Solar Subsidy in India

The ongoing COVID situation has restricted most of us to staying home – one of the co-effects of which is an increase in our household electricity consumption. It is without a doubt that the rise in consumption is naturally accompanied by a deeper dent in our pockets. At this point, at least some of us would have definitely considered setting up rooftop solar panels to power our homes, thereby saving us from our woes of having to pay such high bills.

However, in spite of this initial urge, our experience tells us that most residential consumers get discouraged from pursuing the huge upfront cost. However, if you look at the long term benefits- solar systems have no moving parts, make no noise, occupy minimal area, produce zero emissions and require minimal maintenance. What more could one hope for from their ‘personalised’ power generation source! Well, if it is the ‘upfront cost’ that is bothering you still – then here’s some good news for you! The government of India has introduced a solar subsidy scheme for residential consumers to promote the adoption of solar power.

While people are glad that the government has introduced solar subsidy; however, consumers lack the required know-how of availing it. Many times, finer details regarding the required documentation, whom to approach, how to approach and other related complexities create a mental roadblock for consumers to pursue this further.

Does this sound like your situation?

Then, be rest assured! We at Freyr Energy have it sorted for you. At our end, we ensure that you have a complete hassle-free experience towards availing the solar panel subsidy and thereby enable you to have a successful solar panel installation at your premises. All you need to do is very simple- Reach out to us!

To help you make an informed decision, we would like to give you a basic understanding of the scheme and how you could benefit from it.

Who is this subsidy intended for?

All residential homeowners are eligible to get this solar subsidy. The very intent behind this subsidy is to encourage residential consumers and housing group societies/ resident’s welfare associations to proactively pursue the cost effective ‘solar for home energy option.

How much is the solar power subsidy in India?

The percentage of subsidy you are eligible for as per MNRE, has been described below:

Installed CapacitySubsidy Available
Up to 3 kWp40%
3 kWp to 10 kWp40% for first 3kW + 20% for capacity above 3kW
10 kWp to 500 kWp20% (for GHS or RWA)

What are the provisions of availing this solar panel subsidy in India?

There are some caveats to the financial assistance:

How can I avail this solar subsidy in India?

This scheme will be implemented through the power distribution company (DISCOM) of each area. This is where you can benefit from our team’s expertise. In addition to taking care of all the documentation, our team will explain the necessary details for the installation of the solar PV system.

At Freyr, we have been handholding homeowners pan India to harness solar energy and save big on their electricity bills every month, for the last many years. In addition, we are better positioned to help you avail the solar subsidy through our empanelment with state agencies

Now that you know what solar subsidy is, the benefits of availing it and how you can avail it hassle-free, what’s holding you back? In addition to saving on your expenses, this is a way of doing your bit to make our planet more sustainable for our children! Let’s Go Solar!

Frequently Asked Questions



All Indian residents are eligible to make the most of solar panel subsidy for their property. The idea behind the subsidy is to ensure residents and societies would come together and adopt more solar energy alternatives.

Here is the percentage breakdown for solar system for home in India government subsidy

  1. Upto 3kW – 40% subsidy
  2. From 3-10 kW – 40% subsidy for the first 3 kW and an additional 20% capacity for anything above 3 kW
  3. 10-500 kW – 20% for GHS or RWA

The solar subsidy can be availed with the help of the local power distribution company DISCOM of each area.

The top benefit of getting solar system subsidy is that it allows properties to reduce the initial cost of purchasing a panel. Additionally, the subsidy encourages more houses and apartments to go solar and save a ton of money.

At Freyr Energy, we are proud to be a part of the journey that has seen us assisting consumers in helping them to get the right solar subsidy for the panels they are installing. Our team would assist with all the right documentation to assure you receive the subsidy for the system you are installing on behalf of your house or society complex.

Solar subsidy in India allows consumers to adopt solar with a reduced price while purchasing the panels. The initial cost of installing solar is a bit steep and with the subsidy, this promotes subsidy and allows lesser hesitation among people to go solar.

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