Solar Panel Subsidy in India in 2026: A Complete Guide

June 8, 2026
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Frustrated with the summers? Heat? You know what it brings with itself, i.e., high electricity bills. And in this scorching heat, using cooling appliances is a necessity, but does your pocket allow you to tackle high electricity bills? If not, make your life a bit hassle-free by installing a solar panel system with a solar panel subsidy. Moreover, it will slash your electricity bill and make you a part of achieving India’s renewable energy goals.

If you are unaware of the solar panel subsidy till now, this write-up is for you. Here, all the details regarding the subsidy are given. Go through this till the end to save more while stepping ahead to embrace clean energy.

Eligibility Criteria to get Solar Panel Subsidy in 2026

You only become eligible for a solar panel subsidy if:

  • You are a residential property owner
  • Net-metering is approved by the DISCOM
  • Solar panel system installed by an approved vendor
  • Solar panel must remain grid-connected
  • Install solar panel components that meet the MNRE standards

Certain conditions are there upon which solar subsidy is not applicable; these are:

  • Off-grid solar systems
  • Battery-only system
  • Commercial & industrial projects

Documents needed to avail a solar panel subsidy in 2026

To claim a solar panel subsidy for your solar panel system, it is mandatory to have these documents.

  • Aadhaar card
  • Bank account details
  • Cancelled cheques
  • Net metering approvals
  • Electricity bills
  • Property ownership proof
  • Installation photographs

To install solar panels, you can connect with a Saatvik Green Energy Limited professional, who will guide or tackle the entire subsidy process.

Solar panel subsidy in India in 2026: An in-depth understanding

There are 3 kinds of government solar panel subsidies available, and one of them is a few state-based subsidy programs.

PM Surya Ghar: MUFT BIJLI YOJANA

PM Surya Ghar Muft Bijli Yojana was launched by the Indian Prime Minister Narendra Modi in 2024 with the mission of installing more than 1 crore rooftop solar panels. This is primarily for those people who can’t afford but want to switch to solar.

Under the central government-backed solar panel subsidy in India, you can get financial aid of Rs 30,000 to Rs 78,000. The solar panel system must be between 1 kW and 3 kW in capacity. Besides this, all the group housing society (GHS)/Resident welfare association (RWS) can also claim a solar panel subsidy of Rs 18,000 per kW.

Under this scheme, the solar panel subsidy is based on capacity:

  • 1-2 kW: Rs 30,000 to Rs 60,000
  • 2-3 kW: Rs 60,000 to 78,000
  • Above 3 kW: Rs 78,000

You can take a call for capacity depending on your electricity consumption.

Merits Came Along with PM Surya Ghar Muft Bijli Yojana

  • Homeowners can enjoy free electricity with minimal cost.
  • Encourage the usage of renewable energy.
  • Reduce the level of carbon emissions on the specific household level.
  • Cut down the electricity cost for both the utility and the government.

PM KUSUM

PM KUSUM stands for Pradhan Mantri Kisan Urja Suraksha Evam Utthaan Mahabhiyan. This scheme was laid down by MNRE to offer solar subsidies for farmers and agriculture-based institutions.

It comprises three major components:

Component A: Decentralized solar power plants

In this component, the government offers 60% subsidy and 30% less interest loan to assist the farmers, FPOs, Panchayats, and local institutions to install solar panel. The generated power can be used by them. Moreover, excess power can be sold to the authorized DISCOM to make some income.

Component B: Standalone Off-grid solar pumps

Individual farmers who are in remote location or low-grid areas can easily enhance their irrigation by using solar pumps. The central solar panel subsidy in India will almost cover 60% of the cost. Whereas to pay the remaining amount, the farmer can take a loan on low interest rate.

Component C: Solarization of Grid-connected pumps & feeders

All the individual farmers can attain a subsidy on solarization of existing grid-connected pumps & feeders.

The farmers for this can get up to 60% subsidy from the central and state governments.  For grid pumps, they can effortlessly avail a loan from a bank, and for feeders, they can avail a loan from NABARD or PFC/REC.

Apart from this, if you are in the Northeastern states, Ladakh, Jammu & Kashmir, Himachal Pradesh, Uttarakhand, Lakshadweep, and Andaman & Nicobar Islands, you can fetch up to 50% government subsidy for solar panels for off-grid pumps, grid-connected pumps, and feeders.

Grid Connected Rooftop Solar Programme (MNRE)

The MNRE solar panel subsidy for Grid connected rooftop solar is 40% for solar panel system up to 3 kW capacity and 20% for the capacity between 3 kW to 10 kW.

The goal of this scheme is to increase the number of rooftop solar panels in India and cut down the usage of fuel-based electricity. All the grid-connected solar panel systems get credit from the government under net metering to reduce their electricity bills.

If you any assistance of any kind regarding solar panel subsidy, connect with Saatvik’s professional, we’ll help you in the best way possible.

State-Based Solar Panel Subsidies

In addition to the central solar panel subsidies, many state governments offer solar subsidies. Here are some of the known solar panel subsidies provided by several states.

  • ₹10,000 per kW up to 3 kW in Delhi
  • ₹15,000 per kW (max ₹30,000) in Uttar Pradesh
  • ₹10,000-₹20,000 for capacity capped at 3kW in Maharashtra
  • Up to 40% in Gujarat for smaller solar system

How to apply for a solar panel subsidy in 2026 in India?

There are certain steps that you need to follow in the same manner as it is represented here.

Choose an MNRE-approved installer

Always move ahead with a reputed company like Saatvik Green Energy Limited for a solar panel system to ensure smooth and hassle-free processing.

Apply on the national rooftop solar portal

Submit your solar panel subsidy application before you go ahead with installing a solar panel.

Install Solar panels

Perform the solar panel system installation according to the MNRE guidelines.

Inspection & Net Metering

DISCOM then comes into the game, inspects the system, and installs the net meter.

Subsidy Credit

At last, the government subsidy for solar panels is directly credited into your bank account.

Why choose Saatvik for the Solar panel subsidy?

Saatvik Green Energy Limited is a leading renewable energy company. Thus, to avail your solar panel subsidy, you should always go to a credible and reputed partner. Check why to trust us.

  • Comprehensive support for solar panel subsidy
  • Dedicated post-installation service
  • MNRE-compliant installations
  • Transparent pricing
  • Top-notch solar panels & inverters

By shaking hands with Saatvik, your journey to solar panel subsidy becomes hassle-free and simple.

Solar Panel Subsidy: A Push For A Better Future

The Solar panel subsidy in India in 2026 is an opportunity like never before for every Indian homeowner. With a 3kW solar panel system costing about under Rs 60,000 and the payback period also 3 years, solar is not a choice anymore; but it is the smartest financial move one can make to embrace clean energy. Adopting solar will not cost you less but will make you reduce your electricity bill as well up to 80%.

So, don’t waste time, call Saatvik and get your solar installed along with the solar panel subsidy.

FAQ’s (Frequently Asked Questions)

It generally takes 2-4 months for the applicant to receive the subsidy amount after the successful installation and inspection. The amount of your solar panel subsidy will be directly credited to your bank account.

No, not a single commercial and industrial consumer can avail solar panel subsidy. However, they receive financial incentives for solar installations like 40% accelerated depreciation in the first year.

Mainly, it is stated that the solar panel subsidy is a one-time benefit per consumer number. Besides this, if you are expanding your existing solar panel system, rules may vary by state.

Certainly, you must buy DCR (Domestic Content Requirement) compliant modules to gain solar panel subsidy in India in 2026. It means both solar cells and panels must be manufactured in India.

To know more about the solar panel subsidy or the cost of solar panel installation, connect with Saatvik.




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