Indian Solar Subsidies Guide 2026

PM Surya Ghar Muft Bijli Yojana — Overview

Launched in February 2024 and expanded in 2025–26, the PM Surya Ghar Muft Bijli Yojana is India's flagship rooftop solar scheme for residential households. The scheme targets 1 crore homes and provides direct central government subsidies — credited directly to the beneficiary's bank account via DBT (Direct Benefit Transfer) — making solar accessible without upfront capital for millions of Indian families.

The scheme is administered by the Ministry of New and Renewable Energy (MNRE) and implemented through DISCOMs (distribution companies). Empanelled vendors approved by the local DISCOM carry out installations.

Central Subsidy Slabs (2026)

The central subsidy is benchmarked to MNRE's approved benchmark cost and applies to residential rooftop systems up to 3 kW. Larger systems receive the same fixed amount as a 3 kW system.

System Size	Central Subsidy	Notes
1 kW	₹30,000	For systems up to 1 kW
2 kW	₹60,000	For systems 1–2 kW
3 kW & above	₹78,000	Capped at 3 kW equivalent regardless of system size

Disclaimer: Subsidy amounts above reflect MNRE benchmark rates as of May 2026. Rates are revised periodically. Always verify current figures on the official national portal at pmsuryaghar.gov.in before finalising a customer quotation.

Eligibility

To qualify for the PM Surya Ghar subsidy, the applicant must:

• Be an Indian citizen with a residential electricity connection (domestic tariff category).
• Own or have legal rights over the roof/property where installation will take place.
• Not have previously availed any central government rooftop solar subsidy.
• Use an MNRE-empanelled vendor registered with the local DISCOM.
• Install an on-grid (grid-connected) rooftop solar system — off-grid systems are not eligible.
• Have a bank account linked to Aadhaar for DBT credit.

There is no income cap for the central subsidy, though state-level top-up subsidies may have additional eligibility criteria.

How to Apply — Step by Step

1. Register on the national portal at pmsuryaghar.gov.in using your electricity consumer number and mobile number linked to Aadhaar.
2. Select your DISCOM and choose a vendor from the empanelled list, or apply through a solar installer like those using Solarswytch who are already registered.
3. Get a site survey and quotation. A qualified installer assesses your roof for orientation, shading, structural load, and calculates optimal system size.
4. Submit the application on the portal with your Aadhaar number, bank details (for DBT), property details, and vendor information.
5. DISCOM approval — your DISCOM reviews and issues a technical feasibility approval, typically within 15–30 days.
6. Installation — the empanelled vendor installs the system. This usually takes 1–3 days for a residential rooftop.
7. Net meter application — after installation, the vendor submits a net meter application to the DISCOM for commissioning the bi-directional meter.
8. Commissioning certificate — DISCOM inspects the installation and issues a commissioning certificate.
9. Subsidy disbursement — upload the commissioning certificate on the portal. The subsidy amount is credited directly to your bank account via DBT within 30 days.

State Top-Up Subsidies

Many Indian states offer additional subsidies on top of the central amount. These vary significantly by state and are updated annually in state budgets. Below are indicative examples — verify exact amounts with the relevant state nodal agency or DISCOM before quoting.

• Gujarat: Additional state subsidy of ₹10,000–₹20,000 per kW for residential systems up to 3 kW, administered through GEDA.
• Maharashtra: MSEDCL offers accelerated net metering approval and select districts have additional capital subsidies under the state solar policy.
• Karnataka: BESCOM and GESCOM administer state-level incentives; BEL- empanelled vendor lists updated quarterly.
• Rajasthan: RVUN offers additional subsidy for rural households and SC/ST category applicants under the state solar scheme.
• Uttar Pradesh: UPNEDA provides top-up support for farmers and below- poverty-line households; industrial solar has a separate incentive track.
• Tamil Nadu: TANGEDCO offers net metering with banking facility; state government periodically announces capital subsidies — check current circulars.

Always check the state nodal agency (MNRE-recognised) for the latest circular before finalising state subsidy amounts in any customer proposal.

How Solarswytch Helps

Calculating the net customer price — after central subsidy, applicable state top-up, and GST — is complex and error-prone when done manually. Solarswytch automates this:

• Built-in subsidy calculator — select the customer's state and system size; the platform automatically applies the correct central + state slab and shows the net-of-subsidy price in the proposal.
• Live slab updates — when MNRE or a state agency revises rates, Solarswytch pushes the update so your quotes always reflect current figures.
• GST-compliant invoicing — generate GSTIN-compliant tax invoices with correct HSN codes (HSN 85414011 for solar cells/modules) in one click.
• Net metering documentation — auto-generate the net meter application package required by most DISCOMs, reducing back-and-forth paperwork.
• Bank loan integration — for customers who want to finance the net-of-subsidy amount, Solarswytch connects directly to empanelled bank loan flows.