What’s the 3 kW Solar Panel Price in Chennai With Subsidy in 2025? ROI Calculations Included

The 3 kW solar panel price in Chennai with subsidy for on-grid solar systems is ~Rs. 1.32 lakh*. The Indian government offers a subsidy to homeowners installing grid-connected solar systems under the PM Surya Ghar Muft Bijli Yojana. This subsidy assistance is also provided to Chennai homeowners who legally own the property where they’re planning to install the solar system.

*Please note: The above-mentioned 3 kW solar panel price in Chennai with subsidy is indicative as of 11th October 2025 for the SolarSquare Blue 6ft variant. The final price of a solar panel for homes in Chennai depends on your DISCOM charges, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings guarantee, roof height, etc. Prices are subject to change. 

Investing under a lakh and a half, as the 3 kW solar panel price in Chennai with subsidy, is absolutely worthwhile because the ROI you receive is almost 5.6 times the installation cost. We’re not kidding! A 3 kW solar system in Chennai can actually save ~Rs. 7.41 lakh* for you by generating free solar electricity for 25 years. It means you won’t have to worry about rising electricity tariffs and hefty bills for decades once you install an on-grid solar system in Chennai, because your PV system will make your bills near-zero.

*Please note: When calculating savings, we have considered an annual tariff escalation of 3% and an annual degradation of 1%. The actual final savings from an on-grid solar power plant in Chennai depend on the types of solar panels you’ve installed and their efficiency, intensity of sunlight your rooftop receives, orientation of the panels and tilt angle, the pollution level and weather conditions in your city, the temperature, shadow on the roof, impact of dirt/dust, and how well you maintain your panels after installation.

In this blog, we’ve explained everything about the 3 kW solar panel price in Chennai and how subsidy reduces the installation cost, making on-grid rooftop solar panel systems for homes cheaper. We have also included the overall solar panel installation cost in Chennai for different capacity solar systems and provided a breakdown of the solar savings you can expect from each in 25 years.

TL;DR Summary Box: Is There Any Subsidy for 3 kW Solar Systems in Chennai?

Homeowners in Chennai can avail a subsidy of Rs. 78,000 for solar systems with a capacity of 3 kW or higher under the PM Surya Ghar Muft Bijli Yojana. A few eligibility conditions to access this financial help include:

• Installing a grid-connected solar system with made-in-India solar panels.
• Legally owning the property and the rooftop where the system is being mounted.
• Having a valid electricity connection in your name is essential.
• Never availed of a solar subsidy for systems up to 3 kW before.

Here are the main topics covered in this blog:

*Please note: The above-mentioned 3 kW solar panel price in Chennai for on-grid solar systems is indicative as of 11th October 2025 for the SolarSquare Blue 6ft variant. The final solar plate price depends on your DISCOM charges, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings guarantee, roof height, etc. Prices are subject to change. Additionally, the 3 kW solar panel price in Chennai for hybrid and off-grid solar systems listed above is based on standard market estimates. SolarSquare does not sell or install off-grid or hybrid solar systems. We exclusively install on-grid rooftop solar systems for housing societies, homes, commercial buildings, and industrial facilities. 

What is the Subsidy for Solar Panels in Chennai?

Homeowners in Chennai can benefit from the subsidy offered by the central government under the PM Surya Ghar Muft Bijli Yojana. For a 3 kW solar system or a capacity higher than this, the financial assistance amounts to a whopping Rs. 78,000.

Let’s first check out the subsidy amount based on kWp details:

• Solar subsidy for 1-2 kW solar systems: Rs. 30,000 per kilowatt
• Solar subsidy for additional capacity over and above 2 kW up to 3 kW: Rs. 18,000
• Solar subsidy for 3 kW or higher capacity: Rs. 78,000  

That said, here’s a simple table that we’ve made to explain the exact subsidy amount for different capacity solar systems:

If you’re a homeowner installing an on-grid rooftop solar system in Chennai, you’ll receive a relaxation of Rs. 78,000 under the Surya Ghar scheme.

What is the 3 kW Solar Panel Price in Chennai With Subsidy in 2025?

Here’s a simplified table that captures the 3 kW solar panel price in Chennai with and without a subsidy in 2025:

*Please note: The above-mentioned 3 kW solar panel price in Chennai is indicative as of 11th October 2025 for the SolarSquare Blue 6ft variant. The final price of a solar panel for homes in Chennai depends on your DISCOM charges, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings guarantee, roof height, etc. Prices are subject to change. 

3 kW Solar Panel Price With Subsidy vs the ROI

If you find yourself constantly worried because electricity tariffs rise by 3-6% every year, installing a 3 kW solar system can end your worries in Chennai. Not only will this system make your bills near-zero, but it will also offer almost 5.6 times the ROI, which no other form of investment can offer. 

Here’s a table highlighting the 3 kW solar panel price with subsidy vs the ROI and solar savings you will receive in Chennai over 25 years of the system’s life:

*Please note: The above-mentioned 3 kW solar panel price in Chennai with subsidy is indicative as of 11th October 2025 for the SolarSquare Blue 6ft variant. The final price of a solar panel for homes in Chennai depends on your DISCOM charges, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings guarantee, roof height, etc. Prices are subject to change. Additionally, when calculating savings, we have considered an annual tariff escalation of 3% and an annual degradation of 1%. The actual final savings from an on-grid solar power plant in Chennai depend on the types of solar panels you’ve installed and their efficiency, intensity of sunlight your rooftop receives, orientation of the panels and tilt angle, the pollution level and weather conditions in your city, the temperature, shadow on the roof, impact of dirt/dust, and how well you maintain your panels after installation.

How to Apply for a Subsidy on Solar Panel Installation in Chennai?

Homeowners have to follow simple registration steps, listed below, through the National Portal to claim a subsidy on solar panel installation in Chennai:

• Step 1 – Open the National Portal website: Click on the official PM Surya Ghar Muft Bijli Yojana National Portal. You will find the option ‘Apply for Rooftop Solar’. Click on it. 
• Step 2 – Create your consumer account: Once you click on ‘Apply for Rooftop Solar’, you will be asked to select your state, district, and DISCOM. After that, simply enter your Customer Account Number to create your profile.
• Step 3 – Fill the rooftop solar form: This step asks for some personal details, like your name and information from your electricity bill. 
• Step 4 – Add your bank account details: Upload all the required documents, which will be indicated on the portal itself. Then, upload a copy of a canceled cheque. Be very careful to enter the correct details in this step, as this is the account where your subsidy will be directed later on. 
• Step 5 – Choose a solar installation company: Select a DISCOM-empanelled installation company, such as SolarSquare. 
• Step 6 – Sign the contract with the installer: You need to upload a copy of this signed contract between you and your installer on the National Portal.
• Step 7 – The DISCOM will install a net meter: Your DISCOM will install a bi-directional or smart meter in your property after the installation company installs your solar system.  
• Step 8 – Get the commissioning certificate: Once the system is commissioned, the DISCOM issues the Solar Commissioning Certificate.
• Step 9 – File your subsidy claim: Upload the Solar Commissioning Certificate on the National portal. Then, file for your subsidy. 
• Step 10 – Receive the subsidy: The subsidy will be credited directly to your bank account within 30 days of the claim approval.

What Are the Types of 3 kW Solar Systems and Their Prices in Chennai?

The three main types of solar systems include on-grid solar systems, off-grid solar systems, and hybrid solar systems. On-grid solar systems are more cost-effective than off-grid and hybrid systems, as they do not require expensive lithium batteries to store excess solar energy generated by the panels.

Let’s check out how major the cost difference between the three types is:

*Please note: The above-mentioned 3 kW solar panel price in Chennai with subsidy for on-grid solar systems is indicative as of 11th October 2025 for the SolarSquare Blue 6ft variant. The final 3 kW solar plate price depends on your DISCOM charges, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings guarantee, roof height, etc. Prices are subject to change. Additionally, the cost of solar panel installation in Chennai for off-grid and hybrid systems listed above is based on standard market estimates. SolarSquare does not sell or install off-grid or hybrid solar systems. We exclusively install on-grid rooftop solar systems for homes, housing societies, commercial buildings, and industrial facilities. 

Now, let’s check out the major differences between different types of solar PV systems and understand why on-grid is better for residential and commercial rooftop systems:

*Please note: The above-mentioned 3 kW solar panel price in Chennai with subsidy is indicative as of 11th October 2025 for the SolarSquare Blue 6ft variant. The final 3 kW solar panel rate in Chennai depends on your DISCOM charges, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings guarantee, roof height, etc. Prices are subject to change. Additionally, the solar panel rate for off-grid and hybrid systems listed above is based on standard market estimates. SolarSquare does not sell or install off-grid or hybrid solar systems. We exclusively install on-grid rooftop solar systems for homes, housing societies, commercial buildings, and industrial facilities. 

What is the Cost of Installing a Rooftop Solar Panel in Chennai in 2025?

The price of a solar panel for homes in Chennai with subsidy ranges between ~Rs. 1.25 lakh* for a 2 kW solar system and ~Rs. 4.72 lakh* for a 10 kW solar system.

Now, let’s check out the cost of rooftop solar in Chennai for different capacity systems:

*Please note: The solar panel rate in Chennai listed in the section above is indicative as of 11th October 2025 for the SolarSquare Blue 6ft variant. The final cost of solar installation in Chennai depends on your DISCOM charges, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings guarantee, roof height, etc. Prices are subject to change.

Solar Panel Installation Cost in Chennai vs Solar Savings in 25 Years

Wondering how much money you can save by installing an on-grid solar power plant in Chennai? You can use SolarSquare’s free solar energy estimator to get an estimate of the cost of installing a solar system that can cover all your energy requirements and the solar savings it will offer in its 25-year lifetime in your city. 

For demonstration, we’ve made this snapshot of solar panel price vs ROI in Chennai:

*Please note: The cost of solar panel installation for a home in Chennai listed in the section above is indicative as of 11th October 2025 for the SolarSquare Blue 6ft variant. The final solar panel rate in Chennai depends on your DISCOM charges, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings guarantee, roof height, etc. Prices are subject to change. Additionally, when calculating savings, we have considered an annual tariff escalation of 3% and an annual degradation of 1%. The actual final savings from an on-grid solar power plant in Chennai depend on the types of solar panels you’ve installed and their efficiency, intensity of sunlight your rooftop receives, orientation of the panels and tilt angle, the pollution level and weather conditions in your city, the temperature, shadow on the roof, impact of dirt/dust, and how well you maintain your panels after installation.

Is a 3 kW Solar Panel Sufficient for a Home in Chennai?

A 3 kW solar system can generate 4,200 to 4,350 units of electricity annually, enough to run all common home appliances, including a single 1.5-ton air conditioner. It’s more than enough to fulfill the energy requirements of a 2-3 BHK home in Chennai.

Here’s a list of appliances that can run on a 3 kW solar system in Chennai:

What Are the Benefits of Installing a 3 kW On-Grid Solar Power Plant in Chennai?

Installing a 3 kW on-grid solar power plant in Chennai is extremely beneficial for homeowners as it can lower hefty bills by 90% or more, improve the air quality index, and offer free solar electricity for 25+ years.

Let’s take a look at the benefits a little closely:

• They are eligible for a subsidy: Homeowners can get a relaxation of Rs. 78,000 in Chennai for installing an on-grid rooftop solar system.
• They lower bills by 90% or more: Since they reduce reliance on grid electricity, your bills can be slashed by 90% or more. Many customers report getting zero bills after they install rooftop solar at home.
• They generate free electricity for 25+ years, offering a fantastic ROI: A 3 kW solar system will continue generating electricity for more than 25 years. This means that all the money you would have spent on hefty bills, which inflate by 3-6% annually, will now be saved. And the ROI you will receive over 25 years of the 3 kW solar system producing free electricity can be ~5.6 times the initial investment cost.
• They reduce your carbon footprint: If you’ve been fussing about how pollution is on the rise and deforestation is worsening the air quality index, a 3 kW solar system can resolve all your worries. How? Well, that’s because a 3 kW solar system is equivalent to planting 118 trees. If you plant these many trees in reality, they will offset 77,616 kg of carbon dioxide over 25 years. So, installing a 3 kW solar system means you’re directly lowering your carbon footprint and improving the quality of air in your city.
• They have a quick payback period: It takes just 3 to 5 years to recover the investment cost you made for installing a 3 kW solar system in Chennai.

Why Choose SolarSquare’s 3.24 kW and 3.78 kW Solar Systems?

When you calculate the number of 540Wp high-efficiency solar panels needed to install a 3 kW solar system, you’ll realize the exact number is 5.55. Now, since nobody can install half a panel, most installers end up downsizing to 5 panels. As a result, the system capacity achieved in reality is not 3 kW; it’s just 2.7 kW. This system will not be able to meet your energy requirements or make your bills zero.

That’s why SolarSquare introduced the 3.24 kW system design, where our engineers use full six panels, instead of downsizing to five panels. For homes that need a little extra energy but not enough for a full 4 kW solar system, we use seven panels to build a 3.78 kW solar system. 

Our goal is to make sure you get the true system size, not a downsized solar array. With SolarSquare’s 3.24 kW and 3.78 kW solar systems, you can expect:

• More daily generation and deeper bill cuts
• Faster payback and stronger long-term ROI
• Better performance on cloudy days and winter months
• More accurate savings estimates and fewer surprises

Conclusion

The 3 kW solar panel price in Chennai with subsidy drops to ~Rs. 1.32 lakh* from ~Rs. 2.10 lakh*. This investment is worthwhile for homeowners as the returns are ~5.6 times the investment cost. You can save ~Rs. 7.41 lakh* in the system’s 25-year lifetime, as you will no longer have to pay expensive electricity bills.  

*Please note: The above-mentioned 3 kW solar panel price in Chennai with subsidy is indicative as of 11th October 2025 for the SolarSquare Blue 6ft variant. The final price of a solar panel for homes in Chennai depends on your DISCOM charges, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings guarantee, roof height, etc. Prices are subject to change. Additionally, when calculating savings, we have considered an annual tariff escalation of 3% and an annual degradation of 1%. The actual final savings from an on-grid solar power plant in Chennai depend on the types of solar panels you’ve installed and their efficiency, intensity of sunlight your rooftop receives, orientation of the panels and tilt angle, the pollution level and weather conditions in your city, the temperature, shadow on the roof, impact of dirt/dust, and how well you maintain your panels after installation.

For any further enquiries about solar installation in Chennai, you can book a free solar consultation call with SolarSquare. 

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FAQs

Q1. Who is eligible for the PM Surya Ghar yojana?

Ans. Indian citizens installing grid-connected solar systems at their homes are eligible for the PM Surya Ghar yojana if they choose made-in-India DCR solar panels, legally own the property where the installation will be done, have never received a solar subsidy for up to 3 kW before, and have a valid electricity connection in their name.

Q2. How many ACs can run on a 3 kW solar system?

Ans. A 3 kW solar system can run one single 1.5-ton air conditioner. If you want to run two ACs, a 3 kW solar system is not enough. You will need a 5 kW solar system for that.

Q3. How many solar panels are required for a 3 kW solar system?

Ans. It depends on the module capacity. For instance, it will require ~6 panels if you use 540-watt panels, but ~10 panels if the modules are 300Wp. Here’s the simple formula you can use: Number of solar panels = System capacity (in watts) ÷ the module capacity (in watts)

Q4. What is the lifespan of a 3 kW solar panel?

Ans. A well-maintained solar panel has a long life of 25 years. With proper care, the system can work at ~80% efficiency even after 25 years.