Rooftop Solar Scheme | UPSC

Rooftop Solar Scheme | UPSC


Advisory On Rooftop Solar Scheme

      WHY IN NEWS:

Hot from PIB !

MINISTRY? :-Ministry of New and Renewable Energy


It has been brought to the notice of the Ministry that some rooftop solar companies / vendors are setting up rooftop solar plants by claiming that they are authorized vendors by the Ministry.


  • It is clarified that no vendor has been authorized by the Ministry.
  • This scheme is being implemented in the state only by DISCOMs.



  • The National Solar Mission has set a target of 1,00,000 MW power generation through solar energy in the country.
  • This includes 40,000 MW to be contributed through solar rooftops in various sectors.
  • Installation of Rooftop Solar Plants on a large scale is one of the best initiatives, as in such plants, there is no requirement of land.

Energy is consumed where it is generated; there would be no element of transmission loss or wheeling loss and such plants would be in the interest of the public at large as well as State Utilities 

  • Therefore, with a view of promoting large-scale rooftop solar systems on private residential roofs-terraces, the Government has introduced a subsidy scheme for solar rooftops in the residential sector.


  • To generate solar power by installing solar panels on the roof of the houses, Ministry of New and Renewable Energy, Government of India is implementing Grid-connected Rooftop Solar Scheme (Phase-II).

Under this scheme Ministry is providing 40% subsidy for the first 3 kW and 20% subsidy beyond 3 kW and upto 10 kW


  • The scheme is being implemented in the states by local Electricity Distribution Companies (DISCOMs).

The DISCOMs have empaneled vendors through bidding process and have decided rates for setting up a rooftop solar plant

  • Almost all the DISCOMs have issued online process for this purpose.
  • Residential consumers willing to set-up a rooftop solar plant under MNRE scheme can apply online and get rooftop solar plants installed by listed vendors.
  • For this, they have to pay the cost of rooftop solar plant by reducing the subsidy amount given by the Ministry as per the prescribed rate to the vendor.
  • The process of which is given on the online portal of the DISCOMs.


  • The subsidy amount will be provided to the vendors by the Ministry through the DISCOMs.
  • Domestic consumers are informed that to get subsidy under the scheme of the Ministry, they should install rooftop solar plants only from the empanelled vendors of the DISCOMs .
  • The solar panels and other equipment to be installed by the empanelled vendors shall be as per the standard.

Solar panels also includes 5-year maintenance of the rooftop solar plant by the vendor 


  • The solar system is installed within the premises of the service connection, either on the roof or on the ground.
  • The solar system is of the ownership of the consumer.
  • The premises of the solar installation is of the ownership of the consumer of the DISCOM or is in the legal possession of the consumer.
  • Solar cells and solar modules deployed in the solar rooftop system shall be manufactured in India.

Solar cells and/or Modules of Non-Indian Origin shall not be eligible for subsidy under this scheme.

  • Only new plant and machinery shall be allowed for installation and shall not be shifted anywhere else.


  • This subsidy is applicable for household, industrial, and social sector i.e. for hospitals, educational institutions etc.
  • Also commercial sector can take benefits of this scheme.
  • For this central government give budget of Rs. 600 crore to Rs. 5,000 crore over a period of 5 years up to 2019-20 under National Solar Mission (NSM) in Phase I.

Those who use this solar energy system has to pay only Rs.6.50/kWh which is very less compare to diesel generator and normal electricity

  • The implementation of the scheme also assists towards defensive the weather as a result of abatement of concerning 60 million tons of carbon dioxide per year.

      IASbhai WINDUP: 

  • It has also been brought to the notice of the Ministry that some vendors are charging more price than the rates decided by DISCOMs from domestic consumers, which is incorrect.

Consumers are advised to pay only according to the rates decided by DISCOMs.

  • The DISCOMs have been instructed to identify and punish such vendors.
  • For more information, contact the concerned DISCOM or dial MNRE’s toll free number 1800-180-3333.
  • Click on to know the online portal of your DISCOM.
     SOURCES:   PIB   | Rooftop Solar Scheme | UPSC 



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