Solar Panel Price Gujarat: What is the solar subsidy policy?

Backing away from installing a solar system because somebody said that the upfront cost is unaffordable? What if we tell you that you don’t have to pay the entire solar panel price Gujarat from your pocket? Yes, you heard that right! 

Thanks to the state government, you can get subsidies for installing solar panels at your home. Besides, it’s not true that solar systems are exceptionally expensive. The money they save in the long run is worth what you spend upfront.

Keep in mind that a solar subsidy in Gujarat is not provided for commercial setups. It’s available for residential homes and housing societies only. 

So, what is meant by getting a subsidy on solar panels? Well, it is the financial assistance provided to aid people in installing solar panels at an affordable price. 

We know that you are curious to know everything about solar panel price, Gujarat and the solar subsidy in Gujarat. 

So, wait no longer and dive in to know the solar panel price Gujarat.

Overview of the L1 Solar Panel Prices in Gujarat 

First, let’s begin by discussing the L1 solar panel price, Gujarat. 

The solar subsidy in Gujarat is decided based on the L1 rates, which are also known as discoverable rates. But how are these rates determined?

These rates are determined based on the lowest winning bid. The empanelled vendors place their bids in the solar subsidy tender of the state.  

Among the bidding solar vendors, the one who provides the lowest bidding value wins the maximum allocation right. This winning bid is nothing but the state’s L1 price.

Customers get subsidies based on the L1 rates in the following manner: 

  • – For 1 – 3 KW solar systems in Gujarat = Rs. 40,991/KW. 
  • – For more than 3 KW and up to 10 KW solar systems in Gujarat = 43,500/KW. 

Solar Panel Price range in Gujarat 

Confused since we just walked you through the L1 rates? Well, don’t be, we’ll clarify things further.

The L1 rates are used to calculate the subsidy you will get and they are different from the total installation cost of the solar system. 

Why? Well, because the technology used in making different panels differ. The efficiency of different panels differs and so does the brand. Hence, the cost variation. 

Depending on such factors, the solar panel price Gujarat can range from Rs. 45,000 to Rs. 70,000 for 1 KW. 

Here are the further calculations of solar panel prices in Gujarat for higher capacity solar systems:  

  • – 2 KW: Rs. 90,000 to Rs. 1,40,000
  • – 3 KW: Rs. 1,35,000 to Rs. 2,10,000 
  • – 4 KW: Rs. 1,80,000 to Rs. 2,80,000 
  • – 5 KW: Rs. 2,25,000 to Rs. 3,50,000 

Solar Panel Price in Gujarat with Subsidy 

The government provides solar subsidy in Gujarat on the L1 prices. We have already discussed how much subsidy is provided (in percentage) on the L1 rates. So, now let’s find out the exact subsidy amount/KW (without GST). 

Solar system’s CapacityKW-wise Subsidy
1 KWRs. 16,396
2 KWRs. 32,793
3 KWRs. 49,189
4 KWRs. 60,900
5 KWRs. 69,600

Now that you know the subsidy, you can calculate the exact solar panel price in Gujarat. 

You need to subtract the subsidy grant from the solar panel price. 

For example: If you’ve purchased a 3 KW solar system worth Rs. 1,50,000, subtract from it Rs. 49,189 (subsidy on a 3KW solar system). 

So, in this case, the 3kw solar panel price in Gujarat with subsidy will be Rs. 1,00,811. 

Objectives of Solar Subsidy, Gujarat 

Solar subsidies are provided to make the use of solar energy more prevalent. They are initiated to provide financial assistance to homeowners and housing societies so that they can install solar panels within their budgets. 

Therefore, buying solar panels today has become more affordable than it was before. 

Also, electricity generated from fossil fuels is harmful to the planet. Carbon emissions cause pollution and are the major reason behind deadly diseases such as tumors.  

Since a solar subsidy encourages people to install solar systems, it’s a very innovative way to reduce pollution and healthify the planet as a whole. 

Objectives of Installing Solar Panels in Gujarat 

The main objective behind installing solar panels is to replace fossil fuel-based electricity. 

Installing solar systems saves a lot of money in the long run and is a safer investment. 

You might ask how? Electricity rates increase by 3-5% every year when that electricity comes from fossil fuels. Solar electricity, on the other hand, is free. 

Needless to say, once you have paid the installation cost, you’ll get free electricity for as long as 25 years. 

Solar Rooftop in Gujarat: An Overview

Let’s learn about how you can execute a residential solar project in Gujarat. 

  • – Visit the Gujarat Discom’s website – DGVCL
  • – Here, you need to open the renewable energy portal and apply for solar rooftop installation 
  • – After that, you need to pay the basic registration fees. For instance: If you want to install a solar panel up to 20 kW, you need to pay Rs. 500 (with GST). Anything more than that, you need to pay Rs. 100 (with GST)
  • – Thereafter, select an empanelled agency. 
  • – After the agency approves the proposal, a local field officer and an agency member will visit your location to examine it before installing a solar system on your rooftop 
  • – Once approved, the local field officer will get notified. Within 6 months, the installation process will be completed 
  • – SDO will look after the installation process, remove discrepancies, allow net metering and RTS commissioning, and send the work completion report
  • – Finally, Dakshin Gujarat Vij Co.Ltd (DGVCL) Discom will disburse the subsidy to the vendor

Now that you know how to execute the installation of a residential solar plant in Gujarat, do not delay further! Send the application and get the process started as soon as possible.

Step-by-Step Process to Apply for Solar Panel Subsidy in Gujarat

If you have been wondering how you can apply for a solar panel in Gujarat, here’s how it’s done: 

  • – Go to the DGVCL website
  • – Choose SolarSquare from the empanelled vendors’ list
  • – Now, share the project details with SolarSquare Energy (SSE)
  • – An officer from DGVCL will visit your house to check and verify the location of the solar system installation
  • – After receiving approval from the officer, you need to pay the solar panel price Gujarat to SSE minus the subsidy price
  • – Net meter commissioning will start after the solar panel installation process gets completed. 
  • – After that, your solar system will become operational
  • – Finally, Dakshin Gujarat Vij Co.Ltd will pay the subsidy amount to SolarSquare directly

Solar Net Metering Process in Gujarat

Let’s now discuss the stages of the net metering process in Gujarat. 

STAGE 1: Submission of application 

  • – Firstly, your installer shall generate an application on the SG portal on your behalf
  • – Here, you need to provide a one-time password to verify the application and the required documents (we’ll discuss which documents need to be submitted shortly) 

STAGE 2: Verification and payment of a fee

  • – After submitting your application, a sub-division officer of Dakshin Gujarat Vij Co.Ltd  Discom will check and approve it
  • – Post this process, Discom will generate a letter

STAGE 3: Feasibility approval and payment for installation

  • – Then, the site’s feasibility for solar installation will be checked, and payment for the installation will be made at the Discom
  • – The SG portal will update after the payment is completed

STAGE 4: Completion of work, inspection, and installation

  • – After installation, SSE will enter the work completion details. The CEI will inspect those details 
  • – Finally, the net meter will be installed and commissioned 

List of Documents Required in Gujarat 

Wondering which documents you need to provide along with the application? Here is the list:

  • – You need to provide your Aadhaar card’s self-attested copy
  • – A copy of the pan card is also needed for identification
  • – A passport-size photograph is also required
  • – You also need to present the updated municipal tax receipt house
  • – The last drawn electricity bill also needs to be provided 
  • – A copy of a cancelled cheque is also required


Now you know everything about the solar subsidy in Gujarat. So, if you want to purchase and install solar panels, follow the steps mentioned above and avail of the subsidy on the L1 solar panel price, Gujarat. 

Do not forget to submit any of the documents specified above, as they are crucial for the application’s approval. 


Q. Is it mandatory to submit the electricity bill for solar panel installation?

Yes, you must send the latest electricity bill to install the solar panel.

Q. What is the KW-wise subsidy provided for installing a 1KW solar system?

The government provides a subsidy of Rs. 16,396 for a 1 KW solar system. 

Q. How is the solar panel subsidy decided in Gujarat?

The solar panel subsidy in Gujarat is decided based on the L1 prices. The lowest bidding value from different solar vendors to get the allocation rights becomes the L1 price. 

  • – For solar panels of 1 – 3 KW, a subsidy of 40% on L1 prices is provided. 
  • – For solar panels of more than 3 KW and up to 10 KW, a subsidy of 20% on L1 prices is provided.