PM Surya Ghar Muft Bijli Yojana: Affordable 3kW Solar Power for Every Indian Home

• Published
• By Anupam Nath

The PM Surya Ghar: Muft Bijli Yojana, launched by the Government of India in February 2024 under Prime Minister Narendra Modi, is a transformative initiative aimed at making solar energy accessible to millions of households. This flagship scheme seeks to solarize one crore homes by providing substantial financial support for rooftop solar installations. By harnessing abundant sunlight, the program empowers families to generate their own clean electricity, reduce dependence on grid power, and contribute to India's renewable energy goals. With rising electricity costs and environmental concerns, this scheme offers a practical path to energy independence and sustainability for middle-class and lower-income families across the country.

One of the most attractive features of the scheme is the generous subsidy provided for residential rooftop solar systems. For a 3 kilowatt (kW) on-grid solar system, households can avail a central financial assistance (CFA) of up to ₹78,000. This subsidy is calculated as ₹30,000 per kW for the first 2 kW (totaling ₹60,000) and an additional ₹18,000 per kW for the next 1 kW, capped at ₹78,000 for systems of 3 kW and above. The subsidy is directly transferred to the beneficiary's bank account via Direct Benefit Transfer (DBT) within 30 days of successful installation and approval by the local DISCOM (electricity distribution company). This significant reduction makes solar power viable for ordinary homes, turning what was once an expensive investment into an affordable upgrade.

The typical cost of a quality 3 kW rooftop solar system in India ranges from approximately ₹1.80 lakh to ₹2.20 lakh, depending on factors like panel brand, inverter type, mounting structure, and installation charges. After applying the ₹78,000 government subsidy under the PM Surya Ghar scheme, the effective out-of-pocket cost drops to around ₹1.02 lakh to ₹1.42 lakh. In many cases, vendors offer competitive packages where a complete 3 kW system is available for about ₹1.90 lakh before subsidy, bringing the net cost down to roughly ₹1.12 lakh. This makes it one of the most cost-effective renewable energy options available today, especially when compared to ongoing electricity bills.

To further ease the financial burden, the scheme supports flexible payment options through partnerships with banks and financial institutions. Many homeowners can opt for low down payments, such as ₹20,000, and spread the remaining amount over easy monthly installments via EMI plans starting at around ₹2,500 per month (depending on loan tenure, interest rates, and lender terms). Low-interest loans under priority sector lending or special solar financing schemes make this even more accessible. This structure ensures that families do not need large upfront capital, allowing them to start benefiting from solar power immediately while paying in manageable amounts.

A 3 kW solar system is well-suited for average Indian households with moderate to high electricity consumption. On a sunny day, it can generate 12-15 units (kWh) of electricity per day, or roughly 360-450 units per month, depending on location, roof orientation, and weather conditions. In regions with good sunlight like most parts of India, this output often covers 80-100% of typical household needs (around 300-400 units monthly for a family of 4-5). Any excess power generated is exported to the grid through net metering, where the DISCOM credits the surplus units against future bills. This can lead to zero electricity bills or even monthly credits, turning the rooftop into a mini power plant that earns money for the owner.

The application process for the PM Surya Ghar scheme is designed to be simple and fully digital, eliminating paperwork hassles. Interested individuals can apply through the official PM Surya Ghar portal (pmsuryaghar.gov.in) or the dedicated mobile app. The steps include registering with basic details like electricity consumer number, uploading documents (Aadhaar, electricity bill, roof photo), selecting a registered vendor, and getting technical feasibility approval from the DISCOM. Once installed by an approved vendor, the system is inspected, and the subsidy is released promptly. The entire process can often be completed in a few weeks, making adoption quick and hassle-free.

Beyond immediate savings, the long-term financial benefits are compelling. With electricity tariffs rising annually, a solar system pays for itself in 5-7 years through reduced bills and net metering earnings. After this payback period, the system continues generating nearly free electricity for its 25+ year lifespan (with panels warrantied for 25 years and performance guarantees). Maintenance is minimal—occasional cleaning and rare inverter servicing—keeping operational costs low. Over 20-25 years, families can save lakhs of rupees while enjoying reliable power, especially during outages when solar provides backup (with battery add-ons in hybrid setups).

Environmentally, adopting a 3 kW solar system under this scheme contributes significantly to reducing carbon emissions. Each such installation offsets approximately 3-4 tons of CO2 per year, equivalent to planting dozens of trees. By promoting clean energy at the grassroots level, the PM Surya Ghar Yojana supports India's commitment to net-zero goals and combats climate change. It also creates jobs in solar manufacturing, installation, and maintenance, boosting the local economy and skill development in renewable sectors.

In conclusion, the PM Surya Ghar Muft Bijli Yojana represents a golden opportunity for Indian households to embrace green energy without financial strain. With a 3 kW system available at just ₹1.12 lakh after subsidy, low EMIs, daily generation of 12-15 units, potential zero bills through net metering, and full cost recovery in about 5 years, this scheme delivers real value. It combines government support, technological reliability, and economic sense to make solar power a reality for every home. If you have a suitable rooftop and average electricity usage, now is the perfect time to apply and start your journey toward free sunlight-powered electricity.