Solar System Price in India 2026: 1kW, 3kW, 5kW Cost with Subsidy & Savings

Check latest solar system prices in India for 1kW, 3kW, and 5kW rooftop solar with subsidy, installation cost, electricity generation, and ROI. A trusted homeowner guide.

Introduction: Why “Solar System Price in India” Is the Most Searched Solar Topic

“Solar system price in India” is one of the most searched renewable energy queries every single day. The reason is simple: homeowners want to reduce electricity bills, but they want clarity on actual cost, subsidy, savings, and payback before investing.

With rising power tariffs, frequent summer shortages, and strong government support, rooftop solar is no longer a luxury—it’s a financial decision. This guide breaks down realistic prices, hidden costs, subsidy benefits, and long-term savings for Indian homes.

What Determines the Price of a Solar System in India?

Before jumping into numbers, it’s important to understand why prices vary.

Key Price Factors

  • System size (kW capacity)
  • Type of system (On-grid, Off-grid, Hybrid)
  • Solar panel brand & efficiency
  • Inverter quality
  • Roof type & structure
  • City / state policies
  • Government subsidy eligibility

That’s why two homes installing the same kW capacity may still see different final costs.

1kW Solar System Price in India (Home Use)

A 1kW solar system is ideal for small homes or households with low electricity consumption.

1kW Solar System Price (On-Grid)

  • Cost without subsidy: ₹60,000 – ₹80,000
  • Cost with subsidy: ₹35,000 – ₹55,000 (approx.)

Electricity Generation

  • Units per day: 4–5 units
  • Units per year: ~1,400 units

Who Should Install 1kW?

  • Monthly bill up to ₹1,000–1,200
  • Small families or single-floor homes
  • First-time solar users

3kW Solar System Price in India (Most Popular Choice)

The 3kW rooftop solar system is one of the highest-selling solar capacities in India.

3kW Solar System Price (On-Grid)

  • Cost without subsidy: ₹1.6 – ₹2.1 lakh
  • Cost with subsidy: ₹1.1 – ₹1.4 lakh (approx.)

Electricity Generation

  • Units per day: 12–15 units
  • Units per year: ~4,200 units

Monthly Savings

  • ₹2,500 – ₹3,500 (depending on tariff)

Best For

  • 2–3 BHK homes
  • Monthly electricity bill ₹2,500–₹4,000
  • Urban households with net metering

5kW Solar System Price in India (Best ROI Option)

A 5kW solar system offers the best balance between cost and savings for independent houses.

5kW Solar System Price (On-Grid)

  • Cost without subsidy: ₹2.8 – ₹3.6 lakh
  • Cost with subsidy: ₹1.9 – ₹2.4 lakh (approx.)

Electricity Generation

  • Units per day: 20–22 units
  • Units per year: ~7,000 units

Monthly Savings

  • ₹4,000 – ₹5,500

Ideal For

  • Independent houses
  • Monthly bill ₹4,000–₹6,000+
  • Families running ACs, washing machines, geysers

On-Grid vs Off-Grid vs Hybrid: Price Comparison

System TypePrice RangeSubsidyBest Use
On-GridLowest✅ YesCities, reliable grid
Off-GridHigh❌ NoRemote areas
HybridHighest❌ LimitedBackup + grid

💡 Important: Government subsidy applies only to on-grid residential systems.

Government Subsidy on Solar Systems in India

Under national rooftop solar programs like PM Surya Ghar: Muft Bijli Yojana, homeowners can get direct financial support.

Subsidy Highlights

  • Available for residential on-grid systems
  • Higher subsidy up to a fixed kW limit
  • Must be installed by approved vendors
  • Subsidy credited directly to bank account

This significantly reduces the effective solar system price and shortens payback time.

Roof Space Required for Solar Systems

System SizeRoof Area Needed
1kW80–100 sq ft
3kW250–300 sq ft
5kW450–500 sq ft

South-facing, shadow-free roofs deliver the best performance.

Solar System Payback Period in India

System SizePayback Period
1kW3–4 years
3kW4–5 years
5kW4–6 years

After payback, electricity is almost free for 20+ years.

Installation Cost: What’s Included in the Price?

A standard rooftop solar quote usually includes:

  • Solar panels
  • Inverter
  • Mounting structure
  • DC & AC wiring
  • Earthing & safety devices
  • Net metering support
  • Installation & commissioning

Reputed EPC players like Tata Power Solar follow standardized installation and safety practices nationwide.

Maintenance Cost of Home Solar Systems

Good news: solar systems are low maintenance.

Typical Costs

  • Panel cleaning: ₹1,500–₹3,000 per year
  • Inverter service: minimal
  • Panel lifespan: 25 years+
  • Inverter lifespan: 8–12 years

Common Mistakes When Checking Solar Prices

❌ Choosing cheapest panels without warranty
❌ Ignoring inverter quality
❌ Installing without net metering approval
❌ Not checking subsidy eligibility

Always compare system quality, not just price.

Is Solar System Worth the Price in India?

Yes—absolutely.

Why?

  • Protection from rising electricity tariffs
  • Long-term savings of ₹15–30 lakh over system life
  • Increased property value
  • Clean, renewable energy

Solar is no longer an expense—it’s an asset.

Read Also: Solar Subsidy for EV Charging Stations: The Hidden Scheme You Didn’t Know About

Final Verdict: Which Solar System Should You Choose?

  • Low bill? → 1kW
  • Medium bill? → 3kW
  • High usage? → 5kW

Choose on-grid solar with subsidy for maximum benefit.

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