How the scheme loan works
- Register on the PM Surya Ghar portal and choose a registered vendor.
- Apply for a loan through the portal or directly with a participating public-sector bank.
- The bank disburses to the vendor as per its process.
- After installation, inspection and net metering, the subsidy is credited to your bank account — you can use it to prepay part of the loan.
Rates and terms are set by the bank and can change; we'll help you compare offers at the time you apply.
Example EMIs
| System | Assumed price | Rate | Tenure | Approx. EMI | Est. monthly savings |
|---|---|---|---|---|---|
| 3 kW | ₹1.89 lakh | 7% | 5 years | ₹3,742 | ₹2,736 |
| 3 kW | ₹1.89 lakh | 7% | 7 years | ₹2,853 | ₹2,736 |
| 3 kW | ₹1.89 lakh | 7% | 10 years | ₹2,194 | ₹2,736 |
| 5 kW | ₹3.15 lakh | 9.5% | 7 years | ₹5,148 | ₹4,559 |
EMIs are calculated on the full system price before subsidy; prepaying the subsidy when it arrives reduces the remaining EMI or tenure.
Loan or cash?
- Cash gives the highest lifetime return — no interest.
- Loan makes sense when the EMI is close to or below your monthly savings, so solar pays for itself from month one.
- Keep an emergency fund; don't drain savings for solar when a 7% loan is available.
Documents usually needed
- Aadhaar and PAN of the applicant
- Latest electricity bill (connection in applicant's name)
- Property ownership proof or tax receipt
- Bank statements / income proof as the bank requires
- Quotation or proforma invoice from the vendor
Businesses
Commercial and industrial solar is financed through term loans or equipment finance. Profitable businesses may also benefit from accelerated depreciation on solar assets — ask your CA. See commercial solar in Indore.