India rooftop solar guide

Solar system cost in India

A residential on-grid system often needs a planning budget of ₹60,000 to ₹80,000 per kW before subsidy. Your roof, equipment, structure, city and DISCOM process can move the final quote.

8 min readLast reviewed 3 September 2026
In brief A residential on-grid system often needs a planning budget of ₹60,000 to ₹80,000 per kW before subsidy. Your roof, equipment, structure, city and DISCOM process can move the final quote.

Planning prices by system size

Use these figures to set a budget, not to accept or reject a vendor on price alone. They are broad market estimates for standard residential on-grid installations, before central subsidy and without a battery.

SystemTypical roof areaPlanning rangeCentral subsidy, standard states*
1 kW80 to 100 sq ft₹65,000 to ₹85,000Up to ₹30,000
2 kW160 to 200 sq ft₹1.20 to ₹1.60 lakhUp to ₹60,000
3 kW240 to 300 sq ft₹1.80 to ₹2.40 lakhUp to ₹78,000
5 kW400 to 500 sq ft₹2.90 to ₹3.90 lakhUp to ₹78,000
10 kW800 to 1,000 sq ft₹5.50 to ₹7.50 lakhUp to ₹78,000

*For an eligible household using a registered vendor and compliant equipment under PM Surya Ghar. Special category states have higher rates. Confirm the amount shown in your National Portal application.

Fast estimate A 3 kW system quoted at ₹2.10 lakh would cost about ₹1.32 lakh after a ₹78,000 central subsidy, if the household and installation meet every scheme condition.

What the installed price should cover

A usable quote is more than a panel price. Ask for a line item split covering modules, inverter, module mounting structure, DC and AC cables, protection boxes, earthing, lightning protection where required, transport, installation, testing and portal support.

Roof height, weak slabs, elevated structures, long cable runs and difficult access can add cost. Meter charges and application fees depend on local rules. A battery is normally separate. A 5 kWh lithium battery can add roughly ₹1.0 to ₹1.5 lakh, depending on chemistry, usable capacity, power rating and warranty.

On-grid, hybrid or off-grid?

Hybrid

Adds backup capability and a compatible battery. Costs more and needs careful load planning.

Off-grid

Useful where grid supply is absent or poor. Battery sizing drives cost and maintenance.

How the central subsidy changes the cost

Under the published PM Surya Ghar guidelines, standard-state support is ₹30,000 per kW for the first 2 kW and ₹18,000 for the next 1 kW. There is no extra central subsidy above 3 kW for an individual household. The usual maximum is ₹78,000.

Special category states and territories use ₹33,000 per kW for the first 2 kW and ₹19,800 for the next 1 kW, up to ₹85,800. The listed group includes Uttarakhand, Himachal Pradesh, Jammu and Kashmir, Ladakh, the North Eastern states including Sikkim, Andaman and Nicobar Islands, and Lakshadweep.

Commercial and industrial connections do not receive this residential central assistance. A battery does not increase the subsidy because the calculation uses solar module DC capacity.

Compare the parts, not just the total

  1. Match the exact module make, model, wattage and quantity.
  2. Check inverter make, capacity, phase and warranty.
  3. Ask for the proposed layout and shade assessment.
  4. Write down generation assumptions. A guaranteed daily number is a warning sign.
  5. Confirm taxes, net meter work, structure type and civil work.
  6. For subsidy, verify the vendor on the National Portal before paying.
  7. Keep payment milestones tied to equipment delivery, commissioning and documents.

Use the SolarCost.in calculator to test the quote against your bill and roof area.

Common questions

Is ₹78,000 available for every 3 kW system?

No. It is the standard-state central subsidy for an eligible residential installation that follows PM Surya Ghar rules. The final amount and eligibility appear in the National Portal process.

Does a more expensive panel increase the subsidy?

No. The central amount is linked to eligible system capacity and the scheme rate, not the vendor quote.

Can a shop or factory claim the household subsidy?

No. The published central assistance covered here is for eligible residential connections and qualifying common facilities of housing societies.

Official sources

Rules and portal processes can change. Check these sources before committing money.

  1. MNRE PM Surya Ghar CFA operational guidelines
  2. PM Surya Ghar National Portal
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