Solar Panel Price for Home in India 2026 (1–10kW)

How Much Does a Home Solar System Cost in India in 2026?

A 3 kW grid-connected rooftop system — the most popular size for Indian homes — costs about ₹1.8–2.1 lakh in 2026 when built with the domestic-content (DCR) modules that the PM Surya Ghar subsidy requires, according to a TERI estimate reported by the Financial Express in June 2026. After the ₹78,000 central subsidy, most 3 kW households land at a net cost of roughly ₹1.0–1.3 lakh.

TL;DR:

• A 3 kW home system with DCR panels costs about ₹1.8–2.1 lakh before subsidy (TERI estimate, June 2026); the ₹78,000 PM Surya Ghar CFA brings the net cost to roughly ₹1.0–1.3 lakh.
• On MNRE benchmark costs, 1 kW prices at ₹50,000 and 3 kW at ₹1,45,000; special-category states (Uttarakhand, Himachal Pradesh, J&K and others) use ₹55,000/kW for the first 2 kW.
• The central subsidy is ₹30,000/kWp for the first 2 kW and ₹18,000/kWp for the third kW, capped at ₹78,000 (₹85,800 in special-category states).
• DCR modules are mandatory for the subsidy and trade at roughly ₹24–27 per watt against ₹13–15 per watt for non-DCR modules — the main reason 2026 quotes are higher than 2025 ones.

Last verified: 2 November 2026

Home Solar System Price by Size (1–10 kW)

The table below uses the MNRE benchmark costs fixed under the PM Surya Ghar guidelines — ₹50,000/kW for the first 2 kW and ₹45,000/kW for the third kW (₹55,000 and ₹49,500 in special-category states). The benchmark is the yardstick the government uses to compute the subsidy, not the price you will actually be quoted.

Benchmark figures apply India-wide; special-category states add 10% to both the benchmark and the CFA. There is no CFA beyond 3 kW, so every extra kilowatt above that is fully self-funded.

Reality check: market quotes run above the benchmark. A 3 kW DCR system was estimated at ₹1.8–2.1 lakh by TERI in June 2026, against roughly ₹1.5 lakh for a non-DCR build. Deloitte India put domestic modules at ₹25–27 per watt versus ₹21–22 earlier in the year, and ICRA (August 2026) put the landed cost of a DCR module at about ₹19 per watt versus ₹13.5 for an imported-cell module. Budget with the market range, not the benchmark, and take at least three quotes.

Why Home Solar Prices Went Up in 2026

One change explains most of the increase: from 1 June 2026, India extended its Approved List of Models and Manufacturers (ALMM) to solar cells (List-II), requiring net-metered and open-access projects to use domestically manufactured cells — as reported by Moneycontrol ahead of the deadline. Because the PM Surya Ghar subsidy already requires DCR modules (Indian modules made from Indian cells), essentially every subsidised home installation now sources DCR panels.

The price effect, per the Financial Express report:

• DCR modules: about ₹24 per watt for 550 Wp panels and ₹26–27 per watt for 610 Wp+ TOPCon panels.
• Non-DCR modules: about ₹13–15 per watt, for buyers who do not claim the subsidy.
• Net effect for homes: roughly ₹4,000–6,000 per kW more, or about ₹20,000–30,000 extra on a 3 kW system.

ICRA expects overall solar project costs to rise about 20% over six to eight months from mid-2026, driven mostly by the shift to domestic cells. For households, the practical takeaway is simple: quotes valid for 15 days are worth more than quotes valid for 45.

PM Surya Ghar Subsidy for Homes: How the CFA Works

Under the MNRE guidelines, the Central Financial Assistance (CFA) for residential consumers is:

Key conditions worth knowing before you sign anything:

• Residential only. The CFA is not available to commercial or industrial consumers, and the plant must be tagged to a residential DISCOM connection. See our commercial solar subsidy guide for what businesses can and cannot claim.
• DCR is mandatory. Even one non-DCR module makes the whole system ineligible for the CFA.
• Apply only through the National Portal and choose a registered vendor — systems installed outside the scheme get nothing. Our step-by-step application guide walks through the process.
• Collateral-free loans at around 7% interest are available for systems up to 3 kW through the National Portal, per the government's scheme announcement. We compare the options in our home solar loan guide.
• The subsidy is paid directly to your bank account, typically within about 15 days of completing inspection and net-meter formalities on the portal, per PIB's March 2025 release.
• State top-ups exist in several states — see our Haryana, Uttar Pradesh, Rajasthan and Punjab guides. Special-category states get a higher central CFA — our Uttarakhand guide covers one example.

Worked Example: 3 kW Home System in Faridabad (Haryana)

Assumptions (all stated so you can swap in your own):

• Market quote for a 3 kW DCR system: ₹1.8–2.1 lakh (TERI range, June 2026).
• PM Surya Ghar CFA for 3 kW: ₹78,000.
• Generation: about 4.2 units per kW per day — roughly 4,600 units a year for 3 kW in North India (indicative; see our units-per-kW guide for North Indian cities).
• Value of a unit: ₹7 (typical upper domestic slab; check your own DISCOM bill).

Arithmetic:

1. Net cost: ₹1,80,000–2,10,000 − ₹78,000 = ₹1.02–1.32 lakh.
2. Annual bill savings: 4,600 units × ₹7 ≈ ₹32,000 a year.
3. Simple payback: ₹1,02,000–1,32,000 ÷ ₹32,000 ≈ 3.2–4.1 years.

After payback, the system's output is effectively free electricity for the remaining life of the panels. Actual returns depend on your tariff slab, self-consumption pattern and shading — treat this as an illustration, not a promise.

On-Grid vs Off-Grid for Homes

The prices above are for grid-connected (on-grid) systems, which is what PM Surya Ghar supports and what the large majority of homes install. Off-grid systems with battery banks cost substantially more per kW and suit homes with unreliable supply; hybrid systems sit in between. If your power cuts are occasional, an on-grid system with net metering delivers the fastest payback. Delhi households should also see our guide to the Delhi free-rooftop-solar 400-units scheme and the Delhi-specific subsidy breakdown.

How to Sanity-Check a Home Solar Quote

• Per-watt math: divide the panel-only price by wattage. DCR modules at ₹24–27 per watt are the 2026 norm; a quote far below that for "DCR" panels deserves suspicion.
• DCR certificate: ask for the DCR certificate number and check your panels on the NISE DCR verification portal — an invoice label alone is not proof.
• Benchmark comparison: if your all-in quote is below the MNRE benchmark for your size, ask what has been removed.
• Size honestly: 3 kW captures the maximum subsidy; oversizing beyond it adds cost with no extra CFA.

If you run a business rather than a household, rooftop solar works differently — Sun Wave Technologies' industrial rooftop solar practice covers CAPEX and RESCO routes for factories and warehouses in Delhi-NCR.

Frequently Asked Questions

What is the price of a 3kW solar system for a home in India?

About ₹1.8–2.1 lakh in 2026 for a grid-connected system with DCR panels (TERI estimate, June 2026). The ₹78,000 PM Surya Ghar subsidy reduces the net cost to roughly ₹1.0–1.3 lakh. Quotes vary with roof type, city and brand.

How much subsidy do I get under PM Surya Ghar?

₹30,000 per kWp for the first 2 kWp and ₹18,000 per kWp for the third kWp, capped at ₹78,000. A 1 kW system gets ₹30,000, 2 kW gets ₹60,000, and 3 kW or larger gets the full ₹78,000. Special-category states get 10% more (up to ₹85,800).

Why have solar panel prices gone up in 2026?

The domestic cell mandate (ALMM List-II) that took effect on 1 June 2026 requires Indian-made cells in net-metered projects. DCR modules trade at ₹24–27 per watt versus ₹13–15 for non-DCR, adding roughly ₹4,000–6,000 per kW to home system costs.

What is the price of a 1kW solar panel for home use?

A 1 kW panel-only package of DCR modules costs about ₹24,000–27,000 at current trade prices (₹24–27 per watt, per the Financial Express report above). For a complete installed 1 kW system, start from the MNRE benchmark of ₹50,000 and add the DCR premium of roughly ₹4,000–6,000 per kW — i.e. expect quotes around ₹55,000–65,000, varying by city, roof and brand — and claim the ₹30,000 subsidy on top of that.

Can shops, factories or housing societies get the PM Surya Ghar subsidy?

No — the CFA is only for residential consumers tagged to a domestic connection. Housing societies and RWAs can claim it for common facilities (up to 500 kWp at ₹18,000/kWp, capped at 3 kWp per house), and our housing society solar guide explains how. Commercial and industrial buyers instead save through CAPEX payback or a RESCO/PPA route.

Do I need DCR panels to get the subsidy?

Yes. The guidelines require domestically manufactured modules made from domestically manufactured cells. A system with even one non-DCR module is ineligible for the CFA. Households that formally forgo the subsidy through the National Portal's "Give It Up" option are exempt from the DCR condition.

Is a home solar system worth it in North India?

For most homes with daytime consumption and a ₹2,500+ monthly bill, yes: North India's irradiance supports roughly 4–4.5 units per kW per day, the ₹78,000 subsidy covers a large share of a 3 kW system, and payback is typically 3–4 years on the worked example above. Start from our Delhi-NCR home solar guide to size a system properly.