Latest Solar Panel Subsidies by Indian Government (2025 Update)

As India accelerates its transition to renewable energy, the government has introduced several solar panel subsidies in 2025 to promote the adoption of rooftop solar systems. These initiatives aim to make solar energy more accessible and affordable for households across the country.

PM Surya Ghar: Muft Bijli Yojana

Launched in February 2024, the PM Surya Ghar: Muft Bijli Yojana is a flagship scheme targeting the installation of rooftop solar panels in 1 crore households. Under this scheme:

• Subsidy Amounts:
• ₹30,000 for 1 kW systems
• ₹60,000 for 2 kW systems
• ₹78,000 for 3 kW systems and above
• Benefits:
• Up to 300 units of free electricity per month
• Online application via the National Portal for Rooftop Solar
• Direct transfer of subsidies to beneficiaries' bank accounts

As of March 2025, the scheme has received over 47 lakh applications, with ₹4,770 crore disbursed to more than 6 lakh beneficiaries. (source)

KUSUM Solar Yojana (Kisan Urja Suraksha evam Utthaan Mahabhiyan)

Aimed at empowering farmers, the KUSUM Solar Yojana facilitates the installation of solar-powered pumps and grids for agricultural use. The scheme comprises three components:

• Component A: 10,000 MW decentralized, grid-connected solar plants on barren/farmland
• Component B: 20 lakh standalone solar pumps for off-grid areas
• Component C: Solarization of 15 lakh grid-connected agricultural pumps

Benefits:

• Up to 60% subsidy on solar pumps
• 30% loan assistance
• Farmers contribute only 10% of the total cost

Grid-Connected Rooftop Solar Programme (MNRE)

The Ministry of New and Renewable Energy (MNRE) supports solar installations for residential, institutional, and social sectors through this program.

Subsidy Details:

• 40% subsidy for systems up to 3 kW
• 20% subsidy for systems between 3 kW and 10 kW

Applications must be submitted via the National Portal for Rooftop Solar using MNRE-approved vendors and models.

State-Specific Subsidies

Several states offer additional subsidies to promote solar adoption:

• Uttar Pradesh: Additional ₹15,000 per kW subsidy, up to ₹30,000
• Maharashtra: State-aligned subsidies with post-subsidy pricing
• Delhi: Capital subsidy in addition to MNRE’s 40%
• Special Areas: Additional 10% subsidy for northeastern states, hilly regions, union territories, and islands

How to Apply for Solar Subsidies in India (2025)

1. Visit the National Portal for Rooftop Solar
2. Register using your electricity consumer number and personal details
3. Select an MNRE-empaneled vendor
4. Upload necessary documents and installation photos
5. Receive subsidy amount directly in your bank account within 30 days

For more detailed information on solar subsidies and to stay updated on the latest developments, visit the Solar Station Blog Or Visit our Explore section to find out your nearest Solar Vendor .