Rooftop solar adoption surges in smaller Indian cities, big metros trail
New analysis shows that rooftop solar adoption in India is occurring at a faster pace in tier-II and tier-III cities than in major metropolitan areas. Districts such as Lucknow, Nagpur, Surat, Varanasi, and Ernakulam rank among the top 50 in the country for rooftop solar installations, while cities like Delhi, Mumbai, Bengaluru, Chennai, Hyderabad, and Kolkata do not feature even in the top 100.
Under the Pradhan Mantri Surya Ghar Muft Bijli Yojana (PMSGY-MBY), launched in February 2024, households can install rooftop solar systems to meet daytime electricity needs, with surplus power fed into the grid and drawn back at night. Many consumers have reported zero electricity bills as a result.
As per official data, 36.3 lakh rooftop solar systems have been installed across the country, benefiting over 44.1 lakh households. The scheme has an outlay of Rs 75,021 crore, of which more than Rs 25,000 crore has been disbursed as subsidies. For systems up to 3 kW capacity, the central government provides a subsidy of Rs 78,000, with several states offering additional incentives.
Officials note that over 60% of installations are in the 3–4 kW category. The leading states in adoption include Gujarat, Maharashtra, Uttar Pradesh, Rajasthan, Kerala, and Assam. Outreach programmes by state governments and district-level teams have been effective in raising awareness about cleaner and cheaper energy.
The programme has achieved a monthly installation rate of nearly three lakh units. While uptake has been strong among households with independent homes and sufficient rooftop space, efforts are now being directed towards group housing societies. A single rooftop installation in such societies can serve the electricity needs of multiple households and common areas.
The government is also promoting the Utility-Led Aggregation (ULA) model to enable low-income and vulnerable households to adopt rooftop solar. This model targets frugal consumers and those receiving free or subsidised electricity who face financial or structural barriers. Andhra Pradesh, Odisha, Telangana, Bihar, Kerala, Jammu & Kashmir, Tripura, Rajasthan, Chhattisgarh, Karnataka, Maharashtra, and Delhi are adopting the ULA model. The ministry aims to cover 30 lakh households under this model.
