Solar Panel Installation Cost in India
Switching to solar installation is a smart move for households, farmhouses, and businesses burdened with high electricity bills. Not only can it significantly reduce your monthly energy costs, but it also brings long-term environmental benefits. However, it’s essential to be well-prepared for the initial cost of solar installation in India, which encompass solar components, solar panel mounting modules, and labor expenses.
Average Cost of Solar Panel Installation in India
The cost of installing solar panels can vary considerably, as each solar energy system is tailored to the specific requirements of the structure, roof specifications, shading, and utility. On average, you can expect to invest anywhere from Rs. 1,89,000 to Rs. 2,15,000 for a 3kW solar panel system in India. The per-watt price for solar panel systems typically falls within the range of Rs. 75,000 to Rs. 85,000.
Solar panel installation costs per kWh in India across different system sizes:
Factors Affecting Savings and Costs
Before making the transition to solar energy, it’s crucial to consider various factors that can impact your long-term savings:
Review Your Electric Bill: Solar panels, commonly mounted on rooftops, harness the sun’s energy to generate clean power, reducing your reliance on grid electricity. The higher your electricity bill, the greater your potential savings. Keep in mind that fluctuations in electricity prices and changes in energy consumption can affect the amount you save with solar panels.
Evaluate Your Sunlight Exposure: The amount of sunlight your location receives plays a significant role in the energy your solar system can produce. Many states in India experience 3 to 5 peak sun hours, making it ideal for solar power generation. The orientation of your roof and shading can also affect energy output, but high-efficiency solar panels can mitigate these issues.
Estimate and Compare Solar Panel Cost: The bulk of solar panel installation costs stems from purchasing solar panels and related components. Modern solar energy systems can last up to 25 years with minimal maintenance. To determine the right system size, calculate your average daily energy demand based on your monthly utility bill. An average residential 5kW solar system in India costs around Rs. 3,15,000 to Rs. 3,57,000, excluding government subsidies.
Take Advantage of Government Subsidies: The Indian government’s Rooftop Solar Programme Phase – Ⅱ offers subsidies to homeowners and housing societies for installing solar power plants. The National Portal for Rooftop Solar simplifies the process, providing information on eligibility criteria and approved solar vendors.
The National Portal for Rooftop Solar simplifies, speeds up, and makes more transparent the process of obtaining subsidy benefits. It provides comprehensive information on the eligibility criteria and the Approved List of Models and Manufacturers (ALMM) of Solar Photovoltaic Modules. You can also find a list of solar vendors who have been empanelled to install solar plants.
Rooftop Solar System Capacity
Resident Welfare Associations (RWA) / Group Housing Societies (GHS)
For common facilities up to 500 kWp @ 10 kWp per house, with the upper limit being inclusive of individual rooftop plants already installed by individual residents in that GHS/RWA at the time of installation of RTS for common activity.
Note: *₹14,588/kW for the first 3 kW and ₹7,294/kW for the rest of the capacity up to 10kW.
**The subsidy amount is fixed for rooftop solar systems above 10kW capacity.
Components of a Solar Energy System
A solar energy system comprises three primary components:
Solar Panel: When it comes to the expense of installing solar panels, it hinges on the size of the solar panels you select. The power output of solar panels is gauged in wattage, a pivotal factor in determining the cost of setting up a home solar panel system. Typically, consumers tend to gravitate towards solar panels with wattage ratings ranging from 250 to 400 watts.
The standard price for solar panels stands at approximately Rs. 40,000, with a variation between Rs. 36,000 to Rs. 44,000 depending on the type and model chosen. You have the flexibility to choose from three primary solar panel types:
Monocrystalline Solar Panels: These panels boast an impressive efficiency rating of 17% to 22%, but they come with a somewhat higher price point. On average, the cost of monocrystalline solar panels falls within the range of Rs. 43 to Rs. 63 per watt. Opting for monocrystalline panels for your solar energy system may be a pricier investment, but it promises increased energy output per square foot of panel area.
Polycrystalline Solar Panels: Polycrystalline-based photovoltaic panels are known for their cost-effectiveness, as they have a lower manufacturing cost per panel. While their efficiency is slightly lower, ranging from 15% to 17%, they are a more budget-friendly option, with a price range of Rs. 30 to Rs. 36 per watt. Utilizing polycrystalline solar panels for your solar energy system is an economically sound choice for consumers.
Bifacial Solar Panels: For those seeking maximum energy yield from their solar panel installation, bifacial solar panels are a compelling option. These panels feature solar cells on both their front and back sides, enabling them to generate substantial solar electricity. With an efficiency rating of 20% and beyond, bifacial solar panels typically fall within the cost range of Rs. 37 to Rs. 52 per watt.
Solar Inverter: This critical component converts DC electricity generated by solar panels into AC electricity suitable for powering homes and businesses. The size of the inverter is determined by the system size and costs increase with larger installations.
Solar Battery: Integrating solar batteries into your system enhances reliability by storing excess energy generated during the day for use during the night. This ensures a continuous power supply and protection against grid outages, offering peace of mind and sustainability.
A solar energy system comprises three primary components:
Solar Panel: When it comes to the expense of installing solar panels, it hinges on the size of the solar panels you select. The power output of solar panels is gauged in wattage, a pivotal factor in determining the cost of setting up a home solar panel system. Typically, consumers tend to gravitate towards solar panels with wattage ratings ranging from 250 to 400 watts.
The standard price for solar panels stands at approximately Rs. 40,000, with a variation between Rs. 36,000 to Rs. 44,000 depending on the type and model chosen. You have the flexibility to choose from three primary solar panel types:
Monocrystalline Solar Panels: These panels boast an impressive efficiency rating of 17% to 22%, but they come with a somewhat higher price point. On average, the cost of monocrystalline solar panels falls within the range of Rs. 43 to Rs. 63 per watt. Opting for monocrystalline panels for your solar energy system may be a pricier investment, but it promises increased energy output per square foot of panel area.
Polycrystalline Solar Panels: Polycrystalline-based photovoltaic panels are known for their cost-effectiveness, as they have a lower manufacturing cost per panel. While their efficiency is slightly lower, ranging from 15% to 17%, they are a more budget-friendly option, with a price range of Rs. 30 to Rs. 36 per watt. Utilizing polycrystalline solar panels for your solar energy system is an economically sound choice for consumers.
Bifacial Solar Panels: For those seeking maximum energy yield from their solar panel installation, bifacial solar panels are a compelling option. These panels feature solar cells on both their front and back sides, enabling them to generate substantial solar electricity. With an efficiency rating of 20% and beyond, bifacial solar panels typically fall within the cost range of Rs. 37 to Rs. 52 per watt.
Solar Inverter: This critical component converts DC electricity generated by solar panels into AC electricity suitable for powering homes and businesses. The size of the inverter is determined by the system size and costs increase with larger installations.
Solar Battery: Integrating solar batteries into your system enhances reliability by storing excess energy generated during the day for use during the night. This ensures a continuous power supply and protection against grid outages, offering peace of mind and sustainability.
Solar panel installation in India is a sustainable and cost-effective way to generate electricity while reducing your carbon footprint. By understanding the costs involved and the savings potential, you can make an informed decision about transitioning to solar energy. Additionally, exploring government subsidies and incentives can make your investment even more attractive.
Remember that while the initial cost may seem high, the long-term benefits and environmental advantages of solar panel installation in India make it a compelling choice for many. As technology advances and prices continue to decrease, going solar is becoming an even smarter investment. GSE Renewables provide best solar panel installation with an affordable cost.
How much does a full home solar system cost in India?
The cost of a full home solar system in India varies depending on the size of the system and the quality of the components used. However, as a general rule of thumb, you can expect to pay between ₹75,000 and ₹85,000 per kilowatt (kW) of capacity.
How much does a 5kW solar system cost in India?
A 5kW solar system is a good size for most average Indian households. It will typically cost between ₹3,75,000 and ₹4,25,000 to install.
How many solar panels required for 1.5-ton AC?
To run a 1.5-ton AC on solar power, you will need at least 4 solar panels. However, the exact number of panels required will depend on the efficiency of the panels and the amount of sunlight your roof receives.
Can we run AC on solar power?
Yes, you can run an AC on solar power. However, it is important to note that ACs consume a lot of electricity. Therefore, you will need a large enough solar system to power your AC and other appliances.
Are there government subsidies available for solar installations?
Yes, there are government subsidies available for solar installations in India. The Ministry of New and Renewable Energy (MNRE) offers a subsidy of up to 40% on the cost of solar panels.
How long do solar panels last?
Solar panels typically have a lifespan of 25-30 years. However, they can last even longer if they are properly maintained.
