‘Rooftop Solar Scheme’ was launched by Finance Minister of India Nirmala Sitharaman in the 2024-25 budget. The aim of this scheme is to provide subsidies to people to install solar panels on the rooftops of their residential houses and use solar energy for electricity, which will almost lower the amount of their electricity bills. This article will cover everything related to this Rooftop Solar Scheme or PM Surya Ghar Muft Bijli Yojana.
PM Surya Ghar: Muft Bijli Yojana
A new rooftop solar scheme was announced in the Budget for 2024-25 by Finance Minister. Afterward, on 15 February 2024, the Prime Minister of India launched the ‘PM Surya Ghar Muft Bijli Yojana’. Under this scheme, Solar panels are installed in houses to supply power to households and additional money for excess electricity output which people can sell to the grids.
The Government of India will provide applicable subsidies directly to the bank account of people and heavily concessional bank loans which is to ensure that there is no more cost burden on the people regarding electricity and their switch to solar power. whatever the total cost of installing the solar panels will be the government subsidy will cover up to 40% of the cost.
This scheme will mostly help poor and middle-class households save almost equal Rs. 15,000 to Rs. 18,000 crores annually in electricity bills by getting free solar electricity and selling excess power to their electricity distribution companies. The government’s aim is to install solar panels in one crore homes all over the country. It will also help the Indian government save around 75,000 crore rupees per year in production costs.
Objectives of the Rooftop Solar Scheme
The scheme also aims to provide 300 units of free electricity every month to one crore households around the country. The main objective of this scheme is to reduce the electricity costs of houses by installing rooftop solar panels and using solar energy which will produce enough electricity for people and they will have electricity irrespective of weather.
This scheme will also help people to decrease their dependency on traditional energy sources by installing rooftop solar panels in houses and moving towards sustainable energy. It pushes for clean and sustainable energy.
Benefits of Rooftop Solar Scheme
- Lower and lower middle-class sections of society will Save up to Rs. 15,000 to Rs. 18,000 crores annually from solar electricity and selling the extra power to the power distribution companies of their state.
- Charging of electric vehicles
- It will also open Entrepreneurship opportunities for vendors and technicians for the supply and installation of solar panels.
- Reduction of costs for the government in electricity generation.
- Increased use of renewable energy.
- Reduction in carbon emissions.
Eligibility Criteria for Rooftop Solar Scheme
- Applicants should be residents of India
- Applicants should be from poor and middle-income households only.
- They should have their residence with a roof suitable enough for installing solar panels with ample space.
- They should have a valid electricity connection.
- Applicants should not have availed of any other subsidy for solar panels in the past.
Rooftop Solar scheme subsidies
Under the Rooftop Solar Scheme, how much subsidy the government will provide for installing solar panels is mentioned below:
- For up to 2 kW – Rs. 30,000 per kW
- Rs. 18,000 per kW for additional capacity up to 3kiloWatt –
- Total subsidy for larger systems of more than 3 kW – Rs. 78,000
The suitable systems for rooftop solar plants as per electricity consumption for households are as follows:
| Average Monthly
Electricity Consumption (units) |
Suitable Rooftop Solar Plant Capacity | Subsidy |
| 0-150 | 1-2 kW | Rs. 30,000 to Rs. 60,000 |
| 150-300 | 2-3 kW | Rs. 60,000 to Rs. 78,000 |
| >300 | Above 3 kW | Rs. 78,000 |
The subsidy for Housing Society Resident Welfare Association is Rs. 18,000 per kW for common facilities which will also include Electric Vehicles charging up to 500kW capacity at Rs.3 per kW per house.
Rooftop Solar Installation Process
Installation of solar panels decreases reliance on grid-connected electricity, leading to cost savings. As Photovoltaic panels, better known as rooftop solar panels, are installed on the rooftop of houses or buildings and connected to the central power supply unit.
The entire process is more financially sound as any surplus energy or electricity generated by the solar panels can be sold to the state electricity distribution companies for a sensible amount. It will considerably reduce overall electricity bills by balancing what is consumed and what is contributed by the consumer.
Steps on How to Apply for the Rooftop Solar Scheme/PM Surya Ghar Muft Bijli Yojana are mentioned below:
Step 1: Visit the official website of PM Surya Ghar Yojana.
Step 2: There you will see the ‘Apply for Rooftop Solar’ option in front of the homepage when you open the website.
Step 3: first you will have to do the registration by selecting the state, district, and electricity distribution company then enter your consumer account number, and click on ‘Next’ after filling in the captcha.
Step 4: Enter other details like your mobile number and email, and complete your registration.
Step 5: Log in with your mobile number enter the captcha and click next.
Step 6: Apply for the ‘Rooftop Solar’.
Step 7: After you have applied for Rooftop Solar, wait for approval from DISCOM. Once it gets approved, contact a registered vendor in your DISCOM for the installation of the solar.
Step 8: Once the installation is over Submit the plant details and apply for a net meter.
Step 9: After the net meter is installed and the DISCOM inspection is also done, they will generate a commissioning certificate from the portal.
Step 10: After getting the commissioning report, submit your bank details and a canceled cheque by logging into the PM Surya Ghar Yojana portal. Within 30 days you will receive the subsidy in your bank account.
Documents Required for Rooftop Solar Scheme
- Proof of identity
- Proof of address
- Electricity bill
- Roof ownership certificate
FAQs about the Rooftop Solar Scheme (PM Surya Ghar Muft Bijli Yojana)
1. Who is eligible for the Rooftop Solar Scheme?
The Rooftop Solar Scheme is primarily for poor and middle-income households in India. To be eligible, you must:
- Be a resident of India
- Have a suitable rooftop with enough space for solar panels
- Have a valid electricity connection
- Not have received any other subsidy for solar panels in the past
2. How much subsidy will I get for installing solar panels?
The government subsidy you receive depends on the size of your solar power system. Here’s a breakdown:
- Up to 2 kW: Rs. 30,000 per kW
- Additional capacity between 2 kW and 3 kW: Rs. 18,000 per kW
- Larger systems exceeding 3 kW: Total subsidy of Rs. 78,000
3. How much can I save on my electricity bill?
The scheme aims to help you save between Rs. 15,000 and Rs. 18,000 annually on electricity bills. This includes savings from using solar power and selling excess electricity back to the grid.
4. How do I apply for the Rooftop Solar Scheme?
You can apply for the scheme online by visiting the official PM Surya Ghar Yojana website. The application process involves registering, applying for rooftop solar, and waiting for approval from your electricity distribution company (DISCOM).
5. What documents do I need to apply for the Rooftop Solar Scheme?
Here are the documents you’ll need to submit for your application:
- Proof of identity
- Proof of address
- Latest electricity bill
- Roof ownership certificate
