Launched by Honourable Prime Minister Shri Narendra Modi, the PM Surya Ghar Muft Bijli Yojana provides substantial subsidies for rooftop solar installations, enabling Indian households to generate free, clean electricity of up to 300 units monthly. This initiative significantly reduces electricity bills and promotes green energy adoption.
Official Residential Subsidy Rates (MNRE 2026)
| System Capacity (kW) | Estimated Daily Output | Government Subsidy Amount |
|---|---|---|
| 1 kW | 4 - 5 Units | ₹ 30,000 |
| 2 kW | 8 - 10 Units | ₹ 60,000 |
| 3 kW (and above) | 12 - 15 Units | ₹ 78,000 (Maximum Cap) |
Household Energy Needs vs Recommended Panel Size
| Average Monthly Consumption | Recommended Solar Capacity | Expected Bill Reduction |
|---|---|---|
| 0 - 150 Units | 1 kW - 2 kW | 80% - 100% |
| 150 - 300 Units | 2 kW - 3 kW | 70% - 90% |
| > 300 Units | 3 kW+ | 50% - 80% |
Real-World Case Studies
Case Study 1: The Small Family (1 kW System)
Seema, a homemaker in Bihar, installed a 1 kW rooftop solar system. With the ₹30,000 subsidy, her upfront investment was minimal. She now generates enough power to cover fans, lights, and her refrigerator, essentially wiping out her basic electricity bill completely.
Case Study 2: The Joint Family (3 kW System)
Arun’s joint family in Rajasthan operates 2 Air Conditioners during the summer. Under PM Surya Ghar, they installed a 3 kW solar system. They received the maximum ₹78,000 subsidy. Their monthly bill dropped from ₹4,500 to under ₹400, saving enough to cover his children's education expenses.
Eligibility Criteria
- The applicant must be a valid Indian citizen with residential proof.
- Must own a house with a rooftop suitable and structurally sound for installing solar panels.
- The household must have a valid electricity connection from the local distribution company (DISCOM).
- Must not have availed any other central government solar subsidy previously.