Blog Post

What Is PM Surya Ghar Muft Bijli Yojana? Free Solar Electricity and Subsidy Explained

Author: Silinfra

August 15, 2025 | 5 Min Read

Learn how the PM Surya Ghar Muft Bijli Yojana is empowering Indian households with up to ₹78,000 subsidy and free solar electricity. This guide explains eligibility, application steps, and scheme benefits—helping families save on bills and contribute to India’s green energy future.

Understanding the PM Surya Ghar Muft Bijli Yojana

Launched by the Government of India in February 2024, the PM Surya Ghar: Muft Bijli Yojana is a national initiative that enables homeowners to install rooftop solar systems and enjoy up to 300 units of free electricity per month. Backed by an investment of ₹75,021 crore, the scheme targets one crore homes by March 2027, boosting household savings while propelling India’s renewable energy mission.​

The program offers direct subsidies through the official portal, pmsuryaghar.gov.in, and ensures that families can generate their own clean energy, reducing dependence on conventional grid supply.

Subsidy Details

Receive upto 78,000 for Solar Panel installations.

Solar
Solar

Free Electricity

Enjoy upto 300 units of electricity monthly at no cost.

Environmental Impact

Save 720 kg of CO2 emissions every year

Solar

Subsidy Structure and Amounts

The government provides Central Financial Assistance (CFA) — essentially a subsidy — that directly discounts the installation cost. The current structure follows a graded model:

System CapacitySubsidy PercentageApprox. Subsidy Amount
Up to 2 kW60% of system cost₹30,000 – ₹60,000 ​
2 – 3 kW40% for additional capacityUp to ₹78,000 ​
Above 3 kWCapped at 3 kW subsidy₹78,000 (maximum) ​
 
 

Households can also sell surplus power to the grid, turning their rooftop into a small-scale income generator.

Eligibility and Application Process

To qualify for the PM Surya Ghar Yojana, applicants must:

  • Be an Indian citizen owning a house with a viable roof.

  • Have a valid electricity connection in their name.

  • Not have claimed any other solar subsidy previously.​

The entire process can be done online in four simple steps:

  1. Register at pmsuryaghar.gov.in using your electricity account details.

  2. Select your DISCOM and choose from approved solar vendors.

  3. Get site inspection and technical feasibility approval.

  4. Install, inspect, and apply for subsidy release directly to your bank account.​

On-Grid, Hybrid, and Off-Grid Systems: Subsidy Impact

The PM Surya Ghar Muft Bijli Yojana specifically supports grid-connected systems — commonly called on-grid — because they allow power export to DISCOM networks using net metering.

On-Grid Systems

Fully eligible for subsidy because they synchronize with the utility grid, enabling grid feed-in and efficient energy accounting.

Hybrid Systems (with Batteries)

Partially eligible depending on configuration. The subsidy applies only to the on-grid portion of the system that connects to the grid; battery costs are excluded from central subsidy calculations.

Off-Grid Systems

Not eligible for PM Surya Ghar subsidy. These systems, which operate independently without grid connectivity, fall outside the scheme’s scope focused on national energy integration.

This ensures that subsidy funds directly enhance grid stability, power generation efficiency, and carbon reduction at scale through monitored rooftop contributions.

Why the Scheme Matters

The PM Surya Ghar Yojana is much more than a subsidy plan — it represents India’s push for energy independence. By converting homes into solar producers, it:

  • Cuts household power bills by up to 90%.

  • Creates economic value for domestic installers and manufacturers.

  • Reduces carbon emissions by over 700 million tonnes over 25 years.​

  • Supports local job creation in solar installation, maintenance, and manufacturing sectors.

How SilInfra Helps You Benefit

SilInfra’s expert solar design and engineering team ensures that every installation — whether on-grid or hybrid — meets national standards and qualifies for maximum subsidy benefits. From system design and vendor coordination to subsidy application and commissioning, SilInfra simplifies the journey toward energy independence and long-term savings.

For homeowners in Maharashtra and across India looking to join the PM Surya Ghar Muft Bijli Yojana, SilInfra provides one-stop solutions that deliver both reliability and return on investment.

Ready to power your home with free solar electricity?

  • Assess your rooftop solar potential easily using online solar calculators available on the official PM Surya Ghar portal and other platforms.
  • Obtain competitive quotes from multiple DISCOM-registered solar vendors to find the best fit for your home and budget.
  • Apply confidently for your solar subsidy through the official PM Surya Ghar website, following the transparent process for approvals and installation.
  • Plan your financing options, including available loans and payment plans, to maximize your benefits and affordability.

Solar energy offers an unbeatable combination of cost savings, reliability, and environmental stewardship. The sun shines bright over India — let it power your future with PM Surya Ghar.