A Complete Guide to Rooftop Solar Subsidies & Schemes in India (2026)

In 2026, the main rooftop solar subsidy in India is the PM Surya Ghar: Muft Bijli Yojana, which gives residential homeowners a direct central subsidy of ₹30,000 for 1 kW, ₹60,000 for 2 kW and ₹78,000 for 3 kW or larger — plus up to 300 units of free electricity a month. Special-category (Northeast and hill) states get more, and several states add their own top-ups. You apply online at pmsuryaghar.gov.in and the subsidy is credited directly to your bank account after installation and DISCOM inspection.

Rooftop solar has never been more affordable in India, thanks to the government’s flagship PM Surya Ghar scheme and a layer of state top-ups. But the details — how much you get, who qualifies and how to claim it — trip up a lot of homeowners (roughly one in three applications is rejected). This guide walks you through everything you need to know in 2026, step by step.

What is the PM Surya Ghar: Muft Bijli Yojana?

Launched in February 2024, PM Surya Ghar (“Free Electricity from the Sun”) is India’s largest-ever residential rooftop solar programme, with a budget of over ₹75,000 crore and a goal of solarising 1 crore (10 million) homes by FY 2026–27. It does two things: it pays a direct subsidy toward your rooftop solar system, and it delivers up to 300 units of free electricity a month through net metering. By mid-2026 the scheme had crossed 40 lakh household installations and disbursed well over ₹22,000 crore in central assistance — making it the biggest single demand driver in India’s residential solar market.

How much subsidy do you actually get?

The central subsidy is fixed by system size, capped at ₹78,000:

• 1 kW system: ₹30,000 subsidy.
• 2 kW system: ₹60,000 subsidy.
• 3 kW or larger: ₹78,000 subsidy (the maximum).

To put that in perspective, a 3 kW system that costs roughly ₹1.9–2 lakh can come down to about ₹1.1–1.2 lakh after the subsidy — and then generate up to 300 free units a month, often wiping out a typical household bill. Special-category states (the Northeast and hill states) receive higher central assistance, and states like Rajasthan, Uttar Pradesh and Bihar offer additional top-ups on top of the central amount.

Who is eligible?

• You must be an Indian resident and the homeowner (or have owner consent).
• You need a valid electricity connection with a sanctioned load appropriate to the system size.
• Your rooftop must have adequate, shade-free space.
• The subsidy is for the residential sector; you must use ALMM-listed modules and an empanelled vendor.

How to apply: step by step

The entire process is online through the National Portal. Here is the sequence:

Step 3: Choose the right battery chemistry

For most Indian solar projects in 2026, the choice comes down to lithium variants:

• 1. Register at pmsuryaghar.gov.in with your state, DISCOM, electricity consumer number and Aadhaar-linked mobile number.
• 2. Apply for rooftop solar and wait for DISCOM feasibility approval (usually 7–30 days).
• 3. Choose an MNRE-empanelled vendor and get your system installed.
• 4. Apply for net metering; the DISCOM installs the meter and inspects the system.
• 5. Submit the commissioning report and bank details; the subsidy is credited directly to your account, typically within 30–45 days.

A tip that avoids most rejections: make sure your name, electricity bill and Aadhaar details match exactly, and only use an empanelled vendor with ALMM-listed modules.

Financing: solar loans and the ULA model

You do not need to pay the full amount upfront. Public-sector banks offer collateral-free solar loans at concessional rates for residential rooftop under the scheme. For communities and lower-income households, a Utility-Linked Aggregation (ULA) model lets state utilities aggregate demand and drive installations — extending access well beyond individual homeowners.

Beyond residential: other rooftop pathways

PM Surya Ghar targets homes, but rooftop solar policy is broader. Commercial and industrial (C&I) users benefit from accelerated depreciation, open-access rules and falling module prices, while housing societies and government buildings have dedicated programmes. If you are a business, the economics of rooftop solar in 2026 are compelling even without a residential subsidy.

Why 2026 is the moment to act

With a fresh budget allocation for FY 2026–27, subsidised modules, low-interest loans and rising grid tariffs, the payback on rooftop solar is stronger than ever. The scheme is also driving huge demand for installers, EPCs and module makers — the ecosystem on display at REI Expo. If you want to compare rooftop products, meet installers and understand the latest scheme updates, visit the Solar Energy segment at the 2026 edition (22–24 October, Greater Noida).

Frequently Asked Questions (FAQs)

How much is the rooftop solar subsidy in India in 2026?

Under PM Surya Ghar, the central subsidy is ₹30,000 for 1 kW, ₹60,000 for 2 kW and ₹78,000 for 3 kW or larger (the maximum). Special-category states and some state governments add further top-ups.

How do I apply for the PM Surya Ghar subsidy?

Apply entirely online at pmsuryaghar.gov.in: register with your DISCOM and Aadhaar-linked mobile, get feasibility approval, install through an empanelled vendor, complete net metering and inspection, then submit your commissioning report and bank details to receive the subsidy.

How much free electricity do you get under the scheme?

Up to 300 units of free electricity per month, depending on your system size and consumption, delivered through net metering — often enough to bring a typical household bill close to zero.

How long does it take to receive the subsidy?

The subsidy is credited directly to your bank account, typically within 30–45 days of DISCOM inspection and commissioning. DISCOM feasibility approval itself usually takes 7–30 days.

Why do rooftop solar subsidy applications get rejected?

The most common reasons are mismatched details across your electricity bill, Aadhaar and application, using a non-empanelled vendor, or non-ALMM modules. Double-check documentation and use an MNRE-empanelled installer.