PM Surya Ghar scheme: Rooftop solar installation, subsidy and benefits

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The PM Surya Ghar Scheme, an ambitious initiative launched by the Government of India, aims to promote the adoption of solar energy in residential households across the country. The PM Surya Ghar Muft Bijli Yojana was launched in February 2024. This scheme is part of the government’s broader commitment to transitioning towards sustainable energy sources and reducing carbon footprints. The PM Surya Ghar Scheme is expected to significantly contribute to India’s renewable energy goals by harnessing the power of the sun to meet domestic energy needs.

Benefits of the PM Surya Ghar Scheme

  1. Cost Savings: Homeowners can reduce their electricity bills substantially by generating their own solar power. Over time, the savings on electricity can offset the initial investment in solar panels.
  2. Environmental Impact: By utilizing solar energy, households can decrease their reliance on fossil fuels, thus reducing greenhouse gas emissions and contributing to a cleaner environment.
  3. Energy Independence: Solar power systems provide energy independence, reducing dependence on grid electricity and improving energy security.
  4. Increased Property Value: Homes equipped with solar power systems are often valued higher in the real estate market due to their lower operational costs and sustainable energy use.
  5. Government Incentives: The scheme offers substantial subsidies and financial assistance to cover a portion of the installation costs, making solar energy more affordable for the masses.

Why Was the PM Surya Ghar Scheme Launched?

The PM Surya Ghar Scheme was launched to address multiple objectives:

  1. Promote Renewable Energy: To increase the share of renewable energy in India’s energy mix, reducing dependence on non-renewable sources.
  2. Climate Change Mitigation: To combat climate change by reducing carbon emissions and promoting environmentally friendly energy practices.
  3. Energy Security: To enhance energy security by diversifying the energy sources and reducing the strain on conventional power plants.
  4. Economic Growth: To stimulate economic growth by creating jobs in the solar energy sector and encouraging investments in renewable energy infrastructure.
  5. Sustainable Development: To achieve sustainable development goals by providing clean and affordable energy to households.

Also read: PM kisan

Eligibility Criteria:

  • The scheme is open to all Indian citizens who own residential properties.
  • The property should have a suitable rooftop or open area for the installation of solar panels.
  • The applicant should comply with the technical standards and specifications set by the Ministry of New and Renewable Energy (MNRE).

PM Surya Ghar subsidy

Subsidy Breakdown:

The government provides a tiered subsidy based on the capacity of the solar power system you choose to install. Here’s a breakdown of the subsidy amounts:

  • Up to 2 kW Capacity: For systems with a capacity of up to 2 kW (kilowatt), which is suitable for households with average monthly consumption of 0-150 units, the subsidy ranges from ₹30,000 to ₹60,000. The exact amount may vary depending on the final scheme guidelines.
  • 2-3 kW Capacity: Households with a monthly consumption of 150-300 units can opt for systems between 2 kW and 3 kW capacity. The subsidy for this range falls between ₹60,000 and ₹78,000.
  • Above 3 kW Capacity: For larger households with consumption exceeding 300 units, systems above 3 kW capacity might be suitable. However, the subsidy amount is capped at a maximum of ₹78,000.
Average Monthly Electricity Consumption (units)Suitable Rooftop Solar Plant Capacity
0-1501 – 2 kW
150-3002 – 3 kW
300 and aboveAbove 3 kW

Potential Charges:

While the scheme offers a significant subsidy, there might be some associated charges to consider:

  • Remaining System Cost: After applying the subsidy, you may need to pay the remaining cost of the solar power system. This will depend on the chosen system size, brand, and components.
  • Installation Charges: The cost of installing the solar panels on your rooftop by a certified vendor might need to be borne by you.
  • Metering and Grid Connection Charges: There could be potential charges for any necessary metering upgrades or connection adjustments needed for your home to interact with the electricity grid.

Example Calculation

For a 5 kW solar power system:

  1. System Cost:
    • 5 kW system @ ₹50,000 per kW: ₹2,50,000
    • Installation and other charges: ₹1,00,000 (approx.)
    Total Cost Before Subsidy: ₹3,50,000
  2. Subsidy Calculation:
    • For the first 3 kW: 40% of ₹1,50,000 = ₹60,000
    • For the remaining 2 kW: 20% of ₹1,00,000 = ₹20,000
    Total Subsidy: ₹80,000
  3. Net Cost After Subsidy:
    • ₹3,50,000 – ₹80,000 = ₹2,70,000

How to Apply :

  • visit the official website of PM Surya Ghar
  • click on the Apply for RoofTop solar option and register
  • To register select your state, District, Electricity Distribution Company, Consumer account number and Mobile number
  • After registering, log in with your mobile number and apply for rooftop solar
  • Once you get the feasibility approval, Install the plant by any one of your registered Vendors in the electricity distribution company DISCOM (visit here to get vendors list DISCOM list)
  • once you get the Plant installed, submit the plant details and apply for a net meter
  • commissioning certificate is generated from the portal after installation of the net meter and inspection by DISCOM
  • once you get the commissioning report, submit the bank account details and you will receive your subsidy amount within 30 days

Frequently Asked Questions:

1. What is the PM Surya Ghar Scheme?

The PM Surya Ghar Scheme, launched in February 2024, is a government initiative to promote solar energy adoption in residential households by offering financial incentives and subsidies.

2. What are the benefits of the PM Surya Ghar Scheme?

Benefits include significant cost savings on electricity bills, environmental impact reduction, energy independence, increased property value, and government subsidies.

3. Who is eligible for the PM Surya Ghar Scheme?

Indian citizens who own residential properties with suitable rooftops or open areas for solar panel installation are eligible. Applicants must comply with the Ministry of New and Renewable Energy (MNRE) standards.

4. What is the suitable solar plant capacity based on electricity consumption?

0-150 units: 1 – 2 kW
150-300 units: 2 – 3 kW
300 and above units: Above 3 kW

5. Why was the PM Surya Ghar Scheme launched?

The scheme was launched to promote renewable energy, combat climate change, enhance energy security, stimulate economic growth, and achieve sustainable development goals.

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