Installing rooftop solar can help households generate electricity from their own homes while reducing dependence on grid power. Tamil Nadu has now introduced an additional state subsidy for residential rooftop solar systems under the PM Surya Ghar scheme, taking the combined central and state subsidy to up to ₹1 lakh for eligible installations.
Tamil Nadu Rooftop Solar Subsidy 2026
The Tamil Nadu government has approved an additional subsidy for residential rooftop solar installations under the PM Surya Ghar: Muft Bijli Yojana. The state subsidy will be provided in addition to the central financial assistance available under the scheme. For a 3kW rooftop solar system, the central subsidy is ₹78,000, while Tamil Nadu will provide an additional subsidy of up to ₹22,000. This takes the combined subsidy to ₹1 lakh for eligible households installing a 3kW or higher-capacity system, subject to the applicable scheme conditions. The state government has allocated ₹50 crore for the additional subsidy programme and plans to cover 1 lakh consumers by March 2027.
₹1 Lakh Solar Subsidy: Check 1kW, 2kW and 3kW Benefits
The total subsidy depends on the capacity of the rooftop solar system installed
| Solar System Capacity | Central Subsidy | Tamil Nadu Subsidy | Total Subsidy |
| 1kW | ₹30,000 | ₹5,000 | ₹35,000 |
| 2kW | ₹60,000 | ₹10,000 | ₹70,000 |
| 3kW & above | ₹78,000 | ₹22,000 | ₹1,00,000 |
The central subsidy is capped at ₹78,000 for a 3kW system or higher under PM Surya Ghar. Therefore, installing a system larger than 3kW does not increase the central financial assistance beyond the applicable cap. The Tamil Nadu state subsidy is ₹5,000 for 1kW, ₹10,000 for 2kW and ₹22,000 for 3kW and above, according to the details reported following the state’s approval of the scheme.
How 3kW Rooftop Solar Gets ₹1 Lakh Subsidy
A household installing a 3kW rooftop solar system can receive financial assistance from both the Centre and Tamil Nadu government. The central government provides ₹78,000 under PM Surya Ghar, while the Tamil Nadu government provides an additional ₹22,000. This means the maximum combined subsidy for an eligible 3kW residential rooftop solar system can reach ₹1 lakh.
Who Can Get the Tamil Nadu Rooftop Solar Subsidy?
The additional subsidy is intended for domestic consumers installing rooftop solar systems under the PM Surya Ghar scheme. The central scheme provides financial assistance for residential rooftop solar systems, with applications processed through the national portal. Tamil Nadu’s unified solar rooftop portal also provides facilities for domestic consumers to apply for rooftop solar with subsidy. Applicants generally need a valid electricity connection and a suitable rooftop for installation. The applicable scheme conditions and verification requirements must also be fulfilled.
Do Consumers Need to Apply Separately for the ₹22,000 Subsidy?
According to an official quoted in the report, consumers do not need to make a separate application for the Tamil Nadu subsidy. The Tamil Nadu Energy Development Agency will obtain applicant information from the central government’s portal and release the state’s subsidy directly into the eligible applicant’s bank account after the rooftop solar service is completed. This means the state subsidy is designed to work alongside the existing central subsidy process rather than requiring a separate application from consumers.
How It Works — From Application to ₹1 Lakh in Combined Subsidy
The process starts with the PM Surya Ghar National Portal. After the central subsidy process is completed, eligible Tamil Nadu households can receive the additional state subsidy through the Tamil Nadu rooftop solar portal.
- Apply on PM Surya Ghar: Register using your mobile number and electricity consumer number and submit the rooftop solar application.
- Acknowledgement & Feasibility: An application reference number is generated, followed by the applicable feasibility process with TNPDCL.
- Select Vendor & Install: Choose an empanelled vendor and get the rooftop solar system installed.
- Inspection & Grid Connection: TNPDCL completes the required inspection, meter installation and grid-connectivity process.
- Central Subsidy: After the applicable verification and commissioning process, the central subsidy of up to ₹78,000 for a 3kW or higher system is credited through DBT.
- State Subsidy Process: The Tamil Nadu portal receives the relevant central subsidy information against the PM Surya Ghar reference number. A separate application for the state top-up is not required.
- TEDA Verification: The state agency verifies the required eligibility, commissioning and bank details.
- Tamil Nadu Subsidy: The additional state subsidy of ₹5,000 for 1kW, ₹10,000 for 2kW and ₹22,000 for 3kW and above is credited through DBT. The portal states that the state subsidy is credited within 7–15 days after the applicable process.
- Start Using Solar Power: Once commissioned, the rooftop system can generate electricity for household use, while eligible surplus electricity can be exported to the grid.
Also read: GBA Launches Upgraded e-Aasthi 2.0 Portal to Simplify Digital Property and e-Khata Services for Bengaluru Property Owners
Tamil Nadu Allocates ₹50 Crore for Rooftop Solar Subsidy
The state government has allocated ₹50 crore for the additional rooftop solar subsidy programme. The programme is expected to cover 1 lakh consumers by March 2027, which is also the current end period mentioned for the central PM Surya Ghar scheme. The initiative is aimed at increasing residential rooftop solar adoption and helping households reduce their dependence on grid electricity.
PM Surya Ghar Subsidy for Rooftop Solar
The Tamil Nadu subsidy comes on top of the central PM Surya Ghar financial assistance. Under the central scheme, the subsidy is ₹30,000 for a 1kW system, ₹60,000 for a 2kW system and ₹78,000 for a 3kW system or higher, subject to the scheme’s applicable conditions. The central government has designed PM Surya Ghar to encourage residential rooftop solar adoption and provide households with financial assistance for installation.
What Does the ₹1 Lakh Subsidy Mean for Households?
The ₹1 lakh combined subsidy can help reduce the upfront cost of installing a rooftop solar system for eligible households. With ₹78,000 from the Centre and ₹22,000 from Tamil Nadu, the financial support can make a 3kW system more affordable and help households shift towards solar power while potentially reducing their dependence on grid electricity. The actual savings and final installation cost will depend on the system capacity, vendor charges and electricity usage.