Harnessing Solar Energy: An Affordable and Sustainable Choice

Solar power is revolutionizing how homes and businesses meet their energy needs. Using photovoltaic (PV) technology, solar panels convert sunlight into electricity, offering an eco-friendly and cost-effective alternative to conventional energy sources. One of the biggest advantages? Zero fuel costs—once installed, solar systems generate power for 25+ years with minimal maintenance.

In Uttar Pradesh, the government is promoting solar adoption through attractive subsidies and financial incentives. With the Rooftop Solar Programme extended until March 31, 2026, you can install solar panels at a significantly reduced cost, thanks to the Direct Benefit Transfer (DBT) scheme, which ensures subsidy amounts are credited directly to your bank account.

Through the Rooftop Solar Programme Phase II, homeowners and Resident Welfare Associations (RWAs) / Group Housing Societies (GHS) can avail themselves of Central Financial Assistance (CFA). Here’s how much you can save:

Rooftop Solar System CapacitySubsidy Amount (₹)
Up to 3 kW₹18,000/kW
3 kW – 10 kW₹9,000/kW*
Above 10 kW₹1,17,000**
RWAs / GHS₹9,000/kW (up to 500 kWp)

Before transitioning to solar, it’s essential to understand the cost breakdown. Solar pricing depends on various factors, including system size, quality of solar panels, installation charges, and mounting structures.

Solar System SizePrice Range (Estimated ₹)
1 kW₹75,000 – ₹85,000
2 kW₹1,50,000 – ₹1,70,000
3 kW₹1,89,000 – ₹2,15,000
4 kW₹2,52,000 – ₹2,85,600
5 kW₹3,15,000 – ₹3,57,000
10 kW₹5,31,000 – ₹6,07,000

Once you factor in government subsidies, your effective solar cost decreases significantly. Here’s an example of subsidized solar system prices:

System SizeEstimated Price (₹)Subsidy (₹)Final Cost After Subsidy (₹)
1 kW₹75,000 – ₹85,000₹18,000₹57,000 – ₹67,000
2 kW₹1,50,000 – ₹1,70,000₹36,000₹1,14,000 – ₹1,34,000
3 kW₹1,89,000 – ₹2,15,000₹54,000₹1,35,000 – ₹1,61,000
4 kW₹2,52,000 – ₹2,85,600₹63,000₹1,89,000 – ₹2,22,600
5 kW₹3,15,000 – ₹3,57,000₹72,000₹2,43,000 – ₹2,85,000
10 kW₹5,31,000 – ₹6,07,000₹1,17,000₹4,14,000 – ₹4,90,000

The National Portal for Rooftop Solar has simplified the subsidy application process, making it more efficient and transparent. Follow these steps to apply:

  • Register on the Portal – Visit the National Portal for Rooftop Solar and create an account.
  • Submit Your Application – Apply for solar panel installation under the subsidy scheme.
  • Technical Feasibility Approval – Your local DISCOM (electricity provider) reviews and approves your application.
  • Choose a Certified Vendor – Select an MNRE-approved solar company for installation.
  • Solar System Installation – Install your grid-connected solar plant as per government standards.
  • Inspection & Net Metering – DISCOM officials inspect the system and integrate a net meter.
  • Subsidy Disbursement – Once approved, your subsidy is credited directly to your bank account within 30 days.

With net metering, your solar panel system connects to the government grid, allowing you to:

  • Export surplus electricity and earn solar credits.
  • Offset your electricity bill by using credits during low solar production (e.g., cloudy days).
  • Track real-time energy exchange via a smart net meter.
  • Significant Electricity Savings – Reduce or eliminate your monthly power bills.
  • Government Subsidy Benefits – Lower your initial investment cost.
  • Eco-Friendly Energy Source – Contribute to a greener future by using clean energy.
  • Earn via Net Metering – Sell surplus power back to the grid.
  • Long-Term Investment – Solar panels have a lifespan of 25+ years.

How much does a 3kW solar panel system cost with subsidy in UP?

The effective cost after subsidy is around ₹1,35,000 – ₹1,61,000.

Do I need to install my solar panels via a certified vendor?

Yes, choosing an MNRE-approved vendor is mandatory for subsidy eligibility.

How much space is required for a 1kW solar panel system?

Typically, 10 sq. meters of shadow-free area is needed.

Can I add batteries to my solar system?

Yes, but battery costs are not covered under the subsidy scheme.