Introduction: Making Solar Affordable for Every Indian Home
India is moving toward a cleaner, more energy-independent future—and rooftop solar is at the heart of this revolution. However, many homeowners hesitate due to upfront costs.
To solve this, the Government of India launched the Pradhan Mantri Surya Ghar: Muft Bijli Yojana, a flagship scheme that offers significant subsidies on rooftop solar installations for residential homes.
In this guide, we break down everything you need to know about the subsidy, how much you can save, and how to apply.
What Is the Pradhan Mantri Surya Ghar Yojana?
Launched in 2024, this initiative is part of India’s goal to:
- Promote clean, decentralized solar power
- Enable 1 crore+ households to generate their own electricity
- Reduce grid dependency and bring down household power bills
The scheme offers direct subsidies to homeowners, making solar affordable and accessible.
Key Benefits of the Scheme
1. Up to 60% Subsidy on Rooftop Solar Installations
- Up to 3 kW: Eligible for 60% subsidy
- Above 3 kW up to 10 kW: Additional 20% subsidy
- Max capacity eligible for subsidy: 10 kW
A 3 kW system costing ₹1.8 lakh would only cost ₹72,000 after subsidy.
2. Zero or Low Electricity Bills for 25+ Years
Rooftop solar can offset 70–100% of your monthly electricity bill.
- Net metering ensures unused electricity earns credits
- Once installed, electricity is virtually free for 20–25 years
3. Direct Benefit Transfer (DBT) to Your Account
- Subsidy is credited directly to your bank account
- Transparent and time-bound process
- No middlemen—you choose the vendor, the government pays the subsidy
4. Free Electricity for Economically Weaker Sections (EWS)
The scheme offers full financial support for families in the EWS and LIG categories, covering:
- System installation
- Maintenance costs
- Application and approvals
Target: 1 crore households to benefit by 2026
Eligibility Criteria
To avail the subsidy:
- You must own the house or have long-term occupancy rights
- The rooftop must be unshaded and structurally suitable
- You must use an MNRE-empaneled vendor
- System size should be between 1 kW and 10 kW
What’s Included in a Subsidized Solar System?
- Tier-1 solar PV panels
- Inverter (grid-tied or hybrid)
- Net meter setup
- Installation and testing
- Online monitoring system (optional)
- Minimum 5-year warranty
Example Cost Breakdown (3 kW System)
| Item | Cost (₹) |
|---|---|
| Gross System Cost | ₹1,80,000 |
| Subsidy (60%) | ₹1,08,000 |
| Net Payable | ₹72,000 |
| Annual Bill Savings | ₹36,000+ |
| Payback Period | 2–3 years |
How to Apply for the Subsidy
1. Visit:https://pmsuryaghar.gov.in/
2. Register your home with basic details and DISCOM info
3. Get site assessed by an empaneled vendor
4. Install the system
5. Apply for net metering
6. Get subsidy credited to your bank account
Expert Advice: Choose Quality Over Cheapest Price
“Subsidy reduces cost, but quality matters. Always use MNRE-registered vendors and Tier-1 panels to ensure longevity and maximum output.”
— Dr. Karan Shah, Solar Policy Analyst