Know About Government Subsidy on Solar Panels 2024

All of your industrial and domestic appliances most likely run on power from the state electricity grid, which can be unstable and harmful to the environment. Wouldn’t it be amazing to have your own solar-powered power source, which would also help you cut down on your carbon footprint? Yes, it’s always a good option! In fact, the Government Subsidy on Solar Panels 2024 offers a wide range of Subsidies to increase the installation. 

The Indian government has launched a project called Solar Rooftop Power Plant to save energy and resources for future generations. The Centre government introduced the MNRE solar subsidy program, which offers the domestic sector 40% up to 3 kW plus 20% for any remaining amounts beyond 3 kW up to 10 kW. Additionally, there is a 90% subsidy available for farmers installing water pumping equipment, and a 70% subsidy in states with hill stations like Himachal Pradesh, Uttarakhand, and Jammu & Kashmir.

What is Solar Subsidy?

India has a solar subsidy policy in place to increase the use of solar energy in the residential sector. By giving customers financial support, it lessens the cost of installing solar panels. Residential customers can save up to 40% on installation costs with this incentive. Furthermore, these funds are open to applications from citizens of the entire nation. However, what is the incentive’s value and how many people claim it? Let’s investigate it more.

Why Does the Government Give Solar Subsidies?

The goal of using 100 GW of power is something that the Indian Ministry of New and Renewable Energy (MNRE) is working towards by introducing several Central Financial Assistance (CFA) initiatives that encourage the use of solar energy in India. Through this, the government will offer solar panel incentives to businesses and the domestic sector that are fostering growth.

This solar panel subsidy is only available to the residential, institutional, and social sectors. It is not available to businesses, industries, or the public sector. By the conclusion of the fiscal year 2023–2024, the goal for solar rooftop installations should have a total of 8 lac users. Following this, a solar rooftop subsidy was initiated by the government. 

For solar rooftop systems, the central government and state government provide different ranges of subsidies. One can benefit from these subsidies by installing a good quality solar system. This initiative has shown the government a massive increase in the installation and reach their target for 2023-2024. 

Benefits of Solar Subsidy

The government subsidy on solar panels is differentiated by the production of Kilo Watt Power. It can provide benefits to local as well as private-sector industries. Some of the common benefits include:

• If you intend to install rooftop systems for solar panel schemes in India, nationalized banks offer loans up to Rs 10 lakhs under the heading of house or home improvement loans. 
• Along with receiving Rs 2 for each unit of electricity produced, consumers would also be eligible for incentives. 
• After taking advantage of the solar rooftop subsidies, the average cost of installing solar panels on a rooftop will be affordable by the common people too. 
• Customers who install solar panels under the Indian government’s initiative are eligible for generation-based incentives worth up to Rs 2000–3000 annually. 
• In addition, those who sell extra electricity will be paid a defined price per unit based on government-established pricing. 

Central Government Subsidy on Solar Panels

DBT (Direct Bank Transfer)  is the name of the central government’s subsidy program. Under this plan, the subsidy money will be transferred straight into the customer’s bank account within 30 days of the solar system being put into service. The amount of subsidy provided by the central government on different ranges of power production is listed below. 

If you want to enroll with a central government subsidy on solar panels, you can directly go on the National Portal for Solar Portal and apply with your details and documents to avail of the offer. You will contacted later after the document verification. 

Uttarakhand State Government Subsidy

The National Government portal allows residential consumers from all over India to access the financial incentive, even if the Delhi government fails to offer further subsidies. One can easily apply for a subsidy online using the recently developed National Portal for Rooftop Solar and follow the full process from application submission to transferring funds to the appropriate bank account. The Uttarakhand has a different subsidy than the central government. It is also divided based on the power production.

How Can We Help?

With several years of experience in the solar business, Mentor Water Experts is among the top solar panel contractors in India. Along with Solar Panels, we also provide several other services related to pumps, swimming pools, sewage treatment plants, water heating systems, water treatment plants, and reverse osmosis plants. We can provide you with a dependable, reasonably priced, and trustworthy selection of solar panels, inverters, and solar accessories.

We are just a call away. Contact us at 7351002123 and get a solar panel system installed at your home.