Gujarat Caps Rooftop Solar Costs at 10 Percent

The Gujarat Energy and Petrochemicals Department has issued a Government Resolution introducing an additional state top-up subsidy for residential rooftop solar systems under PM Surya Ghar, capping out-of-pocket expenses at 10 percent for general consumers.

The directive, notified under Government Resolution EPCD/BUD/e-file/20/2025/2435/B1 on October 22, 2026, applies to residential rooftop installations up to 2.18 kWp capacity across the state. Under the new formula, Scheduled Caste and Scheduled Tribe households pay only 5 percent of the benchmark project cost, while other residential consumers contribute 10 percent. The state government funds the remaining balance directly to distribution utilities after applying the central Ministry of New and Renewable Energy subsidy.

Four state power distribution companies, including UGVCL, DGVCL, MGVCL, and PGVCL, will operationalize the benefit through the national PM Surya Ghar online portal. For a standard 2 kW rooftop unit costing roughly Rs 1,00,000, central assistance provides Rs 60,000, and Gujarat's top-up covers Rs 30,000, leaving qualifying general homeowners with an upfront outlay of approximately Rs 10,000.

The policy aims to accelerate solar adoption among lower-middle-income homeowners who previously hesitated to commit substantial personal savings despite generous national capital subsidies.

What to Check

1. Verify that your proposed solar rooftop capacity does not exceed 2.18 kWp, as larger systems fall back to standard central subsidies without state top-ups.
2. Confirm that your empaneled vendor uploads your installation agreement through your state DISCOM portal under the October 2026 resolution terms.
3. Check your bi-directional net-metering connection request to verify that your sanctioned electrical load matches your solar inverter rating.

Are you planning to install residential rooftop solar under Gujarat's new subsidy cap? Share your rooftop solar estimates on the Vantage forum.