Central Government Solar Subsidy Structure
- March 19, 2025
- Posted by: Admin
- Categories: Government Policies, Solar & Renewable Energy

1. Introduction
The sun, a limitless source of clean energy, offers a promising pathway toward a sustainable future. The Indian government, recognizing this potential, has implemented a strong subsidy structure to encourage the adoption of rooftop solar (RTS) systems, especially for residential households and Group Housing Societies/Resident Welfare Associations (GHS/RWAs). This blog explains the details of the central government’s solar subsidy scheme and how you can benefit from it.
2. The Power of Central Financial Assistance (CFA)
The Ministry of New and Renewable Energy (MNRE) provides Central Financial Assistance (CFA) to make solar energy more affordable for homeowners and communities. This initiative aims to reduce electricity bills, promote self-reliance, and contribute to India’s renewable energy goals.
3. Subsidy for Residential Households
The CFA for residential households is structured to cater to varying energy needs:
3.1 Initial Capacity (Up to 2 kW)
- A subsidy of ₹30,000 per kW is provided.
- A 2 kW system can receive a subsidy of up to ₹60,000.
3.2 Additional Capacity (Up to 3 kW)
- For systems exceeding 2 kW, an additional subsidy of ₹18,000 per kW is offered for capacity up to 3 kW.
- A 3 kW system will receive ₹60,000 for the first 2 kW and ₹18,000 for the additional 1 kW, making it a total of ₹78,000.
3.3 Total Subsidy Cap
- The total subsidy for systems larger than 3 kW is capped at ₹78,000.
- Any residential system larger than 3 kW will receive a maximum subsidy of ₹78,000.
4. Matching Solar Capacity to Household Consumption
Monthly Consumption (Units) | Suitable Rooftop Solar Plant Capacity | Subsidy Support |
0-150 | 1-2 kW | ₹30,000 to ₹60,000 |
150-300 | 2-3 kW | ₹60,000 to ₹78,000 |
>300 | Above 3 kW | ₹78,000 |
5. Subsidy for Group Housing Societies/Resident Welfare Associations (GHS/RWAs)
5.1 Subsidy Details
- ₹18,000 per kW for common facilities, including EV charging.
- Capacity: Up to 500 kW (@3 kW per house).
- The 500kW limit includes individual rooftop plants installed by individual residents in the GHS/RWA.
6. Streamlined Application Process
To simplify the subsidy application process, the government has launched the National Portal:
- Website: https://pmsuryaghar.gov.in
- This online platform allows homeowners and GHS/RWAs to submit their applications conveniently.
7. Important Notes
- For detailed information and scheme guidelines, visit the official documentation available on the National Portal.
- It is wise to consult with a qualified solar installer to determine the most suitable system for your needs.
- State government subsidies can be combined with central subsidies, increasing the financial benefits of installing a solar system.
8. Embracing Solar: A Sustainable Future
The central government’s subsidy structure provides a significant financial incentive for homeowners and communities to adopt rooftop solar energy. Solar energy can reduce our dependence on fossil fuels, lower our electricity bills, and contribute to a cleaner, greener future.