- PM Surya Ghar pays the customer, not you. The subsidy reaches the homeowner’s bank by DBT after commissioning. You still collect your full price from the customer.
- The cap is ₹78,000 for any system of 3 kW or more, figured on the MNRE benchmark cost — not your market quote.
- You must register and empanel per DISCOM. Empanelment is not portable across states, and each one needs its own Performance Bank Guarantee.
- Your real risk is margin and cash flow — benchmark-vs-quote gaps, subsidy delays, and rejected claims. This guide fixes all three.
PM Surya Ghar: Muft Bijli Yojana is India’s national rooftop solar subsidy scheme for homes. For an EPC contractor, it means you register as an approved vendor, install subsidised residential systems, and help the customer claim a central subsidy paid to their bank by direct benefit transfer (DBT). The subsidy is capped at ₹78,000 and is figured on the government benchmark cost, so your margin depends on how you price and how fast the claim clears.
The scheme launched in February 2024 with a target of 1 crore homes and a ₹75,021 crore outlay through FY 2026–27. For homeowners it is a subsidy story. For you, it is an operations story: registration, documents, DISCOM approvals, net metering, ALMM stock, and a subsidy that lands in someone else’s account. Get the operations right and PM Surya Ghar is steady, repeatable volume. Get them wrong and you carry the cost of every delay. This guide is the EPC’s playbook, not the homeowner’s brochure.
- What PM Surya Ghar means for an EPC
- How much is the subsidy in 2026?
- Who gets the subsidy — you or the customer?
- How do you register as a vendor?
- The PBG: which tier do you need?
- The full application-to-subsidy workflow
- 2026 rules: ALMM, DCR and net metering
- Why claims get rejected or delayed
- How to quote PM Surya Ghar jobs profitably
- Running it at scale with SuryaHub
- FAQs
What does PM Surya Ghar mean for an EPC contractor?
For an EPC, PM Surya Ghar means becoming an approved vendor who installs subsidised home rooftop systems and shepherds each customer’s subsidy claim to completion. You are not the person who receives the subsidy. You are the person the scheme holds responsible for quality, timelines and paperwork. That is the whole shift in one line.
The homeowner sees a simple deal: put solar on the roof, get up to ₹78,000 back from the government, and cut the power bill. Behind that simple deal sits your work — portal registration, DISCOM feasibility, an ALMM-compliant install, net metering, inspection, and a clean claim file. If any step slips, the subsidy is late or lost, and the customer looks at you.
This is why the scheme rewards operators, not sellers. The EPCs that win are the ones who treat PM Surya Ghar as a process to run — many small jobs, each with the same steps — rather than a one-off sale. That is also where most owners lose money: they price like it is a normal job, then eat the cost of chasing approvals and subsidies for months.
How much is the PM Surya Ghar subsidy in 2026?
PM Surya Ghar pays ₹30,000 per kW for the first 2 kW and ₹18,000 for the 3rd kW, capped at ₹78,000 for any system of 3 kW or more. A 1 kW system gets ₹30,000, a 2 kW system gets ₹60,000, and a 3 kW system gets ₹78,000. Go bigger — 5 kW, 10 kW — and the subsidy stays at ₹78,000. The benefit stops growing after 3 kW.
Two more rules matter for your quotes. First, the subsidy is figured on the MNRE benchmark cost, not your price. If your quote is above the benchmark, the customer still only gets benchmark-based subsidy — the gap is theirs to pay. Second, group housing societies and RWAs get ₹18,000 per kW for common-area load, up to 500 kW. That is a different sale, with its own DCR and approval rules.
Who gets the subsidy — you or the customer?
The customer gets the subsidy, always. MNRE releases the Central Financial Assistance straight to the homeowner’s bank account by DBT after the system is commissioned and the net meter is installed. The money never passes through the EPC. This single fact should shape how you price and how you collect.
Because the subsidy is the customer’s, you have to collect your full contract value from the customer — either the customer funds the subsidy portion up front and recovers it later, or you carry that amount until the DBT lands. If disbursement is slow, that gap is your working capital sitting in someone else’s pipeline. Here is what a clean 3 kW job looks like on paper.
| Line | Amount | Who pays / receives |
|---|---|---|
| MNRE benchmark cost (3 kW) | ₹1,45,000 | Reference for subsidy maths |
| Your market quote (3 kW) | ₹1,80,000 | Customer pays you in full |
| Central subsidy (capped) | ₹78,000 | Government → customer’s bank (DBT) |
| Customer’s net cost after subsidy | ₹1,02,000 | Customer’s effective outlay |
| Your revenue on the job | ₹1,80,000 | Collected from the customer, not the state |
The trap is obvious once you see it. If a customer expects ₹78,000 off your price and you quoted above benchmark, they feel short-changed when the DBT is smaller than the gap they imagined. Set the expectation in writing at quote stage: the subsidy is fixed, capped, and paid to them after commissioning. Our finance and GST module keeps each customer’s payment plan and invoice tied to the job so nothing is collected late.
How do you register as a PM Surya Ghar vendor?
You register on the PM Surya Ghar National Portal and empanel with each state DISCOM where you want to work. National-scope registration runs through REC Limited, the national registering authority. The portal registration itself is free — your real cost is the Performance Bank Guarantee and the trained-manpower requirement.
Have these ready before you start. Missing documents are the most common reason a registration stalls.
- PAN and GST registration of the firm
- Incorporation or partnership documents
- Valid electrical contractor licence
- Cancelled cheque / bank details of the firm
- Details of at least three SCGJ / Suryamitra-trained technicians
- The Performance Bank Guarantee (5-year validity)
The portal steps are straightforward: enter your PAN and firm details, verify by OTP, upload the documents above, and select the states and districts you will serve. That district selection matters — it controls where you appear in the customer’s vendor search list, so pick only areas you can actually service on time.
A realistic approval timeline is commonly cited as around one to two weeks of working days, though it varies by DISCOM, and some still ask for the physical PBG after online approval. Do not promise a customer a start date until your empanelment for their DISCOM is confirmed. For the full step-by-step, see our PM Surya Ghar software for installers page.
The PBG: which tier do you need?
The Performance Bank Guarantee is a bank guarantee you give so customers are protected if your work is poor or unfinished. MNRE requires it to keep quality high and weed out fly-by-night vendors. The tier you need depends on how many states you plan to work in.
| Scope | PBG amount | Register with | Best for |
|---|---|---|---|
| Single state | ₹2.5 lakh | State DISCOM | Local EPCs working one DISCOM area |
| Multi-state | ₹2.5 lakh per state | Each state DISCOM | Regional EPCs (e.g. ₹5 lakh for two states) |
| National | ₹25 lakh | REC Limited | Large EPCs and OEM-backed installers |
The cash-flow cost is real. Your bank funds the guarantee against a fixed deposit or margin, so a ₹2.5 lakh PBG can lock up that much working capital plus bank charges. Weigh that against the volume you expect from each state before you go multi-state. Do not register for states you cannot service — spreading thin is how EPCs get bad ratings.
What is the full application-to-subsidy workflow?
A PM Surya Ghar job moves through seven steps, from the customer’s portal registration to the subsidy landing in their bank by DBT. You control the middle steps; the DISCOM and MNRE control the ends. Knowing who owns each step tells you where to push when a job stalls.
- 1 Customer registers on the National Portal and picks your firm from the empanelled vendor list. (Customer)
- 2 DISCOM feasibility approval — the DISCOM clears the load and sanctioned capacity. (DISCOM)
- 3 You install the system with ALMM-listed modules and record DCR and serial details. (EPC)
- 4 Apply for net metering — submit the net-metering application to the DISCOM. (EPC)
- 5 DISCOM inspects and installs the net meter, then issues the commissioning certificate. (DISCOM)
- 6 Customer submits bank details and the certificate on the portal. (Customer)
- 7 Subsidy released by DBT to the customer’s bank account. (MNRE)
The two steps that quietly kill timelines are feasibility (step 2) and inspection (step 5), because they sit outside your control but still land on your reputation. Log the date you submit each one and follow up. When you run dozens of jobs at once, the only way to keep this straight is one shared record per job — which is exactly what SuryaHub’s government-workflows tracker is built for.
What are the 2026 compliance rules? (ALMM, DCR and net metering)
Subsidised PM Surya Ghar systems must use ALMM-listed modules, and the rules tightened in 2026. The Approved List of Models and Manufacturers (ALMM) decides which panels qualify. Get this wrong and the whole claim can be rejected, so procurement is a compliance decision, not just a price decision.
| What | When | What it means for you |
|---|---|---|
| ALMM List-I (modules) | In effect | Use only ALMM-listed modules on subsidised systems. |
| ALMM List-II (domestic solar cells) | From 1 June 2026 | Subsidised systems need modules built with domestic cells — check your supplier’s status. |
| Non-DCR exemption (“Give It Up”) | Until 31 March 2027 | A window where some non-DCR use is allowed — plan stock around the deadline. |
Net metering is the other compliance gate. The DISCOM installs a bidirectional meter that counts what you export to the grid, and its approval is tied to the subsidy. Feasibility and meter rules vary by state, so a process that works in Gujarat may differ in Uttar Pradesh. Keep DCR and ALMM records — model, make, serial — on each job so an audit or claim always has proof ready. Our compliance records feature stores these against the job file automatically.
Why do PM Surya Ghar subsidy claims get rejected or delayed?
Most PM Surya Ghar claims stall for a handful of avoidable reasons — feasibility rejection, net-meter delays, document mismatches and non-compliant modules. The good news: nearly all of them are inside your control if you check before you submit. Here are the common causes and the fix for each.
| Cause of rejection or delay | How to prevent it |
|---|---|
| DISCOM feasibility rejection (load or capacity) | Size the system to the sanctioned load and check local capacity; enhance the load first if it is too low. |
| Net-meter application delay | Submit the net-metering application the day the install finishes; log and follow up. |
| Non-ALMM modules or repeated serials | Buy only ALMM-listed models and record real, unique serials — duplicate module or inverter serial numbers are now rejected outright. |
| DCR / domestic-content mismatch | Match stock to the current DCR and ALMM List-II position before purchase. |
| Document mismatch (name, address, load) | Check portal details against the electricity bill and KYC before submission. |
| Bank account not Aadhaar-seeded | Confirm the customer’s account is Aadhaar-seeded in the NPCI mapper at claim stage — the DBT bounces if it is not. |
| Missing commissioning certificate | Close inspection and collect the certificate before filing the subsidy claim. |
| Photos or GPS proof missing | Capture geo-tagged install photos at each stage as evidence. |
| Slow customer response on portal steps | Set expectations up front; remind the customer at each step they own. |
Even with a clean file, disbursement can take weeks to months in some states — delays of six months or more have been reported. Treat that as a cash-flow fact, not a surprise. Do not build a business that needs the subsidy to arrive fast to stay solvent. Price and collect so a slow DBT is the customer’s wait, not your cash crunch.
How do you quote PM Surya Ghar jobs profitably?
You quote PM Surya Ghar jobs profitably by pricing against the MNRE benchmark, setting subsidy expectations in writing, and protecting your margin from delay costs. The scheme squeezes margins because customers compare every quote to the benchmark cost and to each other. Volume is real, but only if each job carries its true cost.
Three rules keep PM Surya Ghar work profitable:
- Quote against the benchmark, then justify the gap. If your price is above the MNRE benchmark, show the customer what the extra buys — better modules, faster install, real service. Do not hide it; the subsidy maths makes the gap visible anyway.
- Cost in the follow-through. Feasibility follow-ups, inspection chasing and subsidy tracking take staff time. Build that into your price. A job that looks profitable on hardware alone can lose money in back-office hours.
- Standardise so volume pays. PM Surya Ghar rewards repeatable systems. Fixed BOM templates, rate-card pricing and a same-day quote let you win the next job without a bigger office.
The margin lever most EPCs miss is time. Every extra day a job sits in feasibility or awaiting inspection is a day your team spends chasing instead of selling. Cut the chasing and the same team runs more jobs. That is where software earns its keep — not in the quote, but in the fifty jobs after it. See how the numbers work on the pricing page, or compare tools in our best solar EPC software guide.
How SuryaHub helps you run PM Surya Ghar at scale
SuryaHub tracks every PM Surya Ghar application from first lead to subsidy DBT on one record, so nothing goes quiet and no claim stalls unseen. PM Surya Ghar is a high-volume, many-small-jobs business. The bottleneck is never one job — it is fifty jobs, each at a different step, across more than one DISCOM. That is an operations problem, and it is what SuryaHub is built for.
On a PM Surya Ghar job, SuryaHub keeps the whole lifecycle in one place:
- Portal and empanelment tracking — registration status and documents per DISCOM, so nothing lapses.
- Feasibility, net-metering and inspection steps tracked per job, with follow-up dates you can see.
- DCR and ALMM records — make, model and serials kept on the job file for audits and claims.
- Subsidy and payment tracking — watch the claim and the customer’s DBT move, and collect your price on time.
- 25-year AMC — auto reminders at 90, 60 and 30 days so renewals never slip, even across hundreds of small homes.
To be straight with you: SuryaHub is pre-revenue and building with two pilot EPCs, Suryantra Energy and RGESPL. We are not going to show you invented install counts or fake testimonials. What we can show is how the workflow above looks on your own projects. See the PM Surya Ghar workflow for installers, or book a short demo and we will walk your real process together.
- The subsidy is capped at ₹78,000 (3 kW+), figured on the MNRE benchmark, and paid to the customer by DBT — never to you.
- Register on the National Portal and empanel per DISCOM; empanelment is not portable, and each needs its own PBG.
- The PBG is ₹2.5 lakh single-state or ₹25 lakh national, valid five years, and can be forfeited on blacklisting.
- 2026 tightened ALMM: List-II (domestic cells) from 1 June 2026, non-DCR exemption to 31 March 2027 — confirm before buying stock.
- Your real risk is margin and cash flow: price against the benchmark, cost in the follow-through, and expect slow DBT.
Frequently asked questions
Does the PM Surya Ghar subsidy go to the EPC or the customer?
The PM Surya Ghar subsidy goes to the customer, not the EPC. MNRE releases the Central Financial Assistance straight to the homeowner’s bank account by DBT after the system is commissioned and the net meter is installed. The EPC must collect its full price from the customer.
How much is the PM Surya Ghar subsidy in 2026?
PM Surya Ghar pays ₹30,000 per kW for the first 2 kW and ₹18,000 for the 3rd kW. It is capped at ₹78,000 for any system of 3 kW or more. So a 3 kW and a 5 kW home both get the same ₹78,000. The subsidy is figured on the MNRE benchmark cost, not your quote.
How does an EPC become a registered PM Surya Ghar vendor?
To become a PM Surya Ghar vendor, an EPC registers on the National Portal and empanels with each state DISCOM it wants to work in. National registration runs through REC Limited. You submit firm documents, proof of trained manpower and a Performance Bank Guarantee. Portal registration itself is free.
What is the PM Surya Ghar Performance Bank Guarantee (PBG)?
The PM Surya Ghar PBG is a bank guarantee a vendor gives so customers are protected if work is poor or unfinished. It is ₹2.5 lakh for a single state, ₹2.5 lakh per state for multi-state, or ₹25 lakh for national scope, valid five years. A DISCOM can forfeit it if you are blacklisted.
Is DISCOM empanelment portable across states?
No. PM Surya Ghar DISCOM empanelment is not portable. Each DISCOM approves vendors for its own area, so an EPC working in three states must empanel with each DISCOM separately and meet each one’s documents and PBG. SuryaHub tracks empanelment and jobs per DISCOM so nothing is missed.
Why do PM Surya Ghar subsidy claims get delayed?
PM Surya Ghar subsidy claims stall most often from DISCOM feasibility rejection, net-meter delays, document mismatches, non-ALMM modules or wrong bank details. Fixing these before submission is the EPC’s job. Disbursement can still take weeks to months in some states, so plan cash flow and set customer expectations early.
Do PM Surya Ghar systems need ALMM and DCR modules?
Yes. Subsidised PM Surya Ghar systems must use ALMM-listed modules. From 1 June 2026, ALMM List-II (domestic solar cells) applies to these systems, and a non-DCR exemption runs to 31 March 2027. Rules shift often, so confirm the current ALMM and DCR position with MNRE before you buy stock.
What system sizes does PM Surya Ghar cover for homes?
PM Surya Ghar covers residential rooftop systems, with the subsidy capped at 3 kW of benefit. Homes can install larger systems, but the subsidy stops growing past 3 kW. Group housing societies and RWAs get ₹18,000 per kW for common-area load, up to 500 kW. Confirm limits for each project on the National Portal.
Written by SuryaHub Team. The team works with Indian rooftop EPCs on PM Surya Ghar registration, DISCOM workflows and subsidy operations. Reviewed for scheme accuracy against MNRE and PM Surya Ghar portal sources.
Methodology: subsidy slabs, PBG tiers and compliance dates are compiled from MNRE and the PM Surya Ghar National Portal; application and installation figures are from Ministry of Power replies in Parliament (March 2026); the cost table is illustrative and labelled. State top-ups, capacity caps and timelines change — always verify with the DISCOM or state nodal agency for each job.
Sources: PM Surya Ghar National Portal · MNRE · REC Limited. Last updated July 2026.
Keep reading
Want every PM Surya Ghar job tracked from lead to subsidy DBT?