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TL;DR: What’s the Subsidy for a 5 kW Solar System in Gujarat?

Under the PM Surya Ghar Muft Bijli Yojana, households in Gujarat installing an on-grid rooftop 5 kW system are eligible for a central subsidy of ₹78,000. Residential on-grid systems qualify; off-grid, hybrid, or commercial systems do not for this subsidy.

  • Electricity tariffs are increasing every year (≈ 3-6%), so installing solar now locks in savings.
  • With the government subsidy, upfront costs drop significantly.
  • A 5 kW system produces more electricity than smaller systems, covering larger homes and more appliances.
  • Returns on investment over 25 years are very strong with degradation & tariff escalation factored in.

Here are approximate costs (as of September 2025) for a 5 kW on-grid rooftop solar system with subsidy and without, for different Gujarat cities. These are base-variant systems (e.g. VEE SECURE SOLAR  Blue 6ft), and real cost can vary based on panel type, inverter, installation height, roof structure, and vendor. VEE SECURE SOLAR

CityCost Without SubsidySubsidyCost With Subsidy
Ahmedabad~ ₹2.80 lakh₹78,000~ ₹2.02 lakh VEE SECURE SOLAR
Surat~ ₹2.90 lakh₹78,000~ ₹2.12 lakh VEE SECURE SOLAR
  • A 5 kW rooftop solar system in Gujarat typically generates ≈ 7,000 to 7,250 units per year. VEE SECURE SOLAR
  • That is sufficient to power a medium-to-large home: 2 × 1.5-ton ACs, refrigerator, washing machine, LED lighting, fans, geyser, and other usual appliances. VEE SECURE SOLAR
Type of Solar SystemSubsidy Applicable?Approx Cost (2025, Gujarat)
On-Grid Rooftop SystemYes₹2.02 lakh to ₹2.12 lakh with subsidy VEE SECURE SOLAR
Off-Grid SystemNoStarts from ~ ₹3.50 lakh VEE SECURE SOLAR
Hybrid SystemNo (for residential subsidy)Starts from ~ ₹7.50 lakh VEE SECURE SOLAR

ROI: Return on Investment Over System Life
Let’s see how the numbers stack up when you account for savings over 25 years, panel degradation, and rising electricity tariffs. VEE SECURE SOLAR

City Net Cost After Subsidy Estimated 25-Year Savings
Ahmedabad ~ ₹2.02 lakh ~ ₹21.82 lakh VEE SECURE SOLAR
Surat ~ ₹2.12 lakh ~ ₹21.25 lakh VEE SECURE SOLAR
So roughly, you invest ~₹2.02-2.12 lakh now, to save over ₹21 lakh in 25 years, assuming ~3% yearly rise in electricity tariffs and ~1% annual panel degradation. VEE SECURE SOLAR

How to Avail the Subsidy (Step by Step)

  1. Register via the PM Surya Ghar Muft Bijli Yojana national portal. PMSuryaghar+1
  2. Fill in your electricity bill, KYC, and select your DISCOM.
  3. Choose a DISCOM-approved rooftop solar installer.
  4. Get your rooftop system installed and bi-directional net meter fitted.
  5. Get the Commissioning Certificate after inspection.
  6. Submit commission certificate along with bank details on the portal.
  7. Within ~30 days, subsidy (₹78,000) should be credited to your bank account. VEE SECURE SOLAR

Yes. For a typical 3-4 BHK house or villa. With ~7,000+ units per year, you can comfortably run:

  • 2 ACs (1.5-ton)
  • Geyser
  • Refrigerator
  • Fans & lights
  • Washing machine etc.
  • Other kitchen appliances

It ensures you depend much less on grid supply especially during daytime and can reduce bills dramatically. VEE SECURE SOLAR

  • Huge Bill Savings: Can reduce your electricity bills by ~90% or more. VEE SECURE SOLAR
  • Strong ROI: Investment pays back in few years, rest is mostly profit.
  • Lower Environmental Impact: Offsets thousands of kg of CO₂ over system’s lifespan.
  • Increased Property Value: Roof with solar becomes an asset.
  • Stable Costs: Once installed, power from solar is “fixed”, while grid power likely gets costlier.

Here are some indicative costs in other major Indian cities for a 5 kW on-grid system, with subsidy: VEE SECURE SOLAR +1

CityCost Without SubsidyCost With Subsidy
Ahmedabad~₹2.95 lakh~₹2.17 lakh VEE SECURE SOLAR +1
Lucknow~₹3.05–3.10 lakh~₹1.92 lakh VEE SECURE SOLAR
Delhi~₹3.15–3.25 lakh~₹2.37 lakh VEE SECURE SOLAR

Installing a 5 kW on-grid rooftop solar system in Gujarat in 2025 is a smart, forward-looking investment. With subsidy of ₹78,000 your out-of-pocket is ~₹2.02-2.12 lakh depending on city, and over 25 years you save ~₹21 lakh+ under typical conditions.

With rising electricity tariffs, falling solar module costs, and strong government support, there’s likely no better time than now to go solar.

Want me to also generate a visual ROI calculator (payback period, yearly savings etc.) specifically for 5 kW systems for your city (like Surat / Vadodara)?