Key Schemes in Tamil Nadu
- PM Surya Ghar (Muft Bijli Yojana / Rooftop Solar Scheme by Govt of India + State Partners)
- Goal: Cover domestic rooftop solar installation for a large number of households (in TN, target is ~25 lakh households).
- Subsidy structure:
• For up to 2 kW capacity, ~ ₹30,000 per kW subsidy.
• For systems of 3 kW and above, a fixed subsidy limit of ~ ₹78,000 is provided. - Feasibility approval has been waived for smaller systems (up to 3 kW) to simplify process.
- Timeline: Subsidy payment promised within ~15 days if the vendor & consumer complete required formalities correctly.
- Best Solar Company in Coimbatore – Saagav Solar
- Chief Minister’s Solar Rooftop Capital Incentive Scheme (State-level – TEDA / TN Government)
- Additional state subsidy (on top of central subsidy) for domestic rooftop solar systems.
- It offers about ₹20,000 per kilowatt for grid-connected domestic PV plants.
- For individual homes/flats generally limited to 1 kW under this scheme. For group applications (apartment buildings etc.), larger sizes possible.
- Net Metering & Other Incentives
- Excess energy generated by rooftop panels can be exported back to the grid, using net-metering. The system usually has a bidirectional meter.
- Exported energy is credited (up to some limit) against what is imported from the grid over a settlement period.
Eligibility & Conditions
- The consumer must have a grid-connected service connection (with TANGEDCO in Tamil Nadu). Standalone/off-grid systems typically don’t qualify for many of the subsidies. Saagav Solar
- The system components like PV modules, inverter, cabling, mounting, protection devices etc must meet certain quality standards, generally via empaneled vendors. Saagav Solar
- Certain paperwork is required: identity proofs, electricity bill / service connection proof, possibly structure / rooftop feasibility (though that’s waived up to certain capacities). Saagav Solar – Best Installers in Coimbatore
Amounts & Example
Here are some example subsidy amounts:
| Capacity | Approx Subsidy from Central + State |
|---|---|
| 1 kW rooftop (domestic) | Central (~₹30,000/kW) + State (~₹20,000 for 1 kW) = ~₹50,000 total subsidy in many cases. Saagav Solar |
| 2 kW rooftop | Central subsidy ~ ₹60,000 (2 × ₹30,000). State component may apply depending on scheme. |
| 3 kW or more | Subsidy capped at ~ ₹78,000 under PM Surya Ghar for 3 kW and above. Saagav Solar |
Challenges / Issues Observed
- Uptake has been modest so far in TN; registrations are less than targets in many areas. Saagav Enterprises
- Some delay in subsidy release or paperwork / vendor registration process is a bottleneck. Saagav Enterprises – Saagav Solar
- Apartment / group housing / flats sometimes find it harder due to shared roof space, common infrastructure, etc. Solar in Coimbatore, Tamil Nadu
If you tell me your location (city/town) and capacity you’re thinking (1 kW / 2 kW / etc.), I can figure out exactly how much subsidy you might get and how to apply in your area. Do you want me to do that for Coimbatore (or your locality)?
Key Schemes & Portals
- PM Surya Ghar Muft Bijli Yojana (Central scheme)
Under this, domestic consumers can get subsidy for rooftop solar. TN has a unified solar rooftop portal (USRP) via TANGEDCO where you can apply. Saagav Solar - Chief Minister’s Solar Rooftop Capital Incentive Scheme (State subsidy via TEDA)
Additional subsidy/incentive from state level for domestic consumers with TANGEDCO service connection. Saagav Solar Coimbatore
Eligibility & Conditions
- You must be a domestic consumer with a grid-connected service from TANGEDCO.
- System should be grid-connected rooftop solar PV. No battery storage (battery less) for subsidy.
- Use of empaneled vendor(s) as per TEDA / TANGEDCO requirement.
- Certain paperwork needed (proof of service connection / electricity bill, identity proof, etc.).
- For applying, first register via the national portal (for PM Surya Ghar) → get a reference number → then apply via TANGEDCO’s Unified Solar Rooftop Portal (USRP).
- After installation, inspection / project completion report is required for subsidy release.
Turnaround / Subsidy Disbursement
- TNPDCL / TANGEDCO have said that if vendor & consumer complete formalities correctly, subsidy can be released within ~15 days.
- Delays have been reported due to vendor data entry errors, delays in inspection or paperwork.
State-Portal & Application
- Unified Solar Rooftop Portal (USRP) for Tamil Nadu (TANGEDCO): For applying under PM Surya Ghar scheme / for non-subsidised rooftop solar or net-meter applications.
- Via TEDA for state level incentives.
What is PM Surya Ghar: Muft Bijli Yojana
- Launched 13 February 2024 by Government of India.
- Aim: to install rooftop solar systems in 1 crore households by FY 2026-27, and provide up to 300 units of free electricity / month via solar generation for beneficiaries.
- Total outlay: ~ ₹75,021 crore
Subsidy / Finance Assistance Details
| System Capacity | What Central Financial Assistance (CFA) is | Approx Subsidy Amount (at benchmark rates) |
|---|---|---|
| Up to 2 kW | 60% of system cost PM India+1 | ~ ₹30,000 per kW ⇒ ~ ₹30,000 for 1 kW, ₹60,000 for 2 kW PM India+1 |
| Above 2 kW up to 3 kW | 40% of the additional cost beyond 2 kW (i.e. between 2-3 kW) PM India+1 | Subsidy capped to ~ ₹78,000 for 3 kW or higher domestic systems PM India+2The Hindu Business Line+2 |
- For systems >3 kW (if eligible in certain models), the CFA is capped — you won’t get more than ~ ₹78,000 central subsidy under the scheme. PM India+2dtnext+2
Other Features
- Free electricity up to 300 units/month for beneficiary households via rooftop solar generation. PM India+1
- Low interest / collateral-free loans (~7%) available for residential rooftop solar systems (up to 3 kW) to help with upfront costs. ETGovernment.com
- One Model Solar Village per district: each district to have a solar village that acts as a model for solar adoption. These get a grant. The Hindu Business Line+1
Operational Guidelines & Implementation
- Scheme to be implemented till FY 2026-27.
- Households apply via the national portal (e.g. pmsuryaghar.gov.in) where they can select vendors, check benefits, etc.
- There are guidelines for special category states / villages. For example, “Model Solar Village” must satisfy population criteria, and selection is competitive.
What This Means in Practice (Example: Tamil Nadu)
- In Tamil Nadu, under PM Surya Ghar, once you have a domestic rooftop solar system, you should be able to get the central subsidy within ~15 days (if vendor + consumer formalities & data entry are complete). dtnext
- For domestic rooftop systems up to 3 kW, maximum subsidy from Centre is ~ ₹78,000.
If you like, I can check if there have been latest amendments after July-August 2025 (for example increases in subsidy or changes in eligibility) to bring you fully up to date. Do you want me to check that for your state (Tamil Nadu) or national level?
Recent Updates / Amendments
- New Payment / Implementation Models
- In January 2025, MNRE introduced two alternative models beyond just the capex (upfront payment) model:
a) RESCO Model: Renewable Energy Service Companies install and maintain, consumers pay for the electricity generated without upfront costs.
b) Utility-Led Aggregation (ULA) Model: State utilities or DISCOMs aggregate demand and facilitate rooftop solar installation for households. - A Payment Security Mechanism (PSM) with a corpus of ₹100 crore has been set up to reduce risks for RESCO-based projects.
- In January 2025, MNRE introduced two alternative models beyond just the capex (upfront payment) model:
- Amendment in Guidelines for CFA to Residential Consumers
- On 10 July 2025, new guidelines were issued, especially for the “CFA to residential consumers” component. Key change: the state/UT subsidy part must now be integrated with the National Portal. This means the state’s additional subsidy (if any) has to be aligned/disbursed through the central system rather than separately.
- Revised Guidelines for Model Solar Villages
- Also in mid-2025, the rules for the “Model Solar Village” under PM Surya Ghar were revised. They relaxed the population threshold for selecting villages. If a district has fewer than ten villages meeting the earlier criteria, the District Level Committee can pick the ten largest villages even if they fall short of the original size requirement. This makes more villages eligible.
- Subsidy Disbursement / Timelines
- In Tamil Nadu, there has been a promise that subsidies will be released within about 15 days once vendors & consumers complete all formalities and data entry correctly.
- Officials have emphasized removing or reducing requirement for hard copies / onerous paperwork where possible to speed things up.
- Reach / Progress Figures
- As of August 2025, about 16.78 lakh households have benefited under the scheme, and over ₹9,000+ crore has been disbursed as Central Financial Assistance.
- In Tamil Nadu specifically, a sum of ₹236 crore had been disbursed as subsidy so far, under the scheme.
What Hasn’t Changed (or Not Yet)
- The subsidy caps remain approx ₹30,000 per kW up to 2 kW, and for 3 kW system the central subsidy is ₹78,000.
- The free electricity limit (up to 300 units/month) is still part of the scheme design. PM India+2Outlook India+2
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