Solar Subsidy in India 2026: Complete Guide to Government Schemes

India's solar subsidy landscape has never been more generous. The central government's PM Surya Ghar Yojana offers up to ₹78,000 in direct subsidy for residential rooftop solar, while many states provide additional top-ups. As of 2026, over 1 crore Indian households have applied under PM Surya Ghar alone. Solar Vipani connects you with MNRE-empanelled installers who handle the complete subsidy paperwork — so you get the full benefit without the bureaucratic hassle.

Solar subsidies are direct financial incentives provided by the central and state governments to reduce the upfront cost of installing rooftop solar systems. Unlike tax benefits, subsidies are credited directly to your bank account after installation and DISCOM verification — reducing what you actually pay out of pocket.

India's solar subsidy structure operates at two levels:

• Central subsidy — Funded by MNRE (Ministry of New and Renewable Energy) through schemes like PM Surya Ghar. Available nationwide for residential on-grid systems.
• State subsidy — Additional incentives offered by select state governments or DISCOMs. Varies widely — some states offer ₹10,000–₹20,000 per kW on top of the central subsidy.

The combined effect can reduce your rooftop solar cost by 30–60% depending on system size and your state.

Beyond PM Surya Ghar, the central government supports solar adoption through multiple channels. MNRE provides capital subsidies for residential and institutional systems, while commercial and industrial consumers benefit from accelerated depreciation (40%) under the Income Tax Act.

Key central schemes include PM Surya Ghar for households, KUSUM for agricultural solar pumps, and viability gap funding for solar parks. For homeowners, PM Surya Ghar remains the primary and most impactful scheme.

→ Full guide: Central Government Solar Subsidy Schemes

To qualify for the central subsidy under PM Surya Ghar, you must be a residential electricity consumer with a valid DISCOM connection. The system must be on-grid, installed by an MNRE-empanelled vendor, and use BIS-certified components.

The application process is straightforward: register on the national portal, select a vendor, get installation done, apply for net metering, and the subsidy is credited after DISCOM inspection.

→ Eligibility criteria in detail

→ Step-by-step application guide

Net metering is mandatory for subsidy-eligible systems. Your DISCOM installs a bi-directional meter that tracks electricity exported to and imported from the grid. Surplus solar units earn you credits on your electricity bill — effectively spinning your meter backwards during daylight hours.

Net metering policies vary by state and DISCOM. Most states allow annual settlement of credits, meaning excess generation in summer offsets winter consumption.

→ Full guide: Net Metering for Solar in India

Solar Vipani works exclusively with MNRE-empanelled installers who are authorised to process subsidy applications. Every installer on our platform handles:

• PM Surya Ghar portal registration and application
• DISCOM liaison for net metering approval
• Installation with BIS-certified components
• Post-installation inspection coordination
• Subsidy disbursement follow-up

Fill one form and receive 2–3 quotes from verified installers in your city — complete with subsidy calculation for your specific system size.

Get free solar quotes with subsidy estimate →

Your actual out-of-pocket cost depends on system size, state incentives, and installer pricing. Use our tools to get an accurate estimate:

• Subsidy Checker — See exactly how much subsidy you qualify for based on your state and system size
• Solar Calculator — Calculate total cost, savings, and payback period after subsidy

Or skip the calculators and get personalised quotes from verified local installers who will include the subsidy calculation in their proposal.