Maharashtra Govt Announces Up to 95% Subsidy for Rooftop Solar Panels Under SMART Scheme

The Maharashtra government has launched the Swayampurna Maharashtra Residential Roof Top (SMART) Solar Scheme, offering subsidies ranging from 80 to 95% for the installation of rooftop solar panels. This initiative aims to help BPL, SC, and ST consumers achieve zero monthly electricity bills.

MaharashtraSolar PanelsSmart SchemeSubsidiesRenewable EnergyReal Estate MaharashtraOct 07, 2025

Maharashtra Govt Announces Up to 95% Subsidy for Rooftop Solar Panels Under SMART Scheme
Real Estate Maharashtra:Mumbai: In a significant move towards sustainable and affordable energy for low-income households, the Maharashtra government has issued a Government Resolution (GR) announcing heavy subsidies ranging from 90 to 95 per cent for the installation of rooftop solar panels under the Swayampurna Maharashtra Residential Roof Top (SMART) Solar Scheme. The initiative aims to help Below Poverty Line (BPL), Scheduled Caste (SC), and Scheduled Tribe (ST) consumers achieve 'zero' monthly electricity bills while promoting renewable energy adoption across the state.

According to the GR, households with monthly power consumption below 100 units will be eligible for the subsidy. The cost of installing a 1KW solar panel, capable of generating around 120 units of electricity per month, is estimated at Rs 50,000.

Of this, the Central government will provide Rs 30,000 as financial support. For BPL consumers, the state government will contribute an additional Rs 17,500, bringing the total subsidy to 95 per cent, with the consumer paying just Rs 2,500.

For SC and ST consumers with less than 100 units of monthly consumption, the subsidy will amount to Rs 45,000 (90%), requiring a contribution of Rs 5,000 from the consumer. Other economically weaker consumers who do not fall in these categories but consume less than 100 units monthly will receive a Rs 40,000 subsidy (80%), contributing Rs 10,000 themselves.

To ensure the smooth rollout of the scheme, the state government has allocated Rs 330 crore for the financial year 2025–26 and Rs 325 crore for 2026–27. The Maharashtra State Electricity Distribution Company Limited (MSEDCL) will implement the project, with funds provided through the state’s budgetary grants.

Chief Minister Devendra Fadnavis had earlier announced the plan in the state assembly, emphasizing its goal to make electricity nearly free for the economically weaker sections. “It is finally being implemented, and with the low costs involved, electricity becomes almost free for these consumers,” said MSEDCL Managing Director Lokesh Chandra, as quoted by Times of India. He added that beneficiaries would also have the opportunity to earn additional income by selling surplus solar energy back to the grid.

As per state estimates, around five lakh domestic consumers are expected to benefit in the initial phase, comprising approximately 1.5 lakh BPL households and 3.5 lakh low-consumption consumers. The GR also mandates suppliers to maintain and repair the installed solar systems for five years, prioritizing implementation in remote and underdeveloped regions such as Melghat, Nandurbar, and Gadchiroli.

Frequently Asked Questions

Who is eligible for the 95% subsidy under the SMART Scheme?

BPL (Below Poverty Line) households with monthly power consumption below 100 units are eligible for a 95% subsidy.

How much will BPL consumers pay for the installation of a 1KW solar panel?

BPL consumers will pay Rs 2,500 for the installation of a 1KW solar panel, with the rest of the cost covered by the government subsidy.

What is the total cost of installing a 1KW solar panel?

The total cost of installing a 1KW solar panel is estimated at Rs 50,000.

How much subsidy will SC and ST consumers receive?

SC and ST consumers with monthly power consumption below 100 units will receive a 90% subsidy, amounting to Rs 45,000.

What is the total allocation for the SMART Scheme in the financial year 2025-26?

The total allocation for the SMART Scheme in the financial year 2025-26 is Rs 330 crore.

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