If your monthly electricity bill is around ₹800–₹1,200, a 1 kW solar system can help reduce your dependence on grid electricity by generating clean power for essential household appliances. With the ₹30,000 subsidy available under the PM Surya Ghar Muft Bijli Yojana for eligible residential rooftop systems, a 1 kW solar system is one of the most affordable ways for homeowners to start their solar journey.
A 1 kW solar system is commonly chosen by small households with moderate electricity consumption. It can power everyday appliances such as lights, fans, a refrigerator, and a television while helping reduce monthly electricity expenses.
This guide explains the 1 kW solar panel price in India, subsidy benefits, electricity generation, installation cost, payback period, and whether a 1 kW system is suitable for your home.
Quick Takeaways
- 1 kW solar system price in India: ₹1,20,000–₹1,30,000 (on-grid system)
- Government subsidy: ₹30,000 under PM Surya Ghar Muft Bijli Yojana for eligible residential on-grid systems
- Price after subsidy: Approximately ₹90,000–₹1,00,000
- Electricity generation: Around 4–6 units per day under good sunlight conditions
- Monthly generation: Approximately 120–150 units
- Roof space required: Around 80 sq. ft. of shadow-free area
- Best suited for: Small homes with basic electricity needs such as lights, fans, TV, and refrigerator
What Is a 1 kW Solar System?
A 1 kW solar system is a rooftop solar setup with a total capacity of 1 kilowatt. It converts sunlight into electricity through solar panels and supplies power to your home through an inverter.
A 1 kW system is generally suitable for homes with lower electricity consumption. It can comfortably support appliances like:
- LED lights
- Ceiling fans
- Television
- Refrigerator
- Mobile and laptop chargers
However, it is not recommended for high-power appliances such as air conditioners, water heaters, or large motors, as these require a higher solar system capacity.
On average, a 1 kW solar system generates around 4–6 units of electricity per day depending on sunlight availability, location, panel efficiency, and system performance.
1 kW Solar Panel Price in India
The cost of a 1 kW solar system depends on multiple factors, including panel technology, system configuration, installation quality, and additional components.
Factors Affecting 1 kW Solar System Price
1. Type of Solar Panels
Solar panels are available in different technologies, including:
Monocrystalline Panels: Made from single-crystal silicon cells, these panels offer higher efficiency, better performance in limited space, and a longer lifespan compared to many other panel types.
Polycrystalline Panels: Made from multiple silicon fragments, these panels are generally more affordable but have slightly lower efficiency compared to monocrystalline panels.
Bifacial Solar Panels: These panels generate electricity from both the front and back sides by capturing direct sunlight and reflected light, improving overall energy output.
Monocrystalline and bifacial panels generally have higher efficiency and may cost more compared to traditional options.
Related article: Types of Solar panels in India
2. System Configuration
The price varies depending on whether you choose:
- On-grid Solar System: An on-grid system is connected to the electricity grid and allows homeowners to use solar power while sending excess electricity back through net metering.
- Off-grid Solar System: An off-grid system works independently from the electricity grid and uses batteries to store solar energy for use during power outages.
- Hybrid Solar System: A hybrid system combines solar panels, grid connection, and battery storage to provide solar power along with backup electricity when needed.
On-grid systems are usually the most affordable option because they do not require batteries.
3. Battery Storage
Battery backup increases the overall system cost significantly. Off-grid and hybrid systems include batteries, making them more expensive compared to on-grid systems.
1 kW Solar System Price List in India
| Solar System Type | Approximate Price | Subsidy |
| 1 kW On-grid solar system | ₹1,20,000–₹1,30,000 | ₹30,000 |
| 1 kW Off-grid solar system | ₹1,90,000–₹2,10,000 | Not applicable |
| 1 kW Hybrid solar system | ₹1,60,000–₹1,80,000 | Not applicable |
| 1 kW Solar panels only | ₹45,000–₹55,000 | Not applicable |
For most residential customers, an on-grid solar system is the preferred choice because it offers lower installation costs and qualifies for government subsidy benefits.
1 kW Solar Panel Price After Subsidy
Under the PM Surya Ghar Muft Bijli Yojana, eligible residential customers installing an on-grid rooftop solar system can receive a ₹30,000 subsidy for a 1 kW system.
| System Cost | Subsidy | Approximate Final Cost |
| ₹1,20,000–₹1,30,000 | ₹30,000 | ₹90,000–₹1,00,000 |
The final amount may vary depending on the installer, location, electricity connection requirements, and additional installation needs.
1 kW Solar Subsidy Under PM Surya Ghar Muft Bijli Yojana
The PM Surya Ghar Muft Bijli Yojana is a central government initiative that supports residential rooftop solar adoption across India.
Eligibility for 1 kW Solar Subsidy
To receive the subsidy, homeowners generally need:
- A residential electricity connection
- An eligible rooftop solar installation
- Installation through an approved vendor
- Net metering approval from the electricity distribution company
Documents Required
Applicants may need:
- Electricity bill
- Aadhaar card
- Bank account details or cancelled cheque
- Property ownership or occupancy proof
How to Apply for Subsidy
The general process includes:
- Select an approved solar installer.
- Install the rooftop solar system.
- Complete net metering formalities.
- Upload installation details on the PM Surya Ghar portal.
- Complete verification.
- Receive subsidy directly into your bank account after approval.
How Much Electricity Does a 1 kW Solar System Generate?
A 1 kW solar system can generate approximately:
- Daily generation: 4–6 units
- Monthly generation: 120–150 units
- Annual generation: Around 1,440–1,800 units
The actual generation depends on:
- Location
- Sunlight availability
- Roof direction
- Shadow-free space
- Panel efficiency
- Weather conditions
Assuming an average electricity tariff of ₹7 per unit, a 1 kW system can help save approximately ₹10,000–₹12,000 annually.
Is a 1 kW Solar System Enough for Your Home?
A 1 kW solar system is ideal for smaller households with basic electricity consumption.
It is suitable for:

The right system size depends on your monthly electricity consumption and future energy requirements.
Advantages of a 1 kW Solar System

1. Lower Electricity Bills
Solar power reduces your dependence on grid electricity and helps lower monthly electricity expenses.
2. Affordable Entry Point
A 1 kW system has one of the lowest upfront costs among rooftop solar systems, making it suitable for homeowners starting their solar journey.
3. Environment-Friendly Energy
Solar power generation produces clean electricity without direct carbon emissions.
4. Long-Term Savings
Solar panels typically have a lifespan of 25 years or more, allowing homeowners to benefit from long-term electricity savings.
5. Suitable for Small Homes
A 1 kW system is a practical choice for households with limited electricity consumption and available rooftop space.
1 kW Solar Installation Cost Breakdown
The total price of a 1 kW on-grid solar system (₹1,20,000–₹1,30,000) includes all major components required for installation. The cost covers solar panels, inverter, mounting structure, wiring, installation, net metering support, and safety components.
There are no additional hidden charges. The final system price includes all necessary equipment and installation services. Any additional cost, if applicable due to specific site requirements, will be communicated clearly before installation.
| Component | Approximate Cost |
| Solar panels | ₹48,000–₹55,000 |
| Solar inverter | ₹15,000–₹18,000 |
| Mounting structure | ₹8,000–₹10,000 |
| Wiring and electrical components | ₹10,000–₹12,000 |
| Installation and labour | ₹15,000–₹17,000 |
| Net metering and documentation | ₹4,000–₹5,000 |
| Earthing and safety components | ₹3,000–₹5,000 |
The above cost breakdown is indicative and may vary based on solar panel brand, location, roof condition, and installation requirements. A detailed quotation from your solar installer will provide the exact cost for your property.
1 kW Solar System Installation Process

Installing a 1 kW solar system generally involves the following steps:
1. Site Assessment
The installer checks:
- Available rooftop space
- Shadow conditions
- Roof strength
- Sunlight exposure
2. System Design and Quotation
The solar company recommends the suitable system configuration and provides a detailed cost estimate.
3. Installation
Solar panels, inverter, mounting structure, and electrical connections are installed. For a 1 kW system, physical installation is usually completed within one or two days.
4. Net Metering Setup
The installer coordinates with the electricity department for net meter installation and approval.
5. Subsidy Application
Installation details are submitted for subsidy processing after successful system commissioning.
1 kW Solar System Payback Period
The payback period depends on electricity tariff, consumption, and installation cost.
For example:
- Installation cost after subsidy: ₹90,000–₹1,00,000
- Annual savings: ₹10,000–₹12,000
Most homeowners can recover their investment within several years and continue benefiting from lower electricity costs throughout the remaining panel lifespan.
Why Choose Freyr Energy for a 1 kW Solar System?
Freyr Energy helps homeowners adopt rooftop solar with complete installation support, quality components, and assistance throughout the solar journey.
Based on 20,000+ rooftop solar installations across India, Freyr Energy has helped homeowners choose suitable system sizes based on electricity consumption, roof availability, and budget.
Freyr Energy provides:
- Complete rooftop solar installation support
- Assistance with the subsidy application process
- Quality solar components
- Long-term service support
- Customer assistance after installation
Use the Freyr Energy Solar Calculator to estimate your solar system size, savings, subsidy eligibility, and expected cost based on your electricity usage.
Solar Panel Price List in India (2026)
Apart from a 1 kW system, homeowners can choose different capacities depending on electricity consumption.
| Solar System Size | Approximate Price |
| 1 kW solar system | ₹1,20,000–₹1,30,000 |
| 2 kW solar system | ₹1,80,000–₹1,90,000 |
| 3 kW solar system | ₹2,30,000–₹2,40,000 |
| 5 kW solar system | ₹3,50,000–₹3,70,000 |
| 10 kW solar system | ₹6,30,000–₹6,40,000 |