
Rising Trend of Commercial Rooftop Solar in India: Transforming Business Energy Use
Date: 2025-04-08
Discover how the rising trend of commercial rooftop solar in India is transforming energy use for businesses. Learn about key benefits, industry growth, and the future of sustainable power solutions.
India’s Commercial Rooftop Solar Surge: Powering a Greener Business Future
India is swiftly positioning itself at the forefront of the global renewable energy movement, with ambitious plans to achieve 500 GW of total capacity by 2030. Solar power alone is set to account for 280 GW of that target. A mix of escalating electricity prices and stronger corporate sustainability commitments is accelerating the adoption of rooftop solar systems in the commercial and industrial (C&I) sector—an essential component of India’s clean energy roadmap.
As per data from the Ministry of New and Renewable Energy (MNRE), India’s grid-connected rooftop solar capacity currently stands at 16.28 GW, contributing significantly to the country’s overall solar capacity of over 100 GW.
Understanding Commercial Rooftop Solar
Commercial rooftop solar refers to the installation of solar photovoltaic (PV) systems on the rooftops of business premises. These setups allow companies to generate electricity onsite, decreasing their reliance on traditional power sources and reducing operational costs. It’s a flexible and scalable solution that benefits a wide range of sectors, including manufacturing, education, textiles, and public institutions.
What’s Driving Businesses Toward Rooftop Solar?
1. Cutting Down Electricity Expenses
Switching to rooftop solar enables companies to reduce their dependency on costly grid power and diesel-based generators. Solar energy provides a more predictable and stable cost structure, helping businesses insulate themselves against fluctuating power tariffs.
2. Attractive Returns and Short Payback
Thanks to falling costs of solar panels and financing models like OPEX (Operational Expenditure) and RESCO (Renewable Energy Service Company), companies can now install solar with little or no upfront capital. Most businesses recover their investment within 3 to 5 years and enjoy free electricity thereafter.
3. Supportive Government Policies
While there are limited direct subsidies for commercial solar, businesses can take advantage of supportive policies such as net metering, which allows them to send surplus electricity back to the grid and reduce monthly bills. Additional benefits like accelerated depreciation (AD) help companies reduce tax burdens, and various state-level programs offer further cost advantages.
4. Strengthening Sustainability Goals
Solar adoption plays a critical role in helping businesses meet their ESG (Environmental, Social, and Governance) goals. It cuts carbon emissions, reinforces green credentials, aligns with regulatory compliance, and builds a more environmentally responsible brand image.
Leading Rooftop Solar Projects in India
India is already home to several impressive C&I rooftop solar installations:
- Arvind Limited, Gujarat: Commissioned a 16.2 MW rooftop solar system at its Santej facility—the largest at a single location in the country. It produces about 22 million units of electricity each year.
- RSSB Educational & Environmental Society, Punjab: Deployed a 12 MW rooftop system across 8 locations at Radha Soami Satsang Beas in Amritsar. This project generates more than 15 million units annually, offsetting over 19,000 tonnes of CO₂ emissions.
Incentives Available for C&I Solar Installations
Although the government’s PM-Surya Ghar: Muft Bijli Yojana primarily supports residential users, commercial entities can still benefit from multiple financial and regulatory incentives that enhance the appeal of solar investments.
Key Incentives for Businesses:
- Accelerated Depreciation (AD): Allows 40% depreciation in the first year, reducing tax liabilities significantly.
- GST & ITC: Solar equipment is taxed at 12%, and businesses can claim Input Tax Credit.
- Net Metering & Power Banking: Lets companies earn credit by exporting excess electricity to the grid.
- Renewable Energy Certificates (RECs): Enables trading of clean energy credits in the market.
- OPEX & RESCO Financing: Offers long-term energy savings without any upfront cost, via Power Purchase Agreements (PPAs).
- State-Level Incentives: States like Rajasthan offer electricity duty exemptions and other financial benefits.
Rooftop Solar: A Wise Choice for Modern Enterprises
As technology improves—with better energy storage options, smarter monitoring tools, and evolving government support—India’s commercial rooftop solar sector is set for explosive growth.
For forward-thinking businesses, investing in rooftop solar is not just about cutting costs—it’s about long-term energy independence, environmental responsibility, and future-proofing operations. At Ornate Solar, we specialize in delivering end-to-end solar solutions—from large-scale commercial projects to custom solar innovations designed to meet unique energy goals.