Is there any subsidy on solar panels in India? Well, you’re in luck. There are several generous government subsidies for solar panels in domestic homes to encourage the adoption of solar energy.
India is shining brighter than ever in the realm of solar energy! In just the past nine years, our country's installed solar capacity has skyrocketed by 30 times, reaching an impressive 89.4 GW as of August 2024. This incredible growth has propelled India to the 5th spot globally in solar power capacity. And guess what? India has the potential to harness up to 748 GWp of solar energy—talk about tapping into sunshine!
This push for solar energy ties into India's ambitious goal set at COP26: achieving 500 GW of non-fossil fuel-based energy by 2030—the world's largest renewable energy expansion plan.
A big part of this success story is the government's commitment to making solar energy accessible to everyone. Government subsidies for solar panels are available to help everyone install solar panels on their rooftops, making it more affordable than ever to switch to clean energy. These financial incentives not only reduce the upfront costs but also empower families to save on their electricity bills in the long run. Solar panels also offer additional significant benefits: they reduce greenhouse gas emissions, and, with their long lifespan and warranties, provide a reliable and low-maintenance source of energy for decades
By embracing solar power, we're not just contributing to a greener planet; we're also moving towards energy independence. So, if you've been thinking about going solar, there's never been a better time. Together, we can make the future brighter and cleaner, one household at a time with these solar rooftop subsidies in India.
A solar panel government subsidy is like a financial boost from the government to help you afford solar panels. These subsidies, which may include tax credits, rebates, or grants, aim to make renewable energy more accessible to homeowners and businesses. By reducing the initial investment, they encourage widespread adoption of solar technology, promoting environmental sustainability and reducing reliance on fossil fuels. Ultimately, such support fosters the growth of the green economy and advances national energy goals.
Homeowners, businesses, and farmers can access government solar panel subsidies. To qualify, you typically need to own the property, meet certain income or energy usage criteria, etc. Farmers can benefit from schemes like PM-KUSUM, PM Surya Ghar Muft Bijli Yojana, etc. By participating in these national and state-specific programs, individuals and organizations can receive financial assistance such as rebates or tax incentives, making solar adoption more affordable and widespread across the country.
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PM Surya Ghar Muft Bijli Yojana
PM Surya Ghar Muft Bijli Yojana empowers Indian households to adopt rooftop solar, providing subsidies of up to 60% for systems up to 2 kW and 40% for 2-3 kW systems, with benefits capped at 3 kW. The PM Surya Ghar Yojana offers free rooftop solar installations to eligible Indian households. It aims to significantly cut household electricity expenses by up to ₹15,000 annually for those consuming up to 300 units per month, with additional income from surplus power. The streamlined registration and application process is accessible through pmsuryaghar.gov.in. With a budget of ₹75,021 crore until 2026-27, the scheme is a major step towards India's sustainable energy goals.
For more details and to apply, visit the official website.
The Grid Connected Rooftop Solar Programme, under the aegis of the Ministry of New and Renewable Energy (MNRE), targets the installation of 40,000 MW by 2026, with a focus on residential sectors. It offers Central Financial Assistance (CFA), covering 40% of costs for systems up to 3 kW and 20% for systems between 3 kW and 10 kW, plus incentives for communal facilities in housing societies. Residents can apply via the National Portal for Rooftop Solar or state DISCOM portals, with subsidies directly transferred post-installation and inspection. This initiative supports India’s environmental goals by reducing CO2 emissions and enhancing energy security through increased use of renewable sources.
For more information on eligibility and application, visit the National Portal for Rooftop Solar
The Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM) Scheme, launched in March 2019, supports Indian farmers by solarizing their agricultural practices to enhance energy and water security. This multifaceted initiative comprises three components: setting up 10,000 MW of decentralized solar power plants on farmers' land, installing 14 lakh stand-alone solar pumps in off-grid areas, and solarizing 35 lakh grid-connected agricultural pumps. Farmers receive substantial financial aid, including up to 30% central financial assistance for solar setups, increasing to 50% in specific regions, alongside incentives for DISCOMs to buy the solar power generated. This scheme not only boosts farmers' incomes by lowering operational costs but also contributes to the country's sustainable energy goals.
For more details on how to apply, visit the official PM-KUSUM portal.
The Indian government's Production Linked Incentive (PLI) Scheme for High Efficiency Solar PV Modules aims to enhance domestic manufacturing capacity to gigawatt scale, with a substantial investment of Rs. 24,000 crores. This initiative is designed to reduce dependence on imported solar components by incentivizing manufacturers through competitive bidding to produce higher efficiency solar modules and to use locally sourced materials. The scheme promises to generate direct and indirect employment, drive substantial investments, and support technological advancements in the solar industry. It's part of India's broader strategy to bolster energy security and support the Atmanirbhar Bharat initiative for self-reliance.
For more information and to be updated with the latest developments, visit the official MNRE website.
The Delhi Solar Energy Policy 2023, an initiative by the Delhi government, targets expanding the city's solar capacity to 4,500 MW by 2026-27, blending 750 MW of rooftop solar within the state with about 3,750 MW of utility-scale solar from outside. Aimed at making solar power both accessible and affordable, the policy provides financial incentives such as Generation Based Incentives for various consumer sectors and a capital subsidy for residential installations. It also introduces innovative community and net metering options to maximize space and financial efficiency for solar adopters. Furthermore, the policy supports the Renewable Energy Service Company (RESCO) model, facilitating solar adoption without upfront capital investment, and is designed to significantly lower electricity costs, increase energy security, and contribute to environmental sustainability.
For more detailed insights and guidelines, please explore the official Delhi government energy portal
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Bottom Line
Embrace the sunshine and join the movement towards a brighter future in India. Solar power transcends being merely a limitless source of energy; it represents our collective stride towards self-reliance, away from the clutches of fossil fuels. Imagine a robust future where every home transforms into a self -sustaining power station, flourishing on the virtues of clean energy. This reality affirms that sustainability is within reach. Our focus extends beyonds mere subsidy schemes -- it's a commitment to safeguarding our Earth. The sun's energy is exhaustible; let's elevate this vision. Togeather, we can fuel the drive for a cause that will unite us in achieving a greener tomorrow
Yes, India provides several subsidies for solar panels, including the PM-Surya Ghar: Muft Bijli Yojana, PM Kusum Yojana, and Phase II of the Grid Connected Rooftop Solar Programme by the Ministry of New and Renewable Energy (MNRE). Additionally, certain states offer extra incentives alongside these central schemes.
Eligibility for the PM Surya Ghar Muft Bijli Yojana requires that applicants be Indian citizens with a suitable rooftop for solar panel installation, a valid electricity connection, and no previous subsidy for solar systems.
To apply for the PM Surya Ghar Muft Bijli Yojana, register on the official portal, choose your state and provider, and submit your consumer details. After installation by an approved vendor and verification, the subsidy is credited within 30 days.
To apply for a rooftop solar subsidy, register on the National Portal for Rooftop Solar. Select your state and electricity provider, submit consumer details, and follow steps for installation with a registered vendor. Once the system is verified by DISCOM, the subsidy amount is transferred directly to your bank account, simplifying the process from application to subsidy release.
Yes, commercial solar installations in India are eligible for subsidies under the Grid-connected Rooftop Solar Scheme (Phase-II). The subsidy covers 40% for the first 3 kW and 20% for additional capacity up to 10 kW. These incentives are managed through local Electricity Distribution Companies (DISCOMs) that facilitate the process and ensure standardization and quality through empaneled vendors.
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