Solar Subsidy & Incentives | JRD Solar Industries Pvt. Ltd.
☀️ Solar Incentives & Subsidies

Government Benefits for Solar Energy

Learn about major government financial assistance and incentives available for rooftop solar, agricultural solar pumps, group housing projects and eligible business solar assets in India.

Key Solar Incentives

The exact benefit depends on the consumer category, project, state, scheme and applicable eligibility conditions.

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₹78,000Maximum central CFA for an eligible residential rooftop system
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₹30,000/kWCentral CFA for the first 2 kW of eligible residential capacity
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30% / 50%Central support under PM-KUSUM, depending on applicable category
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Tax BenefitEligible business assets can qualify for depreciation under income-tax rules

PM Surya Ghar: Muft Bijli Yojana

The principal central-government rooftop solar support programme for eligible residential electricity consumers.

System CapacityCentral Financial AssistanceMaximum Central BenefitKey Point
1 kW₹30,000 per kW₹30,000Eligible residential rooftop installation.
2 kW₹30,000 per kW₹60,000First 2 kW receives the higher CFA rate.
3 kW₹30,000/kW for first 2 kW + ₹18,000 for third kW₹78,000Total central CFA reaches the scheme cap.
Above 3 kWCentral CFA remains subject to the scheme's maximum limit.₹78,000 maxNo additional central CFA beyond the maximum cap.

Additional State Subsidy

UPNEDA material states that Uttar Pradesh provides additional residential rooftop solar support under the PM Surya Ghar implementation, subject to applicable rules.

UP Residential Rooftop Solar Support

Published UPNEDA material states an additional subsidy of ₹15,000 per kW for eligible residential rooftop systems up to 2 kW.

This can be in addition to the central assistance and is processed subject to applicable scheme and portal requirements.

Important: State-level subsidy rules, budget, eligibility and processing conditions can change. Verify the current applicable amount before making a purchase decision.
Central CFA — up to 2 kW₹60,000
UP additional subsidy — up to 2 kW₹30,000
Illustrative combined support — up to 2 kW₹90,000
Central CFA — 3 kW₹78,000

RWA / GHS Financial Assistance

Eligible Group Housing Societies and Resident Welfare Associations can receive central financial assistance for common facilities, including eligible EV charging facilities.

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Common Facilities

Eligible common facilities of a Group Housing Society or RWA can be covered under the applicable scheme framework.

EV Charging

Eligible common-facility rooftop solar support can include EV charging infrastructure under the applicable scheme rules.

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₹18,000 / kW

Central CFA is ₹18,000 per kW for eligible common facilities, up to the applicable 500 kW limit at 3 kW per house.

PM-KUSUM

PM-KUSUM supports solarisation of the agricultural sector through solar pumps, solarised grid-connected pumps and decentralised grid-connected renewable-energy projects.

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Component B — Standalone Solar Pumps

Eligible individual farmers can receive central financial assistance for standalone solar agriculture pumps in off-grid areas.

  • Central assistance: 30% in the general category.
  • 50% in specified special-category regions.
  • State subsidy and farmer contribution apply as per scheme rules.
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Component C — Pump Solarisation

Eligible grid-connected agricultural pumps can be solarised. Surplus electricity may be sold to the DISCOM under applicable arrangements.

  • Generally 30% central assistance in the general category.
  • 50% applies in specified special-category regions.
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Component A — Solar Plants

Farmers, groups and other eligible entities can develop decentralised grid-connected renewable-energy plants within the scheme framework.

  • Eligible land/project conditions apply.
  • Power may be purchased by DISCOMs at the applicable state-regulator tariff.

Tax & Business Incentives

Commercial and industrial users may have tax-related benefits depending on ownership, business use, asset classification and the applicable tax regime.

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Depreciation on Solar Assets

The Income Tax Department's depreciation framework includes solar power generating systems and specified solar devices. Tax treatment depends on the applicable rules.

  • Relevant primarily to business/professional use.
  • Asset classification and tax regime matter.
  • Take advice from a qualified tax professional before claiming.
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Commercial Solar

Businesses can evaluate solar as a capital asset to reduce electricity expenditure while considering applicable tax, financing and state-policy benefits.

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Net Metering / Surplus Power

Where permitted by state electricity regulations and the DISCOM framework, surplus rooftop generation may be adjusted or settled under the applicable arrangement.

How to Claim Solar Subsidy

For PM Surya Ghar residential rooftop assistance, the application process is handled through the National Portal and the concerned DISCOM.

1

Register

Register on the official PM Surya Ghar National Portal.

2

Apply

Submit the rooftop solar application with the required electricity-connection details.

3

Select Vendor

Choose an eligible/registered rooftop solar vendor through the applicable process.

4

Install & Verify

Complete installation, metering/synchronisation and DISCOM verification as applicable.

5

Receive CFA

Eligible central assistance is released after successful completion of the required process.

Important Eligibility Points

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Residential Connection

PM Surya Ghar central assistance is intended for eligible residential electricity consumers under the scheme guidelines.

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Portal & DISCOM Process

Subsidy claims require compliance with the National Portal, installation, verification and applicable DISCOM requirements.

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Verify Current Rules

Subsidy availability, approved equipment, vendor requirements, state support and procedures can change. Check the latest official notification before installation.

Important disclaimer: Government subsidy/incentive amounts shown here are informational. Actual eligibility, subsidy, equipment requirements, state support, vendor conditions, net-metering rules and payment timelines are subject to the latest Government of India, MNRE, UPNEDA, DISCOM and other competent-authority rules. No subsidy is guaranteed merely by installing a solar system.

Want to Know Your Solar Benefit?

JRD Solar can help you understand the applicable rooftop-solar scheme, system capacity, subsidy structure and installation process.