Over the past few years, both the national and state governments have actively supported solar energy adoption across India. In earlier phases, programs like MNRE’s Central Financial Assistance helped people—especially in rural areas—install rooftop solar systems by offering subsidies. At that time, the government had set targets of 250 GW from renewable sources by 2024 and aimed for 500 GW by 2030. Fast forward to 2025, India has already surpassed 110 GW of solar capacity, with rooftop installations playing a major role in this growth. In February 2024, the government launched the PM Surya Ghar: Muft Bijli Yojana, aiming to power 1 crore homes through rooftop solar. Under this scheme, households can get a subsidy of up to ₹78,000 and receive 300 units of free electricity per month, making solar both accessible and financially rewarding.
The impact has been massive—over 10 lakh homes have already installed rooftop panels, generating more than 3 GW of clean energy. States like Gujarat, Maharashtra, Uttar Pradesh, Kerala, and Rajasthan are leading the way, while others like Andhra Pradesh and Tripura are accelerating adoption through local outreach. The scheme is backed by a budget of ₹75,021 crore, with ₹4,770 crore already disbursed and more than 1.28 lakh loans sanctioned to support installations. Alongside these efforts, India’s domestic solar manufacturing has seen rapid growth, with module production capacity increasing from 38 GW to 74 GW, and solar cell production jumping from 9 GW to 25 GW in just one year.
With electricity bills rising and environmental concerns growing, switching to solar power is no longer just a smart choice—it’s a transformative step toward energy independence. Backed by strong policies, financial aid, and a focus on local manufacturing, solar energy in India has never looked more promising.
INDIAN HOMES SOLAR POWER PLANTS COSTS & MNRE SOLAR SUBSIDY KERALA DATA – 2024 vs 2025
If you’re living in Kerala and thinking about switching to solar power, you’re not alone. With rising electricity bills and greater awareness about clean energy, more households are exploring rooftop solar systems as a smart investment. But before making the switch, it’s important to understand the actual cost, how much energy you can expect to generate, and what kind of subsidy support is currently available.
What Were the Costs in 2024?
Back in July 2024, the government offered clear guidelines on subsidies for residential rooftop solar systems in Kerala. These subsidies were part of a national initiative and were implemented through the state’s electricity board. Here’s how the pricing and subsidy structure looked:
| System Size | Average Units Generated (Every 2 Months) | 2024 Subsidy (Kerala) |
|---|---|---|
| 1 kWp | 240 to 360 units | ₹30,000 |
| 2 kWp | 480 to 720 units | ₹60,000 |
| 3 kWp | 720 to 1080 units | ₹78,000 |
| 5 kWp | 1200 to 1800 units | ₹78,000 |
Please note that the actual energy generation depends on factors like rooftop direction, shade, and seasonal weather conditions.
2025 Solar Panel Subsidy in Kerala Update
In 2025, the government has continued to support rooftop solar through the PM Surya Ghar: Muft Bijli Yojana, which is aimed at helping more households install solar at affordable prices. The subsidy structure remains the same, but due to higher quality equipment and rising demand, the upfront costs have gone up slightly.
Here’s a clear look at the current pricing and subsidy amounts for 2025, specifically based on local estimates for Kerala:
| System Size | Average Bimonthly Units | 2025 Estimated Cost (Before Subsidy) | Subsidy Provided | Your Net Cost After Subsidy |
|---|---|---|---|---|
| 1 kWp | 210 to 240 units | ₹75,000 to ₹85,000 | ₹30,000 | ₹45,000 to ₹55,000 |
| 2 kWp | 456 to 480 units | ₹1,50,000 to ₹1,70,000 | ₹60,000 | ₹90,000 to ₹1,10,000 |
| 3 kWp | 684 to 720 units | ₹1,89,000 to ₹2,15,000 | ₹78,000 | ₹1,11,000 to ₹1,37,000 |
| 4 kWp | Approx. 900+ units | ₹2,52,000 to ₹2,85,600 | ₹78,000 | ₹1,74,000 to ₹2,07,600 |
| 5 kWp | Approx. 1200+ units | ₹3,15,000 to ₹3,57,000 | ₹78,000 | ₹2,37,000 to ₹2,79,000 |
| 10 kWp | Approx. 2400+ units | ₹5,31,000 to ₹6,07,000 | ₹78,000 | ₹4,53,000 to ₹5,29,000 |
Apply to MNRE Solar Subsidy in Kerala
INDIAN HOME’S MNRE SUBSIDY – 2025 UPDATE
Thinking about going solar but worried about the cost? You’re not alone. Thankfully, the Indian government continues to make solar energy more affordable through well-structured subsidy programs designed for homeowners just like you.
As of 2025, the most popular scheme is the PM Surya Ghar: Muft Bijli Yojana, launched in early 2024. This initiative offers Central Financial Assistance (CFA) to residential customers installing rooftop solar systems. Under this scheme, if you install a 3 kW system, you can receive a subsidy of up to ₹78,000 directly into your bank account. That’s a significant amount shaved off the total cost, making solar much more accessible for households across India.
The subsidy is available for systems up to 10 kW, although the maximum subsidy cap remains at ₹78,000. Here’s a quick breakdown:
-
Up to 2 kW – ₹30,000 per kW
-
2 to 3 kW – ₹18,000 per additional kW
-
Above 3 kW – ₹78,000 maximum subsidy (flat)
Keep in mind, actual system prices can vary depending on your location, roof type, and local installation charges. That’s why it’s essential to choose a registered and reliable solar company in your area. They can guide you through the subsidy application process, help with necessary approvals from your local DISCOM, and ensure you get the best value for your investment.
SOLAR PANEL SUBSIDY IN KERALA – 2025
Kerala continues to be one of India’s most solar-active states, and in 2025, the momentum is only growing. If you’ve been considering rooftop solar for your home, this year brings compelling reasons to make the move.
Through the PM Surya Ghar initiative, thousands of households in Kerala are already seeing savings, and many more are eligible for a direct subsidy of up to ₹78,000. In addition to this central scheme, the Surya Thejus program continues to function in coordination with Kerala State Electricity Board (KSEB), ensuring state-level support for solar adoption.
Here’s what makes it easy:
-
35+ KSEB-approved solar companies are available to assist with installation and paperwork
-
Subsidy is credited directly to your bank account after inspection
-
The process is completely digital through the central solar portal
Kerala’s climate, combined with increasing power tariffs, makes solar a practical long-term investment. Whether you’re living in a city flat or an independent rural home, 2025 offers a great window to install rooftop solar with government assistance and peace of mind.
MNRE SOLAR SUBSIDY FOR ONGRID SOLAR (DOMESTIC CONSUMERS IN INDIA) – 2025
Save on Solar Power in India with Government Subsidies
Thinking about going solar? The Government of India offers attractive subsidies through the Ministry of New & Renewable Energy (MNRE) to make solar power systems more affordable for domestic consumers. This program is called Central Financial Assistance (CFA) and provides a percentage off the benchmark price set for different on-grid project capacities (kWp).
The subsidy amount is capped at the lower of two figures:
- MNRE Benchmark Price: This is a pre-determined price set by the government.
- Tender Discovered Price: This price varies by state and is determined through a competitive bidding process.
Space/Roof Area Needed For Fixing Solar Panels
Maximize Solar Panel Efficiency – Space & Sunlight Requirements:
Planning a solar power installation? Optimizing panel placement is crucial for maximizing energy production. Here’s what you need to know about space and sunlight requirements for your solar panels:
- Space: Each kilowatt-peak (kWp) of solar power capacity typically requires 100 square feet of shade-free area. Ensure there are no obstructions blocking sunlight throughout the day.
- Sunlight: For the best performance, position your panels in direct sunlight facing South for maximum sun exposure. East or West facing orientations are also suitable, though South is generally preferred.
By following these guidelines, you’ll ensure your solar panels receive optimal sunlight, leading to efficient energy generation.
2 MONTH SAVINGS FROM SOLAR
| Ongrid Solar Capacity | Bimonthly Savings in MNRE Bills* |
| 2 kWp | Rs. 2200-2700 |
| 3 kWp | Rs. 4700-5200 |
| 5 kWp | Rs. 9200-10200 |
| 10 kWp | Rs. 18,200 – Rs. 20,200 |
Note: Please note that Solar Production and Savings etc are completely dependent on the solar irradiance and weather conditions, and hence no claims or guarantees can be made for the actual production in the actual site conditions.
2 kW Ongrid Solar System Savings
Reduce Your Electricity Bills with a 2 kW Ongrid Solar Power System
A 2 kW on-grid solar system can be a great way to lower your electricity costs! Here’s what you can expect: A 2 kW system can help you save between Rs. 2,200 and Rs. 2,700 on your electricity bills every two months. If your current bimonthly electricity bill is around Rs. 2,000, a 2 kW system could potentially cover most of your electricity usage, leading to significant savings!
Note: Keep in mind that a 2 kW system might not be enough if you plan to add high-energy appliances like air conditioners, induction cooktops, or electric vehicles in the future. Consider your future energy needs when choosing the right system size.
3 kW Ongrid Solar System Savings
For a 3 kWp Ongrid Solar Power system, a saving in MNRE bills of around Rs. 4700-5200 can be expected. Hence, if your present 2-Monthly Electricity Bills is around Rs. 4500, then a 3 kWp would make your Energy Charges in your MNRE Bills absolutely ZERO!
5 kW Ongrid Solar System Savings
For a 5 kWp Ongrid Solar Power Plant, a saving in MNRE bills of around Rs. 9200-10,200 can be expected. Hence, if your present 2-Monthly Electricity Bills is around Rs. 9000, then a 5 kWp would make your Energy Charges in your MNRE Bills absolutely ZERO!
FAQ ON MNRE SOLAR SUBSIDY KERALA
What is MNRE?
MNRE stands for the Ministry of New and Renewable Energy, a central government body in India responsible for promoting clean energy sources like solar, wind, and bioenergy. MNRE designs national-level policies, approves subsidy programs, and works with state agencies to implement renewable energy solutions for homes, businesses, and public infrastructure.
What is the MNRE subsidy?
The MNRE subsidy refers to the Central Financial Assistance (CFA) provided by the government to help reduce the cost of installing rooftop solar systems. As of 2025, domestic consumers installing on-grid rooftop solar systems can receive a subsidy of up to ₹78,000, depending on system size. The subsidy is processed through approved vendors and directly credited to the homeowner’s bank account after installation and verification.
What is the latest solar subsidy scheme?
The latest and currently active solar subsidy scheme is the PM Surya Ghar: Muft Bijli Yojana, launched in 2024. It aims to support 1 crore households across India by offering subsidies for rooftop solar systems up to 10 kW.
How to get subsidy for solar panels in Kerala?
-
Visit the official portal: https://pmsuryaghar.gov.in
-
Register your details and complete the application form.
-
Choose an approved vendor from the list of KSEB-empanelled companies.
-
After installation and inspection, the subsidy is transferred directly to your bank account.
Who is eligible for the PM Surya Ghar subsidy?
You are eligible for the PM Surya Ghar subsidy if:
-
You are an Indian resident and own the property where the system will be installed.
-
Your home is connected to the on-grid power system (not off-grid).
-
The rooftop is technically feasible for solar installation.
-
You apply through the official portal and use an empanelled vendor approved by your state DISCOM.
Only domestic/residential consumers are eligible under this scheme.
What is the price of a KSEB solar 3 kW system in 2025?
In 2025, the average cost of a 3 kW rooftop solar system in Kerala through KSEB-approved vendors ranges from ₹1.85 lakh to ₹2.15 lakh, depending on your roof type, site conditions, and installer rates. After applying the ₹78,000 MNRE subsidy, your net cost comes down to approximately ₹1.1 lakh to ₹1.4 lakh.
This pricing usually includes panels, inverter, structure, installation, net-metering, and basic documentation
How long will solar panels survive?
Many solar companies offer a 25-year performance warranty for home solar power systems. During this period, the panels are expected to maintain 85% of their initial production capacity, even though their efficiency may gradually decrease over time. After the initial years, the energy output may decline further, but the panels will continue to generate some electricity throughout their lifespan.