask for proof that the household solar panels are DCR compliant.
Paperwork support: The solar company should handle your application, DISCOM approvals, and net metering process.
Warranty and after-sales support: Ask about the panel warranty, the inverter warranty, and how service requests are handled once the system is installed.
This is where SolarSquare stands out. As a registered solar company, they look after everything from start to finish, including the subsidy application, DISCOM approvals, net metering, and installation. You don't have to make repeated trips to the DISCOM office or chase paperwork yourself. They also keep the process simple and clear for first-time solar buyers. It’s worth mentioning that SolarSquare is also India’s #1 rooftop home solar company as per the PM Surya Ghar portal data with highest numbers of residential solar panel systems installed in India.
Getting the solar subsidy is simple if you follow the right order. You must ensure that you are eligible for the PM Surya Ghar subsidy and that you have all your documents ready. Apply only on the official portal, and wait for DISCOM approval before installing anything.
Then choose a trusted, registered solar company to guide you through the process. A reliable partner like Solarsquare can take the paperwork off your hands, so you can cut your electricity bill and receive your subsidy without delay.
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