Solar Rooftop Subsidy Scheme in India, 2023

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The Ministry of New and Renewable Energy (MNRE) launched the Rooftop Solar Programme (RTS) to encourage the installation of rooftop solar systems on homes and other residential buildings. This programme provides CFA / Solar Subsidy to homeowners who install rooftop solar systems, thus reducing their solar power plant installation cost and electricity bills It increases energy security, financial savings and also contributes towards environmental sustainability by  reducing carbon emissions.

In order to simplify the subsidy procedures for residential consumers Hon'ble Prime Minister Narendra Modi joined hands with MNRE to launch the National Portal For Rooftop Solar on 30th August 2022. This portal eases the process of applying and receiving solar subsidies for solar power plants installed under Rooftop Solar Programme Phase-II.

On the National Portal any residential consumer from any part of the India can apply for installation of Rooftop Solar System and get CFA directly in his/her bank account. It also provides information about subsidy schemes, incentives, and other benefits available under this scheme thus making it easier for households to apply for and claim the subsidy.

Solar Subsidy Benefits To Home Owners

More and more people are now switching to solar power and are installing solar systems. The new simplified solar subsidy scheme 2023 is a great initiative to promote the use of renewable energy in India. All these features make this scheme an attractive option for those looking to switch to renewable energy sources in India. The financial benefits of solar subsidy scheme for home owners or residential complexes are as follows:

System Generation Capacity Applicable Subsidy - All States Applicable Subsidy - North East & Hilly States/UTs*
1kW to 3kW Rs. 14588/- per kW Rs. 17662/- Per kW
Above 3kW to 10kW Rs. 14588/- per kW for first 3 kW
Rs. 7294/- per kW for remaining capacity
Rs. 17662/- per kW for first 3 kW
Rs. 8831/- per kW for remaining capacity

Resident Welfare Associations Group Housing Societies (RWA/GHS)

Rs. 7294/kW for common facilities up to 500 kWp @ 10 kWp per house. Rs. 8831/kW for common facilities up to 500 kWp @ 10 kWp per house

*Sikkim, Uttarakhand, Himachal Pradesh, UT of Jammu & Kashmir, Ladakh, Lakshadweep, and Andaman & Nicobar Islands

Illustrated Central Govt. Solar Subsidy Calculation

Here we have shown the calculation of the subsidy that a residential consumer can get any where In India (except North East & Hilly States/UTs). For North east and hilly states & union territories you can refer to the subsidy amount given above. 

Rooftop Solar System Capacity Applicable Subsidy - All States
2.5 kW Solar System Rs.14588/- X 2.5 = Rs. 36,470/-
3 kW Solar system Rs.14588/- X 3 = Rs. 43,764/-
4 kW Solar System Rs.14588/- X 3 + Rs. 7294/- X 1 = Rs. 51,058/-
5 kW Solar System Rs.14588/- X 3 + Rs. 7294/- X 2 = Rs. 58,352/-
6.5 kW Solar System Rs.14588/- X 3 + Rs. 7294/- X 3.5 = Rs. 69,293/-
10 kW Solar System Rs.14588/- X 3 + Rs. 7294/- X 7 = Rs. 94822/-

 *CFA/Subsidy rates mentioned above are for illustration purpose only

Important Guidelines To Get CFA / Subsidy

  • The plant capacity eligible for CFA/subsidy would be calculated after considering the capacity already installed at the site.
  • The subsidy amount will be calculated on the basis of total solar module capacity / solar inverter capacity / capacity approved by DISCOM, whichever is lower.
  • It is mandatory to install the rooftop solar plant through registered vendors of the concerned DISCOM 
  • Installation must be done as per the guidelines and technical specifications issued by MNRE
  • Only indigenously manufactured solar panels / modules (DCR Modules) from ALMM Listed Solar Panel Manufacturers shall be used for installation of the rooftop solar plant.

Where and How To Apply For Solar Rooftop Subsidy In 2023

All Residents interested in installing the on-grid solar rooftop system under the new simplified procedure must apply through National Portal For Rooftop Solar. To get the solar system installed at your home and enjoy the subsidy benefits, follow the below-mentioned basic steps : 

  1. Download Sandes App and register on the national portal.
  2. Register using the electricity connection number/consumer number mentioned in your bill, Email Id & Mobile number.
  3. Now Login using Consumer Number & Mobile Number.
  4. Fill the application form prefilled with the details entered at the time of registration and submit it for verification.
  5. Wait for feasibility approval from your DISCOM.
  6. After approval get the solar power plant installed from a vendor empaneled with your DISCOM
  7. Now submit the installed  plant details and apply for net metering.
  8. After net meter installation and inspection, DISCOM will generate a commissioning certificate on the portal.
  9. Submit bank account details  and canceled check to receive subsidy within 30 working days

Read more about the Detailed process of application for solar subsidy in 2023 

What Are The Potential Challenges Faced By The Applicants Of Solar Subsidy Scheme 

The Solar Subsidy Scheme is designed to help residential home owners contribute to a greener future in an easy and affordable manner. Participating in the solar subsidy scheme can be a great way to reduce electricity bills and make use of renewable energy sources. However, there are some potential challenges that participants may face when considering this scheme.

  1. There is a need for an initial investment to install solar power plant at their home or residential complex.
  2. Limited period warranty of 5 years for rooftop system (Warranty on Solar panel is 25 Years)
  3. Inverter needs replacement in 5-6 years and this adds to the overall cost of the solar power plant
  4. Participant cannot choose the system installer of his choice. He is bound to choose from those who have been registered with the portal or DISCOM.
  5. Only home owners can participate in this solar subsidy scheme. Industrial and commercial consumers are not eligible for this subsidy.



  • Suresh Babu gamit Gamit

    Solar system

  • Akhum Edwin

    How to I get Solar Rooftop Subsidy Scheme In India. Or what are the procedure of this subsidy scheme.?

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