Solar Government Policies &
Subsidies in India (2025)
Complete guide to PM Surya Ghar subsidy, net metering regulations, accelerated
depreciation for businesses, and state-level solar incentives in Telangana and Andhra Pradesh.
PM SURYA GHAR: MUFT BIJLEE YOJANA
Launched in February 2024 by the Government of India, the PM Surya Ghar Muft Bijlee Yojana is the country’s largest ever residential solar programme. With a budget of ₹75,021 crore, it targets installing rooftop solar on 1 crore Indian homes by 2027.
| SYSTEM SIZE | SUBSIDY CALCULATION | TOTAL SUBSIDY |
|---|---|---|
| Up to 2 kW | ₹15,000 per kW | ₹30,000 |
| 2–3 kW (for 3rd kW) | ₹30,000 + ₹18,000 | ₹48,000 |
| 3–10 kW (above 3 kW) | ₹54,000 + ₹6,000/kW | Up to ₹78,000 |
| Above 10 kW | No additional subsidy | ₹78,000 (Capped) |
The subsidy is calculated on MNRE benchmark cost, not the actual invoice amount.
🏠 WHO QUALIFIES?
This is a residential-only scheme. Businesses get Tax Saving benefits instead.
🏢 ACCELERATED DEPRECIATION
Under Section 32 of the Income Tax Act, businesses can claim 40% accelerated depreciation on solar assets in Year 1.
| SYSTEM COST | AD AT 40% | TAX SAVING (30%) | EFFECTIVE COST |
|---|---|---|---|
| ₹5,00,000 | ₹2,00,000 | ₹60,000 | ₹4,40,000 |
| ₹10,00,000 | ₹4,00,000 | ₹1,20,000 | ₹8,80,000 |
| ₹25,00,000 | ₹10,00,000 | ₹3,00,000 | ₹22,00,000 |
🌍 STATE-LEVEL POLICIES — TELANGANA & ANDHRA PRADESH
HOW TO CLAIM THE PM SURYA GHAR SUBSIDY
LAVISHRAYS DOES ALL OF THIS FOR YOU
Every step above is handled by LavishRays — from portal registration to subsidy tracking. You sign once and share your documents. We do the rest and notify you when the money lands in your account.