Subsidy Scheme

Government subsidy scheme for rooftop solar systems

Both the Central Government as well as State Nodal Agencies (SNAs) offer subsidy schemes to the people for installing rooftop PV systems. This encourages people to exploit renewable energy and to cut their electricity bill.

According to the Ministry of New and Renewable Energy, the Central Government pays 30% of the benchmarked installation cost for rooftop PV systems. This subsidy is applicable in states that are in the general category. However, a subsidy of up to 70% of the benchmarked installation cost is offered in some states that lie in the special category -- North MNRE PV Rooftop Cell. These include states such as Uttarakhand, Sikkim, Himachal Pradesh, Jammu & Kashmir and Lakshadweep. In addition to this, State Nodal Agencies also offer subsidies in various states.

This subsidy scheme is applicable for institutional, residential and social sectors. However, it is not applicable to the commercial sector, industrial sector and public sector undertakings. PSUs are eligible to avail incentives on the basis of energy generation.