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SolarSquare started in 2015 with the desire to escalate the mass adoption of solar in India.
We're now the third-largest EPC contractor in the country, having served 25,000+ homes and 250+ housing societies. Our services include:
We closely work with our customers and build a legacy that will last for as long as your solar system will last (at least 25 years).
An on-grid solar system is also known as a grid-tied system since it is connected to the main utility grid. One of the best things about installing on-grid solar at home is the subsidy you get. The Indian government offers homeowners a subsidy for installing a rooftop on-grid solar system ranging between Rs. 30,000 and Rs. 78,000 (depending upon the installed system capacity).
The on-grid solar system price varies from city to city and, of course, depends on the size of the system. Let’s give you a price demonstration from two different cities (one from North India and one from South India) to give you an idea about the on-grid solar system cost :
*Please note : The prices above are indicative as of 29th April 2025 for SolarSquare Blue 6ft variant. The final on-grid solar system cost in India depends on your city, DISCOM charges, product variant opted for, panel type, system capacity, inverter type, mounting structure height, type of after-sales service, savings guarantee, roof height, etc. Also, prices are subject to change without prior notice.
In this article, we’ve threaded the ins and outs of on-grid solar systems for you: workings, price details with and without a subsidy, and installation tips. Dive in for details!
An on-grid solar system (grid-tied) connects directly to the utility grid through a bi-directional meter (net meter). Most Indian homes with a reliable grid connection choose on-grid solar since this system is powerful enough to support all household energy requirements.
The on-grid solar system is a careful compilation of many components, listed below, arranged together to convert sunlight into electricity:
Wondering what the individual role of these components is? Let’s break it down for you!
Here’s a breakdown of how every single component in an on-grid solar system comes together to power your home.
1. Solar Panels
Solar panels are the most visible part of the solar system. They’re installed on the rooftop, facing the South direction. When sunlight falls on these panels, they absorb that sunlight and convert it into electricity.
Did you know? Solar electricity directly from the panels is DC power. Since homes require alternating current (AC), a solar inverter is needed to convert direct current into AC.
2. Solar Inverter
Without a solar inverter, the entire solar system would have been an impractical model. The solar inverter converts DC into AC.
This conversion is essential because that’s the only way to convert electricity generated from an on-grid solar system into a usable form (AC) that can run household appliances.
3. Solar Module Mounting Structures
These are the pillars that support solar panels. They must be of a standard grade so that they can withstand heavy winds during storms and cyclones and hold the weight of the solar panels for 25 years (that’s the life of a solar system).
The best solar module mounting structures are prefabricated in precision labs. They’re coated with hot-dip galvanizing on steel to make them rust-proof.
For instance, SolarSquare’s Intelligent WindPro MountTM 2.0 mounting structure, which is IIT-Bombay approved, can:
4. Solar Accessories
They might not sound that important in the entire setup, but solar accessories are as important as a panel, an inverter, or a mounting structure. Let’s see how!
Please note : all the DC cable connections are made using MC4 connectors.
5. Bi-directional Meter
Also known as a net meter, the bi-directional meter is basically designed to keep a track of:
An on-grid solar system will not become functional until and unless the regular meter is replaced with a bidirectional meter.
The net meter helps the discom track the power generated by the solar system, the power consumed, the power supplied to the grid, and the power imported.
At the end of every month, when the electricity bill is generated, the readings from the bidirectional meter give an account of:
Here’s how this solar net metering process helps:
Now you’ve seen how multiple on-grid solar system components come together, it makes sense to break down the process of sunlight getting converted into electricity.
Here’s how an on-grid solar system works
The Indian government offers a subsidy when you install an on-grid solar system for home. This subsidy remains the same for all states in India.
Here are the subsidy breakdown details:
| Solar System Size | Solar Subsidy Offered Under PM Surya Ghar Muft Bijli Yojana |
|---|---|
| 1 kWp | Rs. 30,000 |
| 2 kWp | Rs. 60,000 |
| 3 kWp and higher | Rs. 78,000 |
Please note : The subsidy is capped at Rs. 78,000 for on-grid rooftop solar systems that are 3 kWp or higher.
Here are the state subsidy details for UP homeowners:
Based on the details above, here’s a breakdown of the on-grid solar system subsidy for different capacity solar systems
| On-grid Solar System Size | On-grid Solar System Subsidy in All States Except UP | Total On-grid Solar System Subsidy in UP |
|---|---|---|
| 1 kWp | Rs. 30,000 | Rs. 30,000 + Rs. 15,000 = Rs. 45,000 |
| 2 kWp | Rs. 60,000 | Rs. 60,000 + Rs. 30,000 = Rs. 90,000 |
| 3 kWp | Rs. 78,000 | Rs. 78,000 + Rs. 30,000 = Rs. 1,08,000 |
| 4 kWp | Rs. 78,000 | Rs. 78,000 + Rs. 30,000 = Rs. 1,08,000 |
| 5 kWp | Rs. 78,000 | Rs. 78,000 + Rs. 30,000 = Rs. 1,08,000 |
| 10 kWp | Rs. 78,000 | Rs. 78,000 + Rs. 30,000 = Rs. 1,08,000 |
The solar system price in India is not fixed. It changes based on multiple factors, including:
Based on the factors listed above, we’ve estimated the price of an on-grid solar system in India in different cities. Let’s explore the details!
Here’s a breakdown of the estimated on-grid solar system price for a 2 kW solar system in different parts of India:
| City | 2 kW Solar System Price Without Subsidy (Starting Price - Indicative for Base Variant)* | Subsidy For On-grid System | 2 kW Solar System Price With Subsidy (Starting Price - Indicative for Base Variant)* |
|---|---|---|---|
| Pune, Maharashtra | ~ Rs. 1,75,000 | Rs. 60,000 | ~ Rs. 1,15,000 |
| Bhopal, Madhya Pradesh | ~ Rs. 1,80,000 | Rs. 60,000 | ~ Rs. 1,20,000 |
| Lucknow, Uttar Pradesh | ~ Rs. 1,80,000 | Rs. 90,000 | ~ Rs. 90,000 |
| Jaipur, Rajasthan | ~ Rs. 1,90,000 | Rs. 60,000 | ~ Rs. 1,30,000 |
| Ahmedabad, Gujarat | ~ Rs. 1,75,000 | Rs. 60,000 | ~ Rs. 1,15,000 |
| Bengaluru, Karnataka | ~ Rs. 2,00,000 | Rs. 60,000 | ~ Rs. 1,40,000 |
| Hyderabad, Telangana | ~ Rs. 1,75,000 | Rs. 60,000 | ~ Rs. 1,15,000 |
| Delhi | ~ Rs. 1,90,000 | Rs. 60,000 | ~ Rs. 1,30,000 |
| Chennai, Tamil Nadu | ~ Rs. 2,05,000 | Rs. 60,000 | ~ Rs. 1,45,000 |
*Please note : These prices are indicative as of 29th April 2025 for SolarSquare Blue 6ft variant. The final 2 kW on-grid solar system price in India depends on your city, DISCOM charges, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings guarantee, roof height, etc. Also, prices are subject to change without prior notice.
Here’s a tabulated snapshot of the 3 kW solar system price in India with and without a subsidy:
| City | 3 kW On-grid Solar System Price Without Subsidy (Starting Price - Indicative for Base Variant)* as of 29th April 2025 | On-grid Solar System Subsidy | 3 kW On-grid Solar System Price With Subsidy (Starting Price - Indicative for Base Variant)* as of 29th April 2025 |
|---|---|---|---|
| Pune, Maharashtra | ~ Rs. 2,05,000 | Rs. 78,000 | ~ Rs. 1,27,000 |
| Bhopal, Madhya Pradesh | ~ Rs. 2,10,000 | Rs. 78,000 | ~ Rs. 1,32,000 |
| Lucknow, Uttar Pradesh | ~ Rs. 2,10,000 | Rs. 1,08,000 | ~ Rs. 1,02,000 |
| Jaipur, Rajasthan | ~ Rs. 2,25,000 | Rs. 78,000 | ~ Rs. 1,47,000 |
| Ahmedabad, Gujarat | ~ Rs. 2,05,000 | Rs. 78,000 | ~ Rs. 1,27,000 |
| Bengaluru, Karnataka | ~ Rs. 2,35,000 | Rs. 78,000 | ~ Rs. 1,57,000 |
| Hyderabad, Telangana | ~ Rs. 2,10,000 | Rs. 78,000 | ~ Rs. 1,32,000 |
| Delhi | ~ Rs. 2,20,000 | Rs. 78,000 | ~ Rs. 1,42,000 |
| Chennai, Tamil Nadu | ~ Rs. 2,35,000 | Rs. 78,000 | ~ Rs. 1,57,000 |
*Please note : These prices are indicative as of 29th April 2025 for SolarSquare Blue 6ft variant. The final 2 kW on-grid solar system price in India depends on your city, DISCOM charges, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings guarantee, roof height, etc. Also, prices are subject to change without prior notice.
Here’s a detailed breakdown of the estimated 4 kW on-grid solar system price in India with and without a subsidy:
| City | 4 kW On-grid Solar System Price in India Without Subsidy (Starting Price - Indicative for Base Variant)* | Subsidy for On-grid System | 4 kW On-grid Solar System Price in India With Subsidy (Starting Price - Indicative for Base Variant)* |
|---|---|---|---|
| Pune, Maharashtra | ~ Rs. 2,50,000 | Rs. 78,000 | ~ Rs. 1,72,000 |
| Bhopal, Madhya Pradesh | ~ Rs. 2,55,000 | Rs. 78,000 | ~ Rs. 1,77,000 |
| Lucknow, Uttar Pradesh | ~ Rs. 2,55,000 | Rs. 1,08,000 | ~ Rs. 1,47,000 |
| Jaipur, Rajasthan | ~ Rs. 2,75,000 | Rs. 78,000 | ~ Rs. 1,97,000 |
| Ahmedabad, Gujarat | ~ Rs. 2,50,000 | Rs. 78,000 | ~ Rs. 1,72,000 |
| Bengaluru, Karnataka | ~ Rs. 2,85,000 | Rs. 78,000 | ~ Rs. 2,07,000 |
| Hyderabad, Telangana | ~ Rs. 2,65,000 | Rs. 78,000 | ~ Rs. 1,87,000 |
| Delhi | ~ Rs. 2,70,000 | Rs. 78,000 | ~ Rs. 1,92,000 |
| Chennai, Tamil Nadu | ~ Rs. 2,90,000 | Rs. 78,000 | ~ Rs. 2,12,000 |
*Please note : These prices are indicative as of 29th April 2025 for SolarSquare Blue 6ft variant. The final 4 kW on-grid solar system price in India depends on your city, DISCOM charges, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings guarantee, roof height, etc. Also, prices are subject to change without prior notice.
Here’s a detailed breakdown of the estimated 5 kW on-grid solar system price in India with and without a subsidy:
| City | 5 kW On-grid Solar System Price in India Without Subsidy (Starting Price - Indicative for Base Variant)* | Subsidy for On-grid System | 5 kW On-grid Solar System Price in India With Subsidy (Starting Price - Indicative for Base Variant)* |
|---|---|---|---|
| Pune, Maharashtra | ~ Rs. 3,00,000 | Rs. 78,000 | ~ Rs. 2,22,000 |
| Bhopal, Madhya Pradesh | ~ Rs. 3,10,000 | Rs. 78,000 | ~ Rs. 2,32,000 |
| Lucknow, Uttar Pradesh | ~ Rs. 3,05,000 | Rs. 1,08,000 | ~ Rs. 1,97,000 |
| Jaipur, Rajasthan | ~ Rs. 3,20,000 | Rs. 78,000 | ~ Rs. 2,42,000 |
| Ahmedabad, Gujarat | ~ Rs. 2,95,000 | Rs. 78,000 | ~ Rs. 2,17,000 |
| Bengaluru, Karnataka | ~ Rs. 3,70,000 | Rs. 78,000 | ~ Rs. 2,92,000 |
| Hyderabad, Telangana | ~ Rs. 3,40,000 | Rs. 78,000 | ~ Rs. 2,62,000 |
| Delhi | ~ Rs. 3,15,000 | Rs. 78,000 | ~ Rs. 2,37,000 |
| Chennai, Tamil Nadu | ~ Rs. 3,65,000 | Rs. 78,000 | ~ Rs. 2,87,000 |
*Please note : These prices are indicative as of 29th April 2025 for SolarSquare Blue 6ft variant. The final 5 kW on-grid solar system price in India depends on your city, DISCOM charges, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings guarantee, roof height, etc. Also, prices are subject to change without prior notice.
Let’s give you a glimpse of the on-grid solar panel installation cost in India for a 10 kW solar system:
| City | 10 kW On-grid Solar System Price in India Without Subsidy (Starting Price - Indicative for Base Variant)* | On-grid Solar System Subsidy | 10 kW On-grid Solar System Price in India With Subsidy (Starting Price - Indicative for Base Variant)* |
|---|---|---|---|
| Pune, Maharashtra | ~ Rs. 5,75,000 | Rs. 78,000 | ~ Rs. 4,97,000 |
| Bhopal, Madhya Pradesh | ~ Rs. 5,80,000 | Rs. 78,000 | ~ Rs. 5,02,000 |
| Lucknow, Uttar Pradesh | ~ Rs. 5,80,000 | Rs. 1,08,000 | ~ Rs. 4,72,000 |
| Jaipur, Rajasthan | ~ Rs. 6,20,000 | Rs. 78,000 | ~ Rs. 5,42,000 |
| Ahmedabad, Gujarat | ~ Rs. 5,70,000 | Rs. 78,000 | ~ Rs. 4,92,000 |
| Bengaluru, Karnataka | ~ Rs. 6,40,000 | Rs. 78,000 | ~ Rs. 5,62,000 |
| Hyderabad, Telangana | ~ Rs. 6,00,000 | Rs. 78,000 | ~ Rs. 5,22,000 |
| Delhi | ~ Rs. 5,90,000 | Rs. 78,000 | ~ Rs. 5,12,000 |
| Chennai, Tamil Nadu | ~ Rs. 6,35,000 | Rs. 78,000 | ~ Rs. 5,57,000 |
*Please note : These prices are indicative as of 29th April 2025 for SolarSquare Blue 6ft variant. The final 10 kW solar system price in India depends on your city, DISCOM charges, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings guarantee, roof height, etc. Also, prices are subject to change without prior notice.
Here’s the estimated starting price for solar panel installation in India before subsidy - Base variant:
*Please note : These prices are indicative as of 29th April 2025 for SolarSquare Blue 6ft variant. The actual final on-grid solar system cost depends on your city, DISCOM charges, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings guarantee, roof height, etc. Also, prices are subject to change without prior notice.
Here’s the estimated starting price for solar panel installation in India after a subsidy - Base variant:
*Please note : These prices are indicative as of 29th April 2025 for SolarSquare Blue 6ft variant. The actual final on-grid solar system cost depends on your city, DISCOM charges, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings guarantee, roof height, etc. Also, prices are subject to change without prior notice.
The return on investment depends on a lot of factors, including:
Let’s give you an example of ROI on installing a 3 kW on-grid solar system in Nagpur.
Here are a few factors we’ve considered:
Based on the factors listed above, you will save ~ Rs. 16.58 lakhs in 25 years by installing a 3 kW system that costs ~ Rs. 1,02,000* in Lucknow to ~ Rs. 1,57,000* in Bengaluru and Chennai today. The initial investment cost will break even in 3-5 years, after which you’ll benefit from free electricity throughout your system’s life.
*Please note : These prices are indicative as of 29th April 2025 for SolarSquare Blue 6ft variant. The actual final on-grid solar system cost depends on your city, DISCOM charges, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings guarantee, roof height, etc.
Not from Nagpur, but would like to get an estimate of how much money you’ll save by installing an on-grid solar system at home? Use SolarSquare’s Solar Power Savings Calculator to get an estimate today.
Installing solar at home comes with a unique set of advantages (and a few limitations). Let’s get started with the many benefits you’ll reap by installing a rooftop on-grid solar system at home:
Now that you know the advantages, let’s also walk you through the limitation of installing on-grid solar: power outages!
Although connection with the grid is a sure benefit, it's also a limitation. When there's a power cut from the grid, the on-grid solar system automatically shuts down. This interruption in the supply of power is known as a power outage.
The main reason an on-grid solar inverter is designed to automatically shut down if the grid fails is to eliminate safety risks. This particular feature that differentiates on-grid inverters from all other types is called Anti-Islanding Protection.
So, which is better: off-grid or on-grid solar systems?
Hands down, on-grid solar systems in urban areas with a reliable grid are unbeatable for meeting a home's power requirements.
So, if your power grid is reliable, investing money in an on-grid solar system is the smarter choice!
Before we can walk you through the on-grid solar panel installation process, it’s important to clarify that installing rooftop solar is not a DIY task. You must leave it in the hands of experts to install solar because it’s critical to:
None of the aforementioned factors can be executed to perfection if you do it yourself, and all these factors impact the final power generation.
That said, here are the simple steps SolarSquare’s professionals follow to install an on-grid solar system at your home:
Kyunki, mehanagi bijli se muft bijli tak ka safar aasaan banaata hai, SolarSquare!
Here are a few reasons that make SolarSquare India’s most-trusted solar rooftop company:
Installing an on-grid solar system is a big decision, and it’s your right to be critical about it. When you choose the right quality components, a system you install today can last for at least 25 years.
The solar panel installation cost in India varies from city to city, and you should trust a company that’s highly rated by customers. For instance, SolarSquare boasts an impressive rating of 4.8 from 7,000+ genuine customers.
Moreover, the Indian government is offering homeowners a subsidy to install on-grid solar panels. This subsidy will be offered only till the government meets its target of solarizing 1 crore homes under the PM Surya Ghar Muft Bijli Yojana. So, why the wait now? Go solar and get freedom from paying for electricity now!
Q. Does on-grid solar need a battery?
Q. Do solar panels work at night?
Q. What is the difference between on-grid and hybrid solar systems?
Q. What is the on-grid solar panel price in India?
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