Rooftop Solar Subsidy Benefits for Residential Households in India
The Government of India offers attractive subsidies to encourage the adoption of rooftop solar power systems. These incentives significantly reduce the upfront cost for residential households, Group Housing Societies (GHS), and Resident Welfare Associations (RWA), making solar energy more affordable and accessible.
Below is a detailed breakdown of the rooftop solar subsidy structure and recommended solar plant capacities based on electricity consumption.
Subsidy for Residential Households
Residential consumers installing rooftop solar systems are eligible for Central Financial Assistance (CFA) as per the following structure:
🔹 Subsidy Structure
| Solar Plant Capacity | Subsidy Amount |
|---|---|
| Up to 2 kW | ₹30,000 per kW |
| Additional capacity up to 3 kW | ₹18,000 per kW |
| Systems above 3 kW | Maximum subsidy capped at ₹78,000 |
👉 Note: For systems larger than 3 kW, the total subsidy will not exceed ₹78,000, irrespective of the installed capacity.
Subsidy for GHS / RWA (Group Housing Society / Resident Welfare Association)
Group Housing Societies and RWAs can also avail subsidies for installing rooftop solar plants for common facilities, including lifts, lighting, water pumps, and EV charging stations.
🔹 Subsidy Details for GHS/RWA
₹18,000 per kW subsidy
Applicable for common facilities, including EV charging
Maximum capacity: Up to 500 kW
Capacity calculated at 3 kW per house
The upper limit includes individual rooftop solar plants installed by residents within the society
Additional Subsidy for Special States
For households and societies located in special category states, an additional 10% subsidy per kW is applicable over and above the standard subsidy.
Suitable Rooftop Solar Plant Capacity for Households
Choosing the right solar plant capacity depends on your average monthly electricity consumption. Below is a simple guide to help homeowners decide:
🔹 Recommended Capacity Based on Monthly Usage
| Average Monthly Electricity Consumption (Units) | Suitable Solar Plant Capacity |
|---|---|
| 0 – 150 units | 1 – 2 kW |
| 150 – 300 units | 2 – 3 kW |
| Above 300 units | Above 3 kW |
Conclusion
With generous government subsidies, rooftop solar systems are now more affordable than ever. Whether you are a single household or part of a housing society, installing solar not only reduces electricity bills but also contributes to a cleaner and greener future.
If you plan your system capacity wisely, you can maximize subsidy benefits and achieve faster returns on investment.
