Free Solar Panel Scheme by Government of India

"Explore the free solar panel scheme by Government of India. Learn how to get solar panels for home with this government solar scheme easily."

Free Solar Panel Scheme by Government of India
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Anjali Singh

4 mins read

Published: 7 July 2025

Updated: 7 July 2025

Zero electricity bills. A cooler planet. And solar panels on your rooftop. Isn’t it something that we all would love to look forward to? All thanks to the free solar panel scheme by the Government of India. Sounds too good to be true? It’s actually happening, and millions of Indian families are already lining up to benefit from this solar panel scheme.

Let’s break down how the government solar scheme works, who can apply, what you get, and how you can make the most of solar panels for home government schemes. Plus, we’ll answer all your burning questions and show you how to get started — step by step.

What is the Free Solar Panel Scheme by the Government of India?

The flagship initiative, officially called PM Surya Ghar: Muft Bijli Yojana, was launched in 2024 to make solar energy affordable for every Indian household. The government solar panel scheme aims to provide free electricity to one crore homes by offering a hefty subsidy for installing rooftop solar panels. The result? Lower bills, cleaner energy, and a big step toward India’s green future.

Key Benefits of the Government Solar Panel Scheme

  • Up to 40% subsidy on solar panels for homes (up to 3 kW capacity)
  • 20% subsidy for larger systems (above 3 kW)
  • Free electricity for households, with the potential to earn from surplus power
  • Reduced carbon emissions and dependence on fossil fuels
  • Direct bank transfer of the subsidy within 30 days of installation

Who is Eligible for the Government Solar Panel Scheme?

Not everyone qualifies for the scheme automatically. Here’s what you need to fulfil to be eligible:

  • You must be an Indian citizen.
  • You should own a house with a suitable roof for solar panels.
  • You must have a valid electricity connection.
  • You should not have already received a solar subsidy for this property.
  • For some schemes, households with annual income up to ₹1–1.5 lakhs, or those under BPL or middle-class, get priority.

How Much Subsidy Can You Get?

Here’s a quick look at the subsidy slabs under the solar panel scheme:

Average Monthly Electricity Use

Suitable Rooftop Solar Plant

Subsidy Support

0-150 units

1-2 kW

₹30,000 – ₹60,000

150-300 units

2-3 kW

₹60,000 – ₹78,000

Above 300 units

Above 3 kW

₹78,000 (capped)

Note: The subsidy is directly credited to your bank account after installation and inspection by your local electricity board (DISCOM).

How to Apply for the Government Solar Panel Scheme

Applying for the solar panels for home government scheme is simple and can be done online. Here’s a step-by-step guide for you:

Step 1: Visit the official PM Surya Ghar portal
Step 2: Register by selecting your state, your electricity distribution company, and entering your consumer number, mobile, and email.
Step 3: Log in and fill out the online application form for the rooftop solar system.
Step 4: Wait for feasibility approval from your DISCOM.
Step 5: Choose a registered vendor from the portal and install your solar panels.
Step 6: After installation, apply for a net meter and request inspection.
Step 7: Once your system is inspected and commissioned, upload your bank details and cancelled cheque.
Step 8: The subsidy will be transferred to your account within 30 days.

Documents Needed to Apply for Government Solar Scheme

  • Aadhaar card
  • PAN card
  • Proof of property ownership
  • Latest electricity bill
  • Bank passbook/cancelled cheque
  • Passport-size photograph
  • Proof of Income (if required)

Financing Options: Solar Panel Loans & More

A typical residential solar setup can cost anywhere from ₹50,000 to ₹6 lakhs, depending on the size and quality. You might be concerned whether the Government Solar Scheme would be enough to finance your solar energy dream. The good news is many banks and NBFCs offer solar rooftop loan and solar panel loans at competitive rates, so you don’t need to worry about upfront costs. These loans can help you cover the amount remaining after the government subsidy, making solar affordable for nearly every household.

Ready to Go Solar? We Make It Simple

Solar is taking India by the storm, with many Indian households making the switch from traditional electricity. At My Mudra, we help you compare solar panel loans, find the best solar rooftop loan for your home, and guide you through every step of the government solar scheme application. You focus on enjoying free, clean energy — we’ll handle the paperwork.

Also Read:
- How to Apply for Solar Subsidy in India
- Top Banks & NBFCs Offering Solar Project Loans in India

Frequently Asked Questions
Q1. What is the free solar panel scheme by Government of India? +

Ans: It’s a government solar panel scheme that offers up to 40% subsidy for rooftop solar installations, aiming to provide free electricity to one crore households.

Q2. Who can apply for the solar panel scheme? +

Ans: Indian citizens who own their house, have a valid electricity connection, and haven’t availed solar subsidy before.

Q3. How do I apply for the government solar scheme? +

Ans: Register online at the official portal, fill out the application, get approval, install the system, and submit your bank details for the subsidy.

Q4. How much solar loan subsidy will I get? +

Ans: Up to ₹78,000, depending on your system size and average monthly usage.

Q5. Can I get a solar rooftop loan if I need extra funds? +

Ans: Yes, you can apply for a loan for solar rooftop for home from various banks and NBFCs to cover the balance after subsidy.

Q6. Do I need to use a government-approved vendor? +

Ans: Yes, only empanelled vendors listed on the portal are eligible for subsidy.

Q7. How long does it take to get the subsidy? +

Ans: Usually within 30 days after installation and inspection.

Q8. Can tenants apply for the scheme? +

Ans: No, only property owners are eligible.

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Anjali Singh Assistant Manager
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Hey there, I'm Anjali Singh. With over 6 years of experience in finance, I specialize in creating content on banking, loans, and financial planning. My goal is to simplify complex financial topics and help readers make informed decisions through my articles.

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