Commercial Solar Panel Cost in India (2026)

What does commercial solar cost in India in 2026?

For mid-size commercial and industrial (C&I) rooftop plants in the 100-500 kW range, plan on roughly ₹22,000-23,000 per kW ex-GST — Sun Wave's published C&I reference rates are ₹23,000 per kW at 100 kW (about ₹23 lakh) and ₹22,000 per kW at 500 kW (about ₹1.1 crore), with the final price set after a site survey. Small systems price higher per kW, and utility-scale projects price lower, so the size band matters more than any national average.

TL;DR:

• A 100 kW commercial rooftop works out to about ₹23 lakh ex-GST at Sun Wave's reference rate, or roughly ₹25 lakh with GST at the ~8.9 per cent effective turnkey rate that follows from the 5 per cent rate on solar modules since 22 September 2025.
• At a typical North India HT tariff of ₹6.95 per kVAh (DHBVN, FY 2026-27), a 100 kW plant generating about 1.45 lakh units a year saves roughly ₹11 lakh a year — a simple payback of about two to two-and-a-half years before financing effects, assuming full daytime self-consumption.
• There is no PM Surya Ghar subsidy for commercial or industrial plants — the central CFA is residential/RWA only. The tax lever instead is 40 per cent accelerated depreciation.

Last verified: 14 November 2026

Contents

• What does commercial solar cost in India in 2026?
• Commercial solar cost by plant size
• What the price includes, and what sits on top
• Why the rate per kW falls as size rises
• What moves a quote up or down
• Worked example: a 100 kW rooftop for a Faridabad factory
• Running costs: O&M
• Payback and the tax levers
• Commercial plants get no PM Surya Ghar subsidy
• Frequently Asked Questions

Commercial solar cost by plant size

Two cautions on this table. First, the ₹22,000-23,000/kW figures are Sun Wave's own published reference rates for qualifying CAPEX rooftop projects, ex-GST — they describe what a professionally engineered mid-size C&I rooftop costs from us, not a market-wide average, and every other supplier prices differently. Second, these are rooftop rates. Ground-mounted plants for the same capacity cost more once land, piles and longer evacuation are included — our rooftop vs ground-mount comparison for factories works through a 500 kW example of roughly ₹1.43-1.53 crore including land against ₹1.1 crore rooftop.

What the price includes, and what sits on top

A turnkey C&I quote covers engineering and structural design, ALMM-compliant modules, inverters, mounting structures, cabling and protection, installation and commissioning, and DISCOM liaison through net-metering approval. What sits on top of the headline rate:

• GST. Solar modules and renewable-energy devices carry 5 per cent GST (down from 12 per cent) since 22 September 2025 under the GST Council's rationalisation. Because services and balance-of-system goods in a turnkey contract attract 18 per cent, an EPC contract invoiced on the standard 70:30 component/services split works out to roughly 8.9 per cent effective GST. Ask your vendor for the module vs services split in writing. Electricity itself, and power sold under a PPA, carries no GST.
• Input tax credit. GST paid on a solar plant can be claimed as input tax credit, but eligibility is conditional on the buyer's own GST position and use of the asset — treat it as a question for your tax adviser, not a guaranteed rebate. Our factory GST/ITC guide covers the mechanics.
• O&M. Annual operations and maintenance is usually contracted separately — see the running-costs section below.
• Grid-side charges. Net-metering application and metering costs, and for open-access plants the state-specific charge stack, are additional.

Why the rate per kW falls as size rises

Design, safety and liaison costs — the survey, structural engineering, DISCOM paperwork, commissioning tests — are broadly fixed per project, so they weigh more on a 10 kW system than a 500 kW one. Module prices, the largest single component, move with the market rather than with size. That is why the ₹/kW curve is steep below about 50 kW and flattens above 100 kW: our 10 kW guide anchors the small end on MNRE benchmark examples, while at the utility end our 1 MW cost guide explains where large project economics diverge from mid-size rooftops.

What moves a quote up or down

None of these are visible in a per-kW headline, which is why two quotes for the same capacity can differ by double digits and both be honest. Our guide to reading an EPC quote line by line helps you compare like with like.

Worked example: a 100 kW rooftop for a Faridabad factory

Assumptions, all stated: Sun Wave's 100 kW reference rate of ₹23,000/kW ex-GST (published on our Faridabad industrial solar service page); effective turnkey GST of about 8.9 per cent; generation of 1,450 units per kW per year (the conservative end of the 1,450-1,600 units/kW band typical for well-installed North India rooftops — our 1 kW price guide traces the normative basis); DHBVN's FY 2026-27 HT energy charge of ₹6.95 per kVAh at 11 kV; kVAh billing at a 0.9 power factor; full self-consumption of solar output during the day.

That payback is indicative, not a promise: it assumes full daytime self-consumption (net metering banks surplus units), no electricity-duty or fixed-charge effects, and the reference-rate quote your survey actually produces. Tariff escalation works in the buyer's favour over time; poor O&M works against it.

Running costs: O&M

Budget roughly ₹400-800 per kW per year for C&I rooftop O&M — for a 100 kW plant, about ₹40,000-80,000 a year — covering module cleaning, preventive electrical maintenance, monitoring and breakdown response. The band is a planning figure; the utility-scale floor accepted in CERC proceedings runs lower per kW, and local labour and plant height push it up. Our commercial solar O&M buyer's guide details what a good contract covers and what it should cost.

Payback and the tax levers

Solar power generating systems qualify for 40 per cent depreciation under Section 32 of the Income-tax Act (down from 80 per cent since AY 2018-19), which for a profitable company converts a large slice of the year-one cost into a tax shield and pulls the post-tax payback below the simple payback shown above. The mechanics, and how financing changes them, are worked through in our solar ROI and payback guide and our solar financing guide — at prevailing bank rates a financed plant's EMI typically sits well below its monthly savings. The CAPEX vs OPEX vs open access comparison covers the structural choice.

Commercial plants get no PM Surya Ghar subsidy

Be clear about this before comparing quotes: the PM Surya Ghar central financial assistance is available only to residential consumers and GHS/RWA common facilities. MNRE's guidelines state that no CFA is provided to non-residential segments, including commercial and industrial consumers. A commercial quote that builds in a "subsidy" is misquoting the scheme. The residential economics, benchmark costs and subsidy maths are covered in our solar-for-home Delhi NCR guide.

Frequently Asked Questions

How much does a 100 kW commercial solar system cost in India?

At Sun Wave's published C&I reference rate, a 100 kW rooftop plant costs ₹23,000 per kW ex-GST — about ₹23 lakh — or roughly ₹25 lakh with the ~8.9 per cent effective turnkey GST. The final price follows a site survey: roof condition, cabling runs and HT works move it in either direction.

What does a 500 kW rooftop solar plant cost?

At the 500 kW reference rate of ₹22,000 per kW ex-GST, about ₹1.1 crore, plus GST and grid-side charges. Larger plants price lower per kW than 100 kW systems because fixed engineering and liaison costs spread over more capacity.

What is the commercial solar rate per kW in 2026?

For mid-size C&I rooftops, ₹22,000-23,000 per kW ex-GST is Sun Wave's published reference band. Systems below about 50 kW price higher per kW, and ground-mount, carport and elevated structures price above standard rooftop rates. Quotes differ between vendors — compare scope, not just the headline rate.

Is there a subsidy for commercial solar in India?

No. PM Surya Ghar's central financial assistance is restricted to residential consumers and GHS/RWA common facilities; MNRE's guidelines expressly exclude commercial and industrial segments. The fiscal levers for C&I buyers are 40 per cent accelerated depreciation and GST input tax credit (the latter conditional on your tax position).

How long is the payback on commercial rooftop solar?

With the assumptions in our worked example above — full self-consumption, a ₹6.95/kVAh HT tariff, mid-band O&M — a 100 kW plant at the reference rate pays back in about two to two-and-a-half years before financing effects. Lower tariffs, partial self-consumption or premium structures stretch it; tariff escalation and accelerated depreciation shorten it.

What GST applies to a commercial solar plant?

Solar modules and renewable-energy devices carry 5 per cent GST since 22 September 2025. A turnkey EPC contract on the standard 70:30 component/services split works out to roughly 8.9 per cent effective GST. Power sold under a PPA, like electricity generally, attracts no GST.

Rooftop or ground-mount for a factory?

Rooftop is cheaper per kW where roof area and structure allow — our comparison guide puts a 500 kW ground-mount plant at roughly ₹1.43-1.53 crore including land against about ₹1.1 crore rooftop. Ground-mount earns its premium when roof area is the binding constraint or when the plant is sized well beyond the load.