The Delhi government has outlined a draft solar policy intended to cut the upfront cost of household rooftop solar installations to Rs15,000, officials said. The draft is in its final stages and is expected to be placed before the cabinet after the monsoon session. The policy aims to accelerate adoption by advancing financial incentives so that households face a much lower initial contribution. Officials described the move as complementary to central schemes.

It proposes to complement the PM Surya Ghar: Muft Bijli Yojana by offering additional support and by changing the timing of the generation based incentive. One key proposal is to disburse the generation based incentive upfront instead of spreading it over five years. At present residential systems up to three kilowatt (kW) receive a generation based incentive of Rs3 per unit, while systems above that threshold receive Rs2 per unit. The incentive is currently adjusted against monthly electricity bills with any surplus credited by the discom.

Officials gave cost figures to illustrate the impact. A standard three kilowatt rooftop solar system currently costs around Rs2.25 lakh, equivalent to 0.225 million (mn). Under the existing arrangement households receive about Rs1.08 lakh in assistance, or 0.108 million (mn), comprising Rs78,000 from the Centre and Rs30,000 from the Delhi government. Combining the subsidy with an upfront five year generation based incentive would substantially lower the initial payment required from consumers.

The government said the change would make installations more affordable and stimulate uptake across the city. Delhi currently has more than 10,000 rooftop solar installations and the administration aims to expand that base to 2.3 lakh, or 0.23 million (mn), through the strengthened incentives. Officials indicated that bringing financial support forward would remove a key barrier and provide a major boost to household solar adoption. The draft policy will proceed through formal approval processes before implementation.