In today’s times, electricity has become a basic necessity for every household, but rising bills have ruined the budget of the common man. Whether it’s scorching heat or bitter cold, it’s impossible to survive without appliances like ACs, heaters, and geysers. The Government of India’s “Pradhan Mantri Surya Ghar Muft Bijli Yojana” (PM Surya Ghar Muft Bijli Yojana) has brought a permanent solution to this problem.
Under this scheme, you can use your vacant rooftop to generate electricity and receive a government subsidy of lakhs of rupees. In states like Uttar Pradesh, installing a 5kW solar system offers substantial relief of up to ₹1.08 lakh. Let’s understand in detail the total cost, savings, and application process of installing a 5kW solar panel.
What is the PM Surya Ghar Muft Bijli Yojana?
This is a revolutionary scheme of the central government that aims to connect 10 million middle-class households in the country with solar energy. This scheme not only promotes clean energy to protect the environment, but also aims to provide up to 300 units of free electricity to ordinary citizens.
The most powerful feature of this scheme is “Net Metering.” This means that during the day, when your system generates more electricity than needed from sunlight, that electricity will be sent back to the government grid. In return, you will receive unit credits, which will automatically reduce your electricity bill at night.
5kW Solar System
If your home is a 3BHK to 5BHK and you consume 20 to 25 units of electricity daily, a 5kW solar system is the best choice. This system is designed for homes where heavy appliances like ACs, large refrigerators, washing machines, and water pumps are regularly used.
Installing it can result in direct savings of ₹5,000 to ₹7,500 on your monthly electricity bill. This system has the capacity to generate approximately 600 to 750 units of electricity per month, which is enough to meet all the energy needs of a large family.
5kW Solar System Cost and Subsidy
Installing a 5kW solar system in Uttar Pradesh in 2026 has become quite affordable, as it offers dual benefits from both the central and state governments.
Total Project Cost: The total cost of installing a 5kW high-quality solar system in Uttar Pradesh ranges from approximately ₹300,000 to ₹320,000. This includes the entire cost of panels, inverters, structure, and installation.
Central Government Subsidy: As per Central Government (MNRE) regulations, a fixed subsidy of up to ₹78,000 is provided on systems of 3kW and above.
State Government Subsidy: The Uttar Pradesh government provides additional financial assistance of ₹15,000 (maximum ₹30,000) per kilowatt to promote solar energy.
Total Benefit: This gives you a substantial subsidy of ₹108,000, reducing your out-of-pocket cost to approximately ₹192,000 to ₹212,000.
What’s Included in the System
When you install a 5kW system from a registered vendor, you get a complete package. It includes Tier-1 high-efficiency solar panels, a government-certified grid-tied inverter, a robust mounting structure that can withstand high winds, and complete wiring with safety equipment (such as lightning arresters). Furthermore, the vendor is fully responsible for installing a net meter.
Step-by-Step Process to Apply from Home
Applying for the Pradhan Mantri Surya Ghar Yojana has now become extremely easy and digital. You can avail the benefits by following the steps below:
- First, visit the pmsuryaghar.gov.in portal.
- Click on ‘Apply for Rooftop Solar’ and register using your state, electricity company (DISCOM), and consumer number.
- Verify your mobile number and email address, log in, and fill out the application form.
- You will receive approval after the DISCOM verifies the technical feasibility.
- Once approved, have your solar system installed by any registered vendor.
- Once the work is complete, apply for a net meter. Electricity department officials will inspect your system.
- Upon successful inspection, you will receive an online certificate, and the subsidy will be credited directly to your bank account within 30 days.