Government Schemes & Subsidies
Understanding Solar Subsidies in India
Not every solar project gets a direct cash subsidy. Benefits vary by customer type and include net metering credits, tax incentives, and state-specific schemes.
We help you navigate the complex landscape of solar incentives to maximize your benefits. Rules vary by state and DISCOM, so it's important to confirm eligibility during the proposal stage.
Quick Summary
- Residential: Up to 30% subsidy
- Commercial: 40% accelerated depreciation
- Net Metering: Export credits
- GST: 12% on solar equipment
Benefits by Customer Type
Homeowners (Residential)
- ✓ Central Subsidy (MNRE)
30% for systems up to 3 kW, 20% for 3-10 kW
- ✓ Net Metering
Export excess power and get bill credits
- ✓ Lower GST
12% GST on solar equipment vs 18% standard
- ✓ State Incentives
Additional benefits in some states
Commercial & Industrial
- ✗ No Direct Subsidy
C&I typically don't get cash subsidies
- ✓ Accelerated Depreciation
Claim 40% depreciation in first year
- ✓ Net Metering / Banking
Subject to state caps and regulations
- ✓ Open Access
For larger loads, buy solar power at lower rates
How Net Metering Works
Net metering allows you to export excess solar power to the grid and receive credits on your electricity bill. It's one of the biggest financial benefits of going solar.
Key Points:
- Export excess power during the day
- Receive bill credits at applicable rates
- State-specific capacity caps apply
- Billing done on monthly/annual cycle
Net Metering Capacity Limits
| State | Typical Cap |
|---|---|
| Delhi | Up to 100% of sanctioned load |
| Uttar Pradesh | Up to 100% of sanctioned load |
| Haryana | Up to 100% of sanctioned load |
| Rajasthan | Up to 100% of sanctioned load |
How SIA Solar Helps with Subsidies
Eligibility Check
Site Survey
System Design
Documentation
Installation
AMC Support
Important Disclaimer
Schemes, subsidies, and regulatory benefits vary by state, DISCOM rules, and eligibility category. They may change over time. Final eligibility and benefit computation must be confirmed during the proposal stage through the applicable authority/portal. This page is for informational purposes only.