Our electricity bills increase each year. But at the same time, people want clean and green energy. This is one reason many homes and businesses are choosing solar power now.
The ministry is providing an initial subsidy for solar panels and structures as part of a new solar panel subsidy program (2025) run by the Ministry of New and Renewable Energy (MNRE). Such subsidies help people pay less for installing rooftop solar panels.
Continue reading to explore the benefits of MNRE solar subsidies, eligibility, and the latest updates.
The Solar Subsidy Scheme by MNRE
MNRE stands for the Ministry of New and Renewable Energy, which is part of the Indian government. This policy promotes the adoption of clean energy, such as solar power, throughout the country.
MNRE assists individuals and businesses in transitioning to solar power. MNRE’s flagship program is a subsidy scheme for solar installations. Such a solar installation subsidy program reimburses people for installing solar panels in their homes.
The government is offering various subsidy schemes to enable people to easily access and install on-grid solar systems. The solar system connects to the home power grid and helps to reduce electricity costs.
MNRE Solar Subsidy 2025: What’s New?
The MNRE recently introduced several updates to its subsidy scheme in 2025. The new changes aim to promote renewable energy adoption and solar panel installation across India.
PM-Surya Ghar: Muft Bijli Yojana
This scheme offers free electricity by subsidizing rooftop solar panel installation for households. Nearly 1 crore households in India are about to benefit from this subsidy scheme.
Updated Subsidy Rates
Under the PM’s Surya Ghar Muft Bijli Yojana, the subsidy structure is as follows:
- Up to 2 kW systems: This gives 60% subsidy on the unit cost.
- 2–3 kW systems: An additional 60% subsidy for extra costs beyond 2kW.
The subsidy is capped at a 3-kW capacity. This means that you receive ₹30,000 for installing and using a 1 kW system, ₹60,000 for 2 kW, and up to ₹78,000 for systems of 3 kW or more.
Grid-Connected Rooftop Solar Programme
Extended until March 31, 2026, this particular program provides CFA (Central Financial Assistance) to residential electricity consumers for installing rooftop solar systems.
Simplified Application Process
Applying for a subsidy has become more straightforward through the National Portal for rooftop solar. You can register by selecting your district, state, and electricity distribution company and by entering your consumer account number on this portal.
This type of online platform allows you to submit and track your application until the subsidy is credited to your bank account.
These updates reflect the government’s commitment to expanding renewable energy and supporting sustainable development. By taking advantage of this simplified application process, you can significantly reduce your electricity bill and contribute to a greener environment.
Benefits of MNRE Solar Subsidy
1.Lower Solar Panel Installation Costs
The MNRE solar panel subsidy helps you save money by setting up and incorporating solar systems in your home. This approach reduces upfront costs, making solar energy accessible and affordable for homes and businesses.
2. Faster Payback and High Returns
With a solar installation subsidy, your payback period will be shorter. This means that you can recover your investment quickly. You also get a higher ROI (Return on Investment) over the years.
3. Less Dependence of DISCOMs
Once your solar panels have been set up, you will be about to use less electricity from the grid. You become energy-independent and enjoy free power sources for many years.
4. Supporting green energy costs
Using solar energy is eco-friendly. It does reduce carbon emissions and helps the country reach its clean energy targets.
5. Earn from Net Metering
With net metering, you can earn credits or pay for extra electricity that you send back to the grid. This does add value to your solar system.
Eligibility Criteria for 2025 Solar Subsidy
Who Can Apply for the Subsidy?
You can apply for the solar subsidy in 2025 if you live in a residential home in India. Home, Housing institutions and residential societies can also apply. This subsidy is meant to support home and community use only.
System and Equipment Requirements
To get hold of the subsidy, the selected solar panels must be listed in the ALMM (Approved List of Models and Manufacturers). In addition, the inverter must be BIS-certified. Such rules can ensure that your system remains safe and runs efficiently for years.
Who Can Install Your System?
You must choose a vendor like us that is known to be registered on the National Solar Rooftop Portal. Only registered vendors like us can install systems that qualify for the subsidy.
Our in-house team of experts can rightly install your on-grid solar system and help you get hold of the subsidy. We ensure that the system gets connected to the power grid to help you save on your electricity bill.
Applying MNRE Solar Subsidy (Step-by-Step)
1. Register on the National Portal
Visit the official portal for rooftop solar registration from your internet-connected device. Click upon ‘Apply for Rooftop Solar’ and fill in your details to create an account. This is the first step toward benefiting from a solar panel government scheme.
2. Submit Relevant Documents
After registering, log in to your account. Upload your recently paid electricity bill, ID proof, and system capacity details. This document submission will help the government process your solar installation subsidy faster.
3. Choose Your Vendor
From the approved list, select a trustworthy vendor. Our experts will ensure that the solar panel system installation process is hassle-free.
4. Upload Metering Information
Once installed, our experts will help upload photos and net metering details to the portal to confirm that the system is working.
5. Getting a Subsidy in Your Bank Account
After verification, the subsidy amount will be deposited directly into your bank account. You do not need to pay extra to receive it. Elsol provides complete support before and after installing the solar panels.
Conclusion
The MNRE solar subsidy for 2025 offers up to ₹78,000 off your rooftop solar installation, lowering your initial investment costs.
Under the PM’s Surya Ghar Muft Bijli Yojana, you can receive a 60% subsidy. This initiative has made solar energy more affordable for homeowners. Act now to take advantage of all these benefits before potential policy changes are made.
At Elsol, the most trusted solar company in Kerala, we provide comprehensive solar solutions and ensure that you receive the maximum benefits for your solar installation needs.
