How Much Does Rooftop Solar Cost in India in 2026?

The Short Answer

A rooftop solar system in India costs ₹55–₹75 per watt before subsidy, or roughly ₹60,000 for a 1kW system to ₹6,50,000 for 10kW. After the PM Surya Ghar central subsidy, a popular 3kW system costs most homeowners ₹1,15,000–₹1,40,000 out of pocket. Actual pricing depends on panel type, inverter brand, roof structure, and your city.

Rooftop Solar Cost by System Size

System size is the biggest cost driver. Here are current market prices based on quotes from our installer network:

System Size	Price (before subsidy)	PM Surya Ghar Subsidy	Net Cost (after subsidy)
1kW	₹60,000–₹80,000	₹30,000	₹30,000–₹50,000
2kW	₹1,10,000–₹1,40,000	₹60,000	₹50,000–₹80,000
3kW	₹1,50,000–₹1,90,000	₹78,000	₹72,000–₹1,12,000
5kW	₹2,50,000–₹3,20,000	₹78,000	₹1,72,000–₹2,42,000
10kW	₹5,00,000–₹6,50,000	₹78,000	₹4,22,000–₹5,72,000

Prices based on on-grid systems with monocrystalline panels. Prices vary by location and installer.

For detailed guides: 1kW · 2kW · 3kW · 5kW · 10kW

What Determines Rooftop Solar Cost?

Six factors drive the total cost of a rooftop solar installation:

Solar panels (40–50% of cost) — Monocrystalline panels cost more than polycrystalline but deliver 15–20% higher efficiency per square foot. Bifacial panels cost even more but can generate 10–15% extra power. Compare panel prices →
Inverter (20–25% of cost) — On-grid string inverters are most affordable. Micro-inverters cost 30–50% more but optimise output per panel. Inverter guide →
Mounting structure (10–15%) — Flush mounts for flat roofs cost less. Elevated tilt structures for sloped or shaded roofs add ₹3,000–₹5,000 per kW.
Wiring and electrical (5–8%) — DC cables, AC distribution board, earthing, and lightning arrestor.
Installation labour (5–10%) — Varies by city and roof complexity. Multi-storey buildings cost more.
Net metering and approvals (2–5%) — DISCOM application fees, meter cost, and inspection charges.

Solar Panel Cost Breakdown by Type

Panel technology has the biggest impact on per-watt pricing. Here is how the main types compare:

Panel Type	Cost per Watt	Efficiency	Best For
Polycrystalline	₹22–₹28/W	15–17%	Budget installations, large roofs
Monocrystalline	₹28–₹35/W	19–22%	Most homes, space-efficient
Mono PERC	₹30–₹38/W	20–23%	Premium efficiency
Bifacial	₹35–₹45/W	20–24%	Elevated mounts, reflective surfaces

Monocrystalline panels now dominate 80% of residential installations in India due to their superior efficiency-to-cost ratio. Mono vs Poly detailed comparison →

What Does Installation Cost Include?

A complete rooftop solar installation quote from a verified installer typically includes:

Solar panels with 25-year performance warranty
Solar inverter with 5–10 year warranty
Mounting structure — galvanised iron or aluminium, designed for your roof type
Electrical components — DC/AC cables, junction box, distribution board, earthing kit
Installation labour — typically completed in 1–3 days for residential systems
DISCOM paperwork — net metering application and liaison
Commissioning — system testing, grid synchronisation, and handover

Always confirm whether the quote includes net metering fees and GST (currently 13.8% for solar systems with both panels and inverter).

Detailed installation cost breakdown →

How Subsidies Reduce Your Cost

The PM Surya Ghar Yojana (2024–2027) offers direct subsidy to residential consumers:

System Capacity	Subsidy Rate	Total Subsidy
Up to 2kW	₹30,000 per kW	Up to ₹60,000
2kW to 3kW	₹18,000 per kW (additional)	Up to ₹78,000
Above 3kW	No additional subsidy	Capped at ₹78,000

Key eligibility rules:

Only for grid-connected (on-grid) residential systems
Must be installed by an MNRE-empanelled vendor
Subsidy is credited directly to your bank account after installation and DISCOM inspection
One subsidy per household (linked to electricity consumer number)

Some states offer additional top-up subsidies. Check your state subsidy →

Cost Per Watt: The Real Comparison Metric

Cost per watt is the best way to compare solar quotes across different system sizes and brands. It normalises the price to a standard unit, making apples-to-apples comparison possible.

Current market range: ₹55–₹75 per watt (installed, before subsidy)

A quote of ₹1,80,000 for a 3kW system equals ₹60/W — competitive pricing. A quote of ₹2,25,000 for the same 3kW system is ₹75/W — ask what premium components justify the higher rate.

When comparing quotes, ensure all are at the same scope (including GST, net metering fees, and mounting). A low per-watt price with excluded costs is misleading.

Full guide: Solar Cost Per Watt in India →

ROI and Payback Period

Rooftop solar delivers strong financial returns in India thanks to high electricity tariffs and generous subsidies:

Payback period: 3–6 years (after subsidy) depending on your tariff slab and system size
25-year savings: ₹4,00,000–₹15,00,000+ depending on system size and tariff escalation
Annual return: 15–25% IRR — better than most fixed-income investments

The higher your current electricity bill, the faster the payback. Homes paying ₹8+/unit see payback in under 4 years. Those in lower tariff slabs (₹4–₹5/unit) still break even in 5–6 years.

→ Calculate your personalised ROI with our solar calculator

Get an Accurate Quote for Your Roof

Online price estimates give you a range. For an accurate number, you need quotes specific to your roof type, location, shading conditions, and energy consumption.

Solar Vipani connects you with 2–3 verified local installers who will assess your roof and provide detailed, comparable quotes — free and without obligation.

Get your free solar quotes →

Common questions

What is the cost of a 1kW solar system in India?

A 1kW rooftop solar system costs ₹60,000–₹80,000 before subsidy. After the PM Surya Ghar subsidy of ₹30,000, your out-of-pocket cost is ₹30,000–₹50,000. This size suits small homes or 1 BHK flats with basic electrical loads.

Are solar panels worth the investment in India?

Yes. With a payback period of 3–6 years and system life of 25+ years, rooftop solar delivers 15–25% annual returns. Government subsidies cover up to ₹78,000 of upfront cost. After payback, you essentially get free electricity for two decades.

How much subsidy can I get on rooftop solar panels?

Under PM Surya Ghar, residential consumers get ₹30,000/kW for the first 2kW and ₹18,000/kW for the 3rd kW — a maximum of ₹78,000 for a 3kW system. Subsidy is available only for on-grid systems installed by MNRE-registered vendors.

What is the payback period for rooftop solar in India?

Most homeowners recover their investment in 3–6 years. Homes with high electricity bills (₹3,000+/month) and full subsidy utilisation see payback in as little as 3 years. After payback, electricity savings go directly into your pocket for the remaining 20+ years of system life.

Does rooftop solar increase property value?

Yes. Homes with solar installations command a premium because buyers value reduced electricity costs and energy independence. While Indian real estate data is limited, the combination of lower bills and a modern amenity makes solar-equipped homes more attractive to buyers.

Is there GST on rooftop solar systems?

Solar systems sold as a package (panels + inverter + installation) attract 13.8% GST under the composite supply rule. If you buy panels separately, they attract 12% GST, while inverters attract 12% GST separately. The quoted price from most installers includes GST.

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