Mumbai, Oct. 28 -- The Gujarat government has approved additional state subsidy support for residential rooftop solar systems with installed capacity of up to 2.18 kWp under the PM Surya Ghar: Muft Bijli Yojana. The measure is intended to reduce the upfront cost for smaller households by supplementing the Central Financial Assistance (CFA) available under the scheme.
Under the approved framework, Scheduled Caste (SC) and Scheduled Tribe (ST) households will contribute 5 per cent of the installation's benchmark cost. Other residential consumers will contribute 10 per cent, with the state subsidy covering the remaining eligible cost after the CFA and the applicable consumer contribution have been deducted.
The benchmark cost is Rs. 50,000 per kW for the first 2 kW of rooftop solar capacity and Rs. 45,000 per kW for any additional capacity. The state subsidy will be calculated using these rates and the central assistance applicable to each installation.
The subsidy will be transferred directly to beneficiaries' bank accounts through Direct Benefit Transfer (DBT) by Gujarat's distribution companies. These include Dakshin Gujarat Vij Company, Madhya Gujarat Vij Company, Paschim Gujarat Vij Company, Uttar Gujarat Vij Company and private distributor Torrent Power, while Gujarat Urja Vikas Nigam will act as the nodal agency for managing and allocating the funds.
The support applies only to rooftop solar systems commissioned on or after October 22, 2026, and whose installed DC capacity does not exceed 2.18 kWp. Beneficiaries will not be permitted to add further rooftop solar capacity for three years from the installation date. Consumers who installed systems under earlier programmes with capacity below the limit may apply for the additional subsidy for further installations, provided their cumulative capacity remains within 2.18 kWp.
Published by HT Digital Content Services with permission from Construction World.