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What is the solar subsidy policy?

Global warming is a significant problem for the worldwide community, as it has a significant impact on the global environment. In order to meet this issue, the Indian government has set a target of 40% renewable energy generation by 2030. For that, the government of India has taken a highly progressive step in the direction of democratizing rooftop solar across Indian homes and residential sector.

A Surya Gujarat Portal Scheme (https://www.suryagujarat.guvnl.in) for Rooftop Solar was launched last year. On this portal, any residential consumer from any part of the state of Gujarat can benefit up to 40% from subsidy. So, consumer needs to pay lesser money of the actual cost of the system.

Solar Rooftop Subsidy Price in Gujarat

The subsidy benefit through this Surya Gujarat portal is common for the entire State across all Districts; be it south, north, or western Gujarat includes all DisComs UGVCL, DGVCL, PGVCL, MGVCL, Torrent Ahmedabad & Torrent Surat.

Solar Rooftop

Some points for Solar Rooftop Installation:-

Subsidy for Residential Consumer :- Subsidy of 40% shall be available for the Solar rooftop systems up to 3 KW; and 20% for Solar rooftop systems beyond 3 KW up to 10 KW, installed and commissioned by private residential consumers on the approved price discovered through the competitive bidding or benchmark cost Issued by MNRE, whichever is lower.

Subsidy for Common facilities of GHS/RWA :- For Group Housing Society (GHS) / Residential Welfare Association (RWA),the subsidy would also be available at a rate of 20% for solar rooftop system for supply of power to common facilities of that GHS/RWA, on the approved price discovered through the competitive bidding.

The capacity eligible for the subsidy to GHS/RWA will be limited to 10 KW per House and the total shall not exceed 500 KW per GHS/RWA. Common facilities shall include such assets of the GHS/RWA that are built for the use of all its residents such as waterworks, lift, streetlights, gym, swimming pool, garden, etc.

In case of capacity Addition :- The following consumers those who have already installed and commissioned the solar rooftops under the earlier scheme shall also be eligible for the subsidy, provided that

  • The already commissioned system is of capacity less than 10 KW
  • The subsidy shall be eligible only for the incremental capacity @ 40% if the aggregate capacity upon enhancement is not more than 3 KW and @20% if the aggregate capacity of the enhanced system is less than 10 KW.

Approved Rate:-

Approved Rate discovered through MGVCL/DSM/EoV/SRT/2021-22/2137 dated. 9.2.2022 for Urban area & MGVCL/DSM/EoV/SRT/2021-22/1227 dated. 9.2.2022 for Rural area for Design, Supply, Installation, testing & Commissioning of Grid connected Rooftop Solar Photovoltaic Systems in Residential premises, including five years comprehensive maintenance:-

Sr. No. System Capacity Range Discovered Rate for Urban Area (RGPU Tarrif) Discovered Rate for Rural Area (RGPR Tarrif) Benchmark cost as per MNRE
Rs Per kW Current GST Rs@13.8% Total Rs Per kW Current GST Rs@13.8% Total Rs Per kW Current GST Rs@13.8% Total
1 1.00 kW 40000 5520 45520 40000 5520 45520 46923 6475.37 53398.37
2 21.01 kW to 2.00 kW 45000 6210 51210 45000 6210 51210 43140 5953.32 49093.32
3 2.01 kW to 3.00 kW 42000 5796 47796 43000 5934 48934 42020 5798.76 47818.76
4 3.01 kW to 4.00 kW 42000 5796 47796 43000 5934 48934 40991 5656.76 46647.76
5 4.01 kW to 5.00 kW 42000 5796 47796 42000 5796 47796 40991 5656.76 46647.76
6 5.01 kW to 6.00 kW 41000 5658 46658 41000 5658 46658 40991 5656.76 46647.76
7 Above 6 kW and up to 10kW 40500 5589 46089 40500 5589 46089 40991 5656.76 46647.76
8 Above 10 kW and up to 25 kW 38500 5313 43813 38766 5349.71 44115.71 38236 5276.57 43512.57
9 Above 25 kW and up to 50 kW 37500 5175 42675 38500 5313 43813 38236 5276.57 43512.57
10 Above 50 kW and up to 100 kW 33700 4650.6 38350.6 32700 4512.6 37212.6 38236 5276.57 43512.57
11 Above 100 kW to 500 KW 28990 4000.62 32990.62 28990 4000.62 32990.62 35886 4952.27 40838.27

GRACE RENEWABLE ENERGY PVT. LTD. (GREPL), Gujarat’s leading home solar solutions technology company, which also runs one of India’s largest online rooftop solar platform (https://www.gracerenew.com) has made it easy and reliable for home consumers to go about their entire solar journey and the subsidy benefit process in a highly transparent and efficient manner. Thousands of consumers are benefiting from GREPL.’s digital solar platform for their solar journey.

Homeowners can click on GREPL’s site and within 5 minutes they can get free Electricity on their home.

rooftop solar platform

There are many benefits of rooftop solar depending upon for the kind of solar power solution you adopt. The key benefits are as follows:-

Financial benefits:-

Using solar gives you assured savings over your electricity bills. Minimum savings start with 10 % going up to 40% on your monthly bills. More Savings = More Money = More Earning.

Saving Environment:-

Using Solar system means reducing your power consumption from the grid or in other words your power distribution company (DISCOM). Your DISCOM typically sources power generated from coal or other similar non-renewable energy resources. Therefore, the lesser the consumption of power from the grid, lesser the need for generation and hence lesser the consumption of non-renewable energy resources.


Solar rooftop is an investment and must be treated in the same manner as money invested in a business project, the added pay-off being self-sufficiency in terms of power. Returns from solar power plants vary depending on the type and size of the solution and from location to location reaching up to 50% in some cases. Using solar for your commercial establishment has benefits for owner of premises’ business too.