Pradhan Mantri Solar Yojana : The Pradhan Mantri Solar Yojana, also known as the PM Surya Ghar Muft Bijli Yojana, is a flagship initiative launched by the Government of India in February 2024 to promote the widespread adoption of rooftop solar power systems in residential households. Targeting 1 crore homes by March 2027, the scheme aims to provide each participating household with up to 300 units of free solar electricity every month. By subsidizing up to 40% of the installation cost, the government makes solar power accessible and affordable for millions, thereby reducing monthly electricity bills and encouraging sustainable energy consumption.
The scheme not only benefits individual households financially by cutting down their electricity expenses but also contributes significantly to India’s environmental goals. By generating renewable electricity on a massive scale, the initiative is projected to reduce carbon dioxide emissions by about 720 million tonnes over a 25-year period. Additionally, it supports job creation across the solar energy value chain, from manufacturing and installation to maintenance, thereby boosting the local economy and strengthening energy security through decentralized generation.
Participating households go through a simple application and installation process where they register online, select empaneled vendors, and after installation, enjoy the benefits of free solar power. Surplus energy generated can be fed back into the grid through net metering, offering further financial returns. The Pradhan Mantri Solar Yojana exemplifies India’s commitment to clean energy, providing a model for sustainable growth while empowering citizens to contribute actively to a greener future.
Background and Launch
India is one of the fastest-growing energy consumers in the world. With rising electricity demand, dependence on fossil fuels, and increasing pollution, the country urgently needs greener alternatives. Rooftop solar is seen as a practical solution because it generates electricity right where it is consumed, reducing grid pressure and saving transmission losses.
On 29 February 2024, the Union Cabinet approved this scheme with a budget of ₹75,021 crore. The target: install solar rooftops in 1 crore homes by March 2027.
This scheme builds upon earlier solar programs like the Grid Connected Rooftop Solar Phase II Programme but goes further by offering higher subsidies, free electricity, net metering, and financial incentives for various stakeholders like DISCOMs, local bodies, and vendors.
Objectives of the Scheme
The PM Surya Ghar Yojana isn’t just about solar panels — it’s about creating a greener, more self-reliant India. Its main objectives are:
- To install rooftop solar systems in 1 crore households.
- To provide 300 free electricity units per month for each participating family.
- To generate 1,000 billion units of clean energy over the lifetime of installed systems.
- To reduce 720 million tons of CO₂ emissions, making India a climate leader.
- To create jobs in solar manufacturing, installation, and maintenance.
- To achieve 30 GW rooftop solar capacity by 2026-27.
- To empower families by reducing dependence on costly electricity grids.
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Scheme Components & Financial Allocation
Here’s how the government plans to spend the ₹75,021 crore budget:
| Component | Allocation (₹ crore) | Purpose |
|---|---|---|
| Central Financial Assistance (CFA) for households | 65,700 | Subsidy for rooftop installations |
| Incentives for DISCOMs | 4,950 | Encourage distribution companies to support solar adoption |
| Model Solar Villages | 800 | One per district as a demo project |
| Incentives for Local Bodies | 1,000 | Awareness & facilitation at the grassroots |
| Payment Security Mechanism | 100 | Ensure timely subsidy payments |
| Innovative Projects | 500 | Pilot solar projects |
| Capacity Building | 657 | Training solar technicians & workforce |
| Awareness Campaigns | 657 | Public outreach nationwide |
| Service Charges | 657 | Administrative support |
This structured allocation ensures that subsidies reach households while simultaneously building awareness, skills, and confidence in solar adoption.
Eligibility Criteria
Not every home can participate, but the criteria are simple and inclusive.
| Eligibility Factor | Requirement |
|---|---|
| Citizenship | Applicant must be an Indian citizen |
| House Ownership | Applicant must own the house with rooftop space |
| Rooftop Feasibility | Rooftop should have enough space and sunlight exposure |
| Electricity Connection | Must have a valid DISCOM connection |
| Prior Subsidy | Should not have availed solar subsidies earlier |
| Location | Open to both urban and rural households |
Key Benefits for Households
This scheme is designed to ease financial burdens while making homes energy independent.
| Benefit | Details |
|---|---|
| Free Electricity | Up to 300 units per month free |
| Subsidy Support | Up to 40% subsidy on rooftop solar installation (max ₹78,000 for 3–10 kW systems) |
| Savings | Monthly electricity bill savings between ₹1,500 – ₹3,000 (approx.) |
| Net Metering | Sell surplus power to grid & earn credits |
| Loans | Concessional bank loans to cover upfront costs |
| Environmental Impact | Reduce carbon footprint and promote clean energy |
| Job Creation | More employment opportunities in solar industry |
Example: A family using 250–300 units monthly can virtually eliminate their power bills after installation.
Application & Installation Process
The application process is transparent and mostly online.
- Register Online
- Visit the official portal: pmsuryaghar.gov.in
- Provide Aadhaar, electricity bill, and bank details.
- Feasibility Check
- Local DISCOM assesses rooftop space and suitability.
- Approval & Vendor Selection
- Once approved, choose an empaneled vendor from the government list.
- Installation
- Vendor installs rooftop solar panels with proper safety measures.
- Inspection & Subsidy
- Post-installation, inspection is conducted. Subsidy is directly credited to your bank.
- Net Metering Setup
- Apply for net metering to sell excess electricity.
- Maintenance Support
- Vendors and trained technicians help maintain long-term efficiency.
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Role of Stakeholders
The scheme involves multiple players working in coordination:
- MNRE (Ministry of New and Renewable Energy): Policy-making & supervision.
- REC (Rural Electrification Corporation): Nodal agency for subsidy disbursal.
- DISCOMs: Feasibility checks, approvals, and net metering.
- Vendors: Empaneled installers ensuring quality and safety.
- Local Bodies: Awareness campaigns at village/town level.
- Beneficiaries (You!): Adopt solar and enjoy free power.
Impact on India’s Energy Landscape
The potential of this scheme is massive:
- 1,000 billion units of clean electricity generated.
- 720 million tons of CO₂ emissions avoided.
- 30 GW rooftop capacity addition by 2026-27.
- Lakhs of jobs in installation, manufacturing, and maintenance.
- Decentralized power generation leading to reduced grid stress.
It’s not just about savings; it’s about making India a global renewable energy leader.
Challenges Ahead
Like every big initiative, this scheme too faces hurdles:
- Awareness Gap: Many rural households still unaware of benefits.
- Financing: Families may find upfront costs challenging despite subsidies.
- Infrastructure: Need for skilled technicians in remote areas.
- Quality Control: Ensuring vendors provide durable equipment.
- DISCOM Readiness: Net metering implementation may face delays.
The government is addressing these with capacity-building programs, easy loans, and stronger regulations.
| Aspect | Details |
|---|---|
| Scheme Name | Pradhan Mantri Solar Yojana (PM Surya Ghar Muft Bijli Yojana) |
| Launched By | Prime Minister Narendra Modi |
| Year | 2024 |
| Target | 1 crore households with rooftop solar |
| Free Electricity | 300 units/month |
| Total Budget | ₹75,021 crore |
| Subsidy | Up to 40% (max ₹78,000) |
| Application Website | pmsuryaghar.gov.in |
How to Apply for the PM Solar Yojana?
- Visit the official portal: pmsuryaghar.gov.in
- Register with Aadhaar, electricity bill, and bank details.
- Wait for feasibility check approval.
- Select an empaneled vendor.
- Install solar panels.
- Apply for net metering.
- Receive subsidy directly in your bank account.
The Pradhan Mantri Solar Yojana (PM Surya Ghar Muft Bijli Yojana) is more than a subsidy scheme; it’s a movement to democratize clean energy. By turning rooftops into mini power plants, it empowers families with financial savings, energy independence, and environmental responsibility.
PM Solar Yojana online registration
The online registration process for the Pradhan Mantri Solar Yojana (PM Surya Ghar Muft Bijli Yojana) is straightforward and user-friendly. Interested households can apply through the official portal by following these steps:
- Visit the official PM Surya Ghar website at https://www.pmsuryaghar.gov.in/ and navigate to the ‘Consumer’ section, then click on ‘Apply Now’.
- Enter your mobile number and captcha code, verify with OTP, and log in.
- Fill out the application form with required details such as consumer name, address, state, district, and PIN code, then save the information.
- Choose whether to have a vendor fill the form or fill it yourself by selecting the ‘Apply for Solar Rooftop’ tab and submitting the necessary documents.
- After submission, wait for the feasibility approval from the local electricity distribution company (DISCOM).
- Upon approval, select a registered vendor for installation and provide your bank details for subsidy transfer.
- The DISCOM inspects the installation site, and the installation process begins.
- After installation, the system is inspected and certified by DISCOM.
- The subsidy amount (up to 40% of installation cost, capped at Rs. 78,000) is then directly credited to the beneficiary’s bank account within 30 working days via Direct Benefit Transfer.
Applicants can also call the toll-free helpline number 15555 for assistance during the registration process. The scheme empowers eligible households to access clean solar energy with financial support, promoting sustainable living and energy savings.
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Pradhan Mantri Solar Yojana price
The price of installing solar panels under the Pradhan Mantri Solar Yojana (PM Surya Ghar Muft Bijli Yojana) varies depending on the system capacity, quality, and location. As of 2025, the typical cost of solar rooftop systems in India ranges from approximately ₹40,000 to ₹70,000 per kilowatt (kW) before subsidy. For residential homes, common system sizes are between 3 kW to 5 kW, costing roughly ₹1,20,000 to ₹3,50,000 before applying the government subsidy.
Under this scheme, the government offers a subsidy covering up to 40% of the installation cost, capped at around ₹78,000 for systems of 3 kW or higher capacity. For example, a 3 kW system costing ₹1,50,000 could have a subsidy of ₹78,000, reducing the effective cost to around ₹72,000. This subsidy significantly lowers the upfront investment, making solar power affordable for many households.
These costs generally include solar PV modules, inverters, mounting structures, wiring, and installation services. The final cost can vary based on factors like panel efficiency, inverter type, roof structure, and geographic location (urban or rural). With the subsidy and potential savings from free solar electricity, the Pradhan Mantri Solar Yojana enables Indian homes to switch to clean and cost-effective renewable energy.
Pradhan mantri solar yojana eligibility
The eligibility criteria for the Pradhan Mantri Solar Yojana (PM Surya Ghar Muft Bijli Yojana) are designed to ensure that the scheme benefits Indian households who can fully utilize rooftop solar systems. To be eligible, applicants must be Indian citizens who own a residential house with a rooftop suitable for installing solar panels. The household must have a valid and active electricity connection, and importantly, should not have availed any other government subsidy for solar panel installation previously. Both urban and rural households across all states and union territories can apply, making the scheme inclusive and far-reaching.
Additionally, the scheme particularly supports middle and low-income groups by offering a subsidy of up to 40% on installation costs, capped at Rs. 78,000. For rooftop solar systems above 3 kW capacity, there is also provision of concessional loans to ease the upfront financial burden, with loan eligibility typically requiring a minimum net annual income of around Rs. 3 lakhs. The scheme covers all individual applicants who have roof ownership rights, sufficient rooftop area, a clear electricity bill, and a bank savings account for subsidy disbursal. This financial inclusion facilitates greater accessibility for a broad base of citizens.
Furthermore, the scheme encourages households to adopt renewable energy, with additional benefits such as net metering allowing surplus power to be sold back to the grid for extra income. This eligibility framework ensures that beneficiaries not only get subsidies and low-cost loans but also become active participants in India’s green energy transition by generating clean electricity at home, reducing energy bills and contributing to environmental sustainability.
Pradhan Mantri Solar Yojana FAQ
What is the Pradhan Mantri Solar Yojana?
It is a flagship government scheme launched in 2024 aimed at installing rooftop solar panels on 1 crore homes by 2027. The scheme provides households with up to 300 units of free solar electricity every month and offers subsidies of up to 40% on installation costs to promote clean and affordable solar energy.
Who is eligible for the Pradhan Mantri Solar Yojana?
Eligibility includes Indian citizens owning a house with a roof suitable for solar panel installation. The household must have a valid electricity connection and should not have availed any other solar subsidy scheme previously. Both urban and rural residents are eligible.
How can one apply for the Pradhan Mantri Solar Yojana online?
Applicants can register online through the official portal pmsuryaghar.gov.in by entering details like state, district, electricity connection information, and submitting identity and address proofs. After approval, they select an empaneled vendor for installation.
What is the subsidy amount provided under the scheme?
The government provides a subsidy of up to 40% on the rooftop solar system installation cost, typically capped at around ₹78,000 depending on the system capacity. This helps significantly reduce the upfront investment.
Can surplus electricity generated be sold back to the grid?
Yes, the scheme supports net metering, allowing households to feed excess solar power back to the grid and earn credits or payments from the distribution company, adding further financial benefits.