The Ministry of New and Renewable Energy (MNRE) has introduced a number of subsidies in order to promote Solar energy in India.
The following solar systems are eligible for a subsidy:
- Solar Water Pumps
- On-Grid Solar System
- HYBRID Solar Systems
Is the subsidy available to you?
The solar subsidy is available to the following categories:
|Residential||All residential buildings including group housing|
|Institutional||All schools, colleges and institutes|
|Social Sector||All Non-profit organizations including community centers, welfare homes, old age homes, orphanages etc.|
How much Solar subsidy is available?
As per the current guidelines set by MNRE, 30-90% subsidy on benchmark capital cost is available to consumers.
|% of Benchmark Cost||Applicable for|
|30%||All other States/UTs not covered under Special States|
|70%||Special Category States/Islands:North Eastern States including Sikkim, Uttarakhand, Himachal Pradesh, Jammu & Kashmir and Lakshadweep, Andaman & Nicobar Islands|
|90%||Solar Water Pumping Systems for Farmers|
Step-by-Step Guide to get the MNRE Subsidy
|Step 1||Submit a project report (entailing technical and financial details, operations and maintenance plan) along with system monitoring and reporting details to MNRE via district head of your State Nodal Agency (SNA)|
|Step 2||MNRE evaluates your project on technical and financial points|
|Step 3||Following approval of your project by MNRE, Open tenders are invited by your SNA and a channel partner will be selected from open bidding process|
|Step 4||Channel Partner completes the installation process|
|Step 5||SNA inspects your installation to ensure that only MNRE approved components are installed|
|Step 6||The subsidy amount is released to channel partner directly from MNRE|
|Step 7||You will be responsible for the payment of 70% of the system cost. You can choose to finance your solar plant and may work with your bank to procure finance for 70% of the system cost|