Solar Panel System Price and Subsidy in Odisha 2025

4 min read
Solar Panel Subsidy in Odisha

Odisha, known for its rich natural resources and diverse landscape, is fast emerging as a hub for clean energy. With rising electricity bills and increasing awareness of climate change, many homeowners, businesses, and institutions are now turning to solar power. If you're in Odisha and planning to install a solar panel system, this guide will help you understand the current solar panel prices, available government subsidies, and how to make the most of your investment in 2025.

Why Go Solar in Odisha?

Odisha enjoys over 300 sunny days a year, making it an ideal location for solar energy generation. Whether you're in Bhubaneswar, Cuttack, Sambalpur, or a rural village, installing a solar panel system can:

  • Reduce your electricity bills

  • Ensure uninterrupted power supply, especially in areas with frequent power cuts

  • Lower your carbon footprint

  • Increase your property value

  • Benefit from government subsidies and incentives

Solar Panel System Price in Odisha (2025)

The total cost of a solar panel system depends on various factors such as:

  • System capacity (kW)

  • Type of system (On-grid, Off-grid, Hybrid)

  • Panel quality (Mono PERC, or advanced N-type TOPCon)

  • Inverter brand and battery backup (for off-grid systems)

  • Installation and wiring charges

Average Price of Solar Panel Systems in Odisha

System Size

System Type

Price Range (Before Subsidy)

1 kW

On-Grid

₹65,000 – ₹75,000

2 kW

On-Grid

₹1.25 lakh – ₹1.45 lakh

3 kW

On-Grid

₹1.85 lakh – ₹2.10 lakh

5 kW

On-Grid

₹3.00 lakh – ₹3.50 lakh

10 kW

On-Grid

₹5.80 lakh – ₹6.50 lakh

Note: Prices may vary based on the installer, quality of components, and location.

3. Types of Solar Systems Available

1. On-Grid Solar System

  • Connected to the electricity grid

  • Excess energy is exported to the grid

  • Suitable for homes and businesses with reliable grid power

  • Eligible for net metering and government subsidy

2. Off-Grid Solar System

  • Works independently using batteries for backup

  • Ideal for remote or rural areas with frequent power cuts

  • No net metering

  • Generally not covered under subsidy programs

3. Hybrid Solar System

  • Combination of on-grid and off-grid systems

  • Includes battery backup and grid connectivity

  • More expensive but offers greater flexibility

Solar Subsidy in Odisha (2025)

To promote clean energy, the Central Government of India offers subsidies on residential solar installations under the PM Surya Ghar Muft Bijli Yojana (earlier known as Rooftop Solar Programme Phase II). Odisha residents can benefit from this scheme.

Central Government Subsidy Structure (2025)

System Capacity

Subsidy Amount

Up to 2 kW

₹30,000 per kW

2 kW to 3 kW

₹60,000 for 2 kW + ₹18,000 for 3rd kW (Total ₹78,000)

Above 3 kW (up to 10 kW)

₹78,000 (fixed subsidy)

The subsidy is only applicable to on-grid residential solar systems.

How to Avail Subsidy in Odisha

  1. Visit the official portal: https://pmsuryaghar.gov.in
  2. Register using your electricity consumer number
  3. Apply for rooftop solar system installation
  4. Choose a registered vendor from the list provided
  5. Get the system installed and inspected
  6. Receive the subsidy amount directly in your bank account after verification

State Government Subsidy in Odisha (2025)

Odisha Renewable Energy Development Agency (OREDA) is the nodal body for promoting solar energy in the state. While the central government offers major subsidies, OREDA also facilitates implementation and may offer additional support or incentives under specific programs like:

  • Soura Jalanidhi Yojana – for farmers using solar-powered irrigation pumps.
  • State-level rooftop solar schemes (when applicable).

As of 2025, Odisha primarily implements the central subsidy scheme, but OREDA ensures quality control, inspection, and beneficiary support throughout the solar installation process.

Net Metering Policy in Odisha

The net metering policy in Odisha allows solar users to export excess electricity back to the grid. The electricity utility provides credits for the units exported, which are adjusted in your monthly bill.

Key Features:

  • Available for systems up to 500 kW
  • Applicable for residential, commercial, and industrial sectors
  • Promotes faster return on investment (ROI)

Estimated Payback Period

Thanks to subsidies and net metering, the payback period for solar panel systems in Odisha has reduced significantly.

Example: 3 kW System

  • Cost after subsidy: ₹1.10 lakh (approx.)
  • Monthly savings: ₹2,500 to ₹3,000
  • Annual savings: ₹30,000 to ₹36,000
  • Payback period: 3 to 4 years

After the payback period, electricity is practically free for the remaining 20+ years of the system life!

Best Solar Panel Types for Odisha

When choosing a solar panel for your home or business in Odisha, go for high-efficiency and durable models.

Recommended Options:

  • Mono PERC panels: High efficiency and space-saving
  • TOPCon panels: Latest technology with better performance

Top Tips for Solar Buyers in Odisha

  • Always choose MNRE-approved vendors
  • Compare quotes from at least 2-3 companies
  • Ensure proper panel angle and shadow-free installation
  • Prefer brands with good warranty (25 years for panels)
  • Ask about after-sales service and annual maintenance

Solar for Businesses & Industries in Odisha

Large consumers like rice mills, MSMEs, cold storages, and educational institutes in Odisha can also benefit from solar by:

  • Reducing operational costs
  • Availing depreciation benefits under the Income Tax Act
  • Using group captive or open access solar power models

However, subsidies for commercial users may not be applicable like they are for homeowners.

Conclusion

Switching to solar in Odisha in 2025 is a smart, eco-friendly, and financially sound decision. With solar panel system prices falling, government subsidies, and strong sunlight availability, there has never been a better time to go solar—whether you're a homeowner or business.

Investing in solar not only brings long-term savings but also contributes to Odisha’s journey towards a cleaner, greener future.

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