PM Surya Ghar Muft Bijli Yojana: Everything You Need To Know And Amount Of Subsidy?

PM Modi launched PM Surya Ghar Muft Bijli Yojana, which aims to offer free electricity to 1 crore households, promoting solar energy adoption.
Subsidy Scheme, 
Solar Energy
Subsidy Scheme, Schemes, Solar Energy

Prime Minister Narendra Modi on February 13, 2023, announced the launch of PM Surya Ghar Muft Bijli Yojana, aimed at providing up to 300 units of free electricity monthly to 1 crore households in the country. The project with an investment exceeding Rs 75,000 crore, aims to seek to boost income levels, reduce power bills, and improve employment opportunities, Modi said.

What Is PM Surya Ghar Muft Bijli Yojana?

Through his official social media handle PM Modi said, “To further sustainable development and people’s wellbeing, we are launching the PM Surya Ghar: Muft Bijli Yojana. This project, with an investment of over Rs. 75,000 crores, aims to light up 1 crore households by providing up to 300 units of free electricity every month,” Modi further said. To popularise this scheme at the grassroots, Urban Local Bodies and Panchayats shall be incentivised to promote rooftop solar systems in their jurisdictions. At the same time, the scheme will lead to more income, lesser power bills and employment generation for people, PM Modi said.

He indicated that the power bills go down, however, there is no clarity as to whether the excess power generated over 300 units, that is sold by Discoms to other customers, will be bought from people and if they would be remunerated for it. Under the PM Surya Ghar: Muft Bijli Yojana, all residential households are eligible for subsidies on rooftop solar installations. Rooftop solar PV systems can be installed on any type of roof having sufficient load-bearing capacity. On a clear sunny day, a 1 KW solar power plant can generate 4 to 5.5 units in a day.

Subsidy Amount

For solar panels with capacities up to 2 kW, households can avail of a subsidy of Rs. 30,000 per kilowatt, and Rs 18,000 per kW for additional capacity up to 3 kW. For larger systems exceeding 3 kW, the total subsidy is capped at Rs 78,000. The ideal rooftop solar plant capacity varies based on the average monthly electricity consumption of households. For instance, households consuming 0 to 150 units per month should install 1 to 2 kW systems, with subsidies ranging from Rs. 30,000 to Rs. 60,000. Similarly, households consuming 150 to 300 units per month can install 2 to 3 kW systems and avail subsidies from Rs. 60,000 to Rs. 78,000. For households consuming more than 300 units per month, systems above 3 kW with a subsidy of Rs. 78,000 are advised.

Application Process

The application process for rooftop solar panels is simple. Applicants can register online at, providing essential details such as state, electricity distribution company, electricity consumer number, mobile number, and email address. Then log in with the consumer number and mobile number. Further, apply for rooftop solar installation and await feasibility approval from the distribution company (DISCOM).

Then with help from any registered vendors for installation, you can install the solar plant. Subsequently, submit plant details and apply for a net meter. Upon installation and inspection by DISCOM, households can obtain a commissioning certificate from them and submit bank account details and a cancelled cheque for subsidy disbursement. You will receive your subsidy in your bank account within 30 days, the official website said.

Related Stories

No stories found.
Outlook Business & Money