{"id":3001,"date":"2024-02-23T11:23:41","date_gmt":"2024-02-23T11:23:41","guid":{"rendered":"https:\/\/solarsquare.in\/blog\/?p=3001"},"modified":"2026-01-23T08:23:43","modified_gmt":"2026-01-23T08:23:43","slug":"hows-the-govt-simplifying-net-metering-and-subsidy-on-solar-panel-systems-in-2024","status":"publish","type":"post","link":"https:\/\/staging.solarsquare.in\/sse-blog\/hows-the-govt-simplifying-net-metering-and-subsidy-on-solar-panel-systems-in-2024\/","title":{"rendered":"How\u2019s the Govt Simplifying Net Metering and Subsidy on Solar Panel Systems in 2024?"},"content":{"rendered":"\r\n

India is the land of snake charmers \u2013 they mocked!\u00a0<\/em><\/p>\r\n\r\n\r\n\r\n

It was a nation stripped of all its resources and glory for over 200 years!<\/em><\/p>\r\n\r\n\r\n\r\n

And when it snatched its freedom in 1947, what was left behind was chaos and unrest!<\/em><\/p>\r\n\r\n\r\n\r\n

In 1947, ours was a country with a literacy rate so poor that the West hung onto its beliefs that India would forever be nothing but a land of snake charmers. Even if there had been a prophecy, nobody would have believed then that India could one day become the face of the #hargharsolar revolution, installing rooftop solar systems and offering a govt subsidy on solar across homes nationwide!<\/p>\r\n\r\n\r\n\r\n

But just as the sun rises to its full glory after every eclipse, India too emerged from the ashes of nothingness! From nowhere on the list of development and achievements, the nation rose to be the 4th largest producer of renewable energy and home to the world\u2019s largest solar power plant<\/strong><\/a>, the Bhadla Solar Park.\u00a0<\/p>\r\n\r\n\r\n\r\n

The government realized early on that proper development could only come from utilizing natural resources. And the most abundant resource available was sunlight, which could be converted to electricity. The primary aim behind taking gamble after gamble to popularize solar energy was to make electricity affordable (possibly free) for everyone!\u00a0<\/p>\r\n\r\n\r\n\r\n

Ever since this realization struck, the Indian government has been simplifying the net metering meter installation (net meter installation) and solar commissioning processes, developing unique solar subsidy schemes, and offering a higher subsidy on solar panel systems to make solar affordable.\u00a0<\/p>\r\n\r\n\r\n\r\n

And being true ambassadors of the #Apna Desh Apni Bijli movement, we have created this article. It is a snapshot of all the latest changes the government has made to simplify solar installation for homeowners.\u00a0<\/p>\r\n\r\n\r\n\r\n

We’ve also walked the extra mile to gather the never-spoken-of-before modifications in the govt subsidy on solar, expected to be launched soon!<\/p>\r\n\r\n\r\n\r\n

So, without further preamble, we present to you what\u2019s new in subsidy on solar panel systems and net metering system installation processes \u2014 use this golden pass to have a closer look at what solar installation at your home will feel like in 2024!\u00a0<\/p>\r\n\r\n\r\n\r\n

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<\/span>Subsidy On Solar Panel Systems \u2014 Is 2024 the Best Time To Benefit From the Solar Panel Government Subsidy Scheme?<\/strong>\u00a0\u00a0<\/span><\/h2>\r\n\r\n\r\n\r\n
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Prime Minister Narendra Modi made an iconic announcement on January 22, 2024 \u2014 he announced the \u2018Pradhanmantri Suryodaya Yojana\u2019 that pledges to solarize one crore homes in the country.<\/em><\/p>\r\n\r\n\r\n\r\n


To turn this pledge into reality, the government has shifted its focus on offering as much financial help to homeowners installing rooftop solar systems as possible. This monetary help has been available in the form of a subsidy on solar panel systems for years. However, the latest reforms in solar subsidy policy and subsidy rates have made 2024 the most beneficial year to install solar systems.\u00a0<\/p>\r\n\r\n\r\n\r\n

Wondering how? To assist you better, we\u2019ve drawn this comparison table between the old and new solar subsidy rates for homeowners under the DBT scheme<\/strong><\/a>. Have a look to get a clearer idea!\u00a0<\/p>\r\n\r\n\r\n\r\n

\r\n\r\n\r\n\r\n\r\n\r\n
Old solar panel government subsidy rates in 2023<\/strong><\/td>\r\nNew rates for subsidy on solar panel systems*\u00a0<\/strong><\/td>\r\n<\/tr>\r\n
For 1-3 kW systems: \u20b914,588 per kW\u00a0<\/td>\r\nFor 1-2 kW systems: \u20b930,000 to \u20b960,000<\/td>\r\n<\/tr>\r\n
Above 3 kW and up to 10 kW systems:

– \u20b914,588 per kW up to 3 kW

– After that, \u20b97,294 per kW up to 10 kW<\/td>\r\n		For 3 kW systems: \u20b978,000 (\u20b960,000 for 1st 2 kW and \u20b918,000 for the remaining 1 kW)

The rates of govt subsidy on solar under the new scheme will be capped at \u20b978,000 for systems above 3 kW when the average monthly electricity consumption will be more than 300 units.<\/td>\r\n<\/tr>\r\n<\/tbody>\r\n<\/table>\r\n<\/figure>\r\n\r\n\r\n\r\n

*Please note<\/strong>: The new solar panel government subsidy rates will be applicable only for applications filed on the National Portal for Rooftop Solar on or after February 13th, 2024.<\/em><\/p>\r\n\r\n\r\n\r\n

Let’s simplify further with an example of old and new subsidy rates for 1 kW, 2 kW, 3 kW, and 5kW solar systems<\/p>\r\n\r\n\r\n\r\n

\r\n\r\n\r\n\r\n\r\n\r\n\r\n\r\n
System size<\/strong><\/td>\r\nOld rates for govt subsidy on solar panel systems\u00a0<\/strong><\/td>\r\nNew subsidy rates (for applications filed on or before February 13, 2024)<\/strong><\/td>\r\n<\/tr>\r\n
1 kW<\/td>\r\n\u20b914,588<\/td>\r\n\u20b930,000<\/td>\r\n<\/tr>\r\n
2 kW<\/td>\r\n\u20b929,176<\/td>\r\n\u20b960,000<\/td>\r\n<\/tr>\r\n
3 kW<\/td>\r\n\u20b943,764<\/td>\r\n\u20b978,000<\/td>\r\n<\/tr>\r\n
5 kW<\/td>\r\n\u20b958,352<\/td>\r\n\u20b978,000<\/td>\r\n<\/tr>\r\n<\/tbody>\r\n<\/table>\r\n<\/figure>\r\n\r\n\r\n\r\n

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Special Considerations: Higher Solar Subsidy for Some States <\/strong>\u00a0<\/h3>\r\n\r\n\r\n\r\n

For Uttar Pradesh<\/em><\/strong>:<\/p>\r\n\r\n\r\n\r\n

The Uttar Pradesh state government offers additional financial assistance on top of the subsidy on solar panel systems offered by the central government.\u00a0<\/p>\r\n\r\n\r\n\r\n

Here’s what this means for the residents of UP:<\/p>\r\n\r\n\r\n\r\n

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  1. Central government’s subsidy on solar panel systems<\/em><\/strong>:\u00a0<\/li>\r\n<\/ol>\r\n\r\n\r\n\r\n