on-grid solar system price in India

On-Grid Solar System Price in India: Cost Guide

In India, more people are choosing on-grid solar systems for their homes and businesses. These systems let you create your own solar energy. At the same time, you stay connected to the local electricity grid. A 1kW on-grid system usually costs about ₹60,000, according to SolarSquare, a top solar company.

This price covers the solar panels, inverter, and everything else needed. The total solar panel cost might change based on the system’s size, where you live, and if there are any government benefits. SolarSquare has set up on-grid solar systems in over 12,000 houses and 120 communities. They offer easy payment plans and good customer service to help more people switch to solar energy.

Key Takeaways

  • The average cost of an on-grid solar system for a home in India is around ₹60,000 for a 1kW system.
  • The price can vary based on the system size, location, and available government subsidies or incentives.
  • Leading solar company SolarSquare has installed on-grid solar systems for over 12,000 homes and 120+ housing societies in India.
  • SolarSquare offers flexible EMI options and after-sales maintenance services to make solar adoption more accessible for homeowners.
  • On-grid solar systems allow homeowners to generate their own renewable power while remaining connected to the local electricity grid.

Understanding On-Grid Solar Systems

In India, on-grid solar systems are becoming the go-to for many. They are connected to the local utility grid. This means they feed in extra electricity, reducing your bill.

What is an On-Grid Solar System?

An on-grid solar system is linked to the electricity grid. It’s different from off-grid systems, which work alone. This connection lets users benefit from the grid during low solar production times.

How Does an On-Grid Solar System Work?

Solar panels catch sunlight and turn it into electricity. This electricity is changed from DC to AC. It can be used at home or business and shared with the utility grid.

Extra electricity goes back to the grid, earning the user credits. These credits help lower bills when more power is used or the sun isn’t shining. This setup is called “net metering.”

In India, on-grid solar is a top pick because it’s affordable and easy to install. It also works well with the local electricity system. This way, users can enjoy solar power even when the sun is weak.

Components and Costs of On-Grid Solar Systems

Understanding the cost of an on-grid solar system in India involves looking at its parts. This system has many key items. They all work together to collect, change, and share solar energy.

Components of On-Grid Solar System

The main parts of an on-grid solar system are:

  • Solar Panels: They turn sunlight into DC electricity.
  • Solar Inverter: It switches the DC electricity from solar panels to AC for use at home or sending back to the grid.
  • Mounting Structures: They hold the solar panels firmly. They can be on the ground or on the roof to get more sunlight.
  • Net Metering System: It measures the electricity the home uses and what it sends back to the grid. This helps in using or sharing extra solar power.
  • Solar Accessories: To complete the system, you need things like combiner boxes, cables, and grounding equipment for both DC and AC.

The price of an on-grid solar system is set by the cost of these parts, the  residential solar installation, and any support offered. This is how the total cost for a home in India is figured out.

“To make an on-grid solar system really pay off, it’s key to choose high-quality and efficient parts. Also, government aid and  net metering  can make the start-up costs lower.”

Knowing what goes into an on-grid solar system helps homeowners in India. It helps them understand the cost and decide wisely about going solar.

on-grid solar system price in India

Opting for an on-grid solar system in India is a smart move. It helps save money and the planet. The price varies based on the system’s size, where you live, and any solar subsidy programs available.

A 1kW solar setup in India typically costs about ₹60,000. This figure covers the solar panels, inverter, and installation. Costs have dropped lately thanks to better tech and more production capacity.

Larger systems, like a 5kW, might cost you ₹4 lakhs. But, they produce more energy. So, they’re great for big electricity users at home.

The Indian government supports going solar with subsidies. Homeowners could get between ₹30,000 and ₹78,000 off their bill. This lessens the financial burden of installing a solar system.

On top of that, net metering benefits lets you earn from your extra power. A 1kW system could save you ₹11,200 a year. For a 3kW, it can go as high as ₹33,600 per year.

System Size Approximate Cost Government Subsidy Estimated Annual Savings
1kW ₹60,000 ₹30,000 – ₹50,000 ₹11,200
2kW ₹1.2 lakhs ₹48,000 – ₹78,000 ₹22,400
3kW ₹1.8 lakhs ₹54,000 – ₹78,000 ₹33,600
5kW ₹4 lakhs ₹60,000 – ₹78,000 ₹56,000

The mix of government help and net metering makes solar a win for homeowners in India. They slash their bills and help save the earth at the same time.


On-grid solar systems are a top choice for Indian homeowners wanting to make their electricity. They help cut down on pollution. These systems give you power all the time. They save you a lot on your electric bills for years to come. Plus, you can sell extra electricity back to the  grid-connected photovoltaics.

The start-up cost is high, but government aid and savings over time help a lot. More families in India are picking on-grid solar because of these benefits. As technology gets better, these systems will be key in India’s move to use more clean energy.

Choosing on-grid solar helps the environment and saves money. It’s a win for both families and the country at large.


What is the typical cost of an on-grid solar system for a home in India?

In India, a 1kW on-grid solar system for a home costs about ₹60,000. This price covers the solar panels, inverter, and more. The cost can change based on the size of the system and its location. Any government help also affects the cost.

How does an on-grid solar system work?

An on-grid solar system makes electricity with solar panels. It then sends extra power back to the grid. This way, homeowners can use less power from the grid and save money on their bills.

What are the key components of an on-grid solar system?

Solar panels and a bi-directional inverter are essential. You also need mounting gear and a net metering system. Things like combiner boxes, cables, and earth grounding are important too. They make sure the system works properly.

How can government subsidies affect the cost of an on-grid solar system in India?

In India, the government offers subsidies for on-grid solar setups. The  renewable power generation can range from ₹30,000 to ₹78,000. How much you get depends on how much electricity your home uses. These subsidies are a big help, making solar power more affordable.

What are the potential savings from an on-grid solar system in India?

By using net metering, homeowners can cut electricity costs. With a 1kW system, you could save ₹11,200 a year. For a 3kW system, this could be up to ₹33,600. These numbers are based on an ₹8 per unit electricity rate.

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