Installing a 2kW solar panel system can be a great way to start generating your own clean energy and reduce electricity bills. But the upfront cost of solar panels can be high. Luckily, the Indian government provides subsidies to make solar more affordable. In this comprehensive guide, we’ll break down 2kW solar panel prices across India and explain how you can take advantage of solar subsidies.

Overview of 2kW Solar Panel Systems

A 2kW solar panel system is a great size for many homes and small businesses. Here’s a quick overview:

• System size: 2kW
• Number of panels: Typically 8-12 panels
• Output: Can generate 8-10kWh of electricity per day
• Cost: Roughly ₹80,000 to ₹150,000 for the full system

With a 2kW system, you can offset a good portion of your electricity usage during daylight hours. Any excess solar electricity your panels generate gets exported back to the grid. This allows you to earn credit and reduce your electricity bills.

2kW Solar Panel Prices by State

Solar panel prices in India vary quite a bit state by state. Here is an overview of approximate 2kW solar system costs across different states:

Karnataka

In Karnataka, you can expect to pay around ₹95,000 for a 2kW solar system. High electricity tariffs here make solar a very viable option. Bangalore and other cities offer additional subsidies as well.

Tamil Nadu

Tamil Nadu has among the highest solar power capacity in India. 2kW solar systems cost approximately ₹90,000 in Tamil Nadu currently. Special subsidies are also available in Chennai and other municipalities.

Maharashtra

In Maharashtra, 2kW solar power systems fall in the ₹80,000 to ₹120,000 range. Mumbai provides solar subsidies specifically for residential buildings. So costs can be 20-30% lower with local subsidies factored in.

Rajasthan

With high solar irradiation levels, Rajasthan is a great state for solar panels. Upfront costs tend to be affordable as well. For a 2kW system, expect pricing around ₹85,000 in Rajasthan.

Gujarat

Gujarat pioneered solar power growth in India. A 2kW solar panel system will cost roughly ₹95,000 here. Additional subsidies are offered in Surat, Vadodara, Ahmedabad and other Gujarati cities.

Uttar Pradesh

In Uttar Pradesh, costs for a 2kW solar system fall in the ₹100,000 to ₹130,000 range typically. Lucknow and other UP municipalities provide extra financial incentives that can reduce the net cost by 20-40% though.

Other States

Most other states in India have 2kW solar system pricing ranging from ₹80,000 to ₹150,000. Specific costs vary by city as well based on electricity rates, climate conditions, labor costs and local policies. Some areas provide very generous subsidies while others offer little or no additional solar incentives.

Solar Panel Subsidies in India

India aims to install 100GW of solar power by 2022 as part of its renewable energy goals. To drive adoption, federal and state governments offer generous solar subsidies through initiatives like:

• Central Financial Assistance (CFA) – 30% subsidy for residential solar systems
• State policies – additional subsidies ranging from 10-70%
• Municipal/city incentives – extra subsidies for urban solar installations

These solar subsidies can reduce the net out-of-pocket costs for installing panels by 40-80%! Let’s take a closer look at how India’s national and state solar subsidies work.

Central Financial Assistance

India’s national MNRE ministry provides Central Financial Assistance (CFA) subsidies to encourage residential solar system installations.

The CFA program offers a baseline subsidy of 30% for small solar systems under 3kW capacity. For solar panel systems over 3kW, the first 3kW receive a 30% subsidy. Capacity over 3kW receives a lower subsidy of up to 20%.

So for a 2kW solar system, you would receive a 30% CFA subsidy on the full 2kW capacity. This subsidy amount gets deducted directly from the final cost of your solar panel system installation.

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State Solar Subsidies

On top of India’s baseline CFA subsidies, many states offer additional financial incentives for going solar:

• Special category states – States like Jammu & Kashmir, Himachal Pradesh and Uttarakhand receive subsidies of up to 70% for solar installations. Other states classified as special category receive at least 50%.
• General category states – States like Karnataka, Tamil Nadu, Kerala and Punjab offer added solar incentives up to 30% beyond the national CFA subsidies.

So in a state like Himachal Pradesh as an example, you could benefit from a 30% CFA subsidy + 70% state subsidy = 100% of your total solar system cost covered!

Even states without an official state subsidy often have individual solar incentive programs run at the municipal level. Cities like Surat, Bhopal, Visakhapatnam and others offer added rebates or performance-based incentives to cut the net out-of-pocket expense of installing solar panels.

Applying for Subsidies

To receive India’s national and state solar subsidies, you’ll need to file some paperwork after installing your PV system. Most solar installers take care of collecting the subsidies on your behalf. But here is an overview of the general process:

Central subsidy

• Submit CFA claim to your state nodal agency along with purchase receipts
• Receive subsidy amount directly from MNRE

State/local subsidy

• File separate subsidy application with your state’s renewable energy development agency or municipal office
• Provide system details, electrical inspection report and completion certificate
• Receive additional state incentive as a rebate payment

With all available subsidies factored in, you can reduce the effective price you pay for a rooftop solar system by 40-80% in many parts of India. This makes going solar very affordable!

Now let’s take a detailed look at 2kW solar system costs in a few major cities…

2kW Solar Panel Price in Delhi with Subsidy

Being the capital of India, Delhi has emerged as a leader in rooftop solar adoption. With high air pollution levels, Delhi is also focused on getting more clean energy from solar. Here are details on 2kW solar panel pricing in Delhi:

• Solar panel cost – ₹90,000 to ₹120,000
• CFA central subsidy – 30% for 2kW
• State subsidy – No added state subsidy
• Net cost – ₹63,000 to ₹84,000 after subsidies

So in Delhi, you can install a 2kW solar system for around ₹63,000 to ₹84,000 after claiming subsidies. With high electricity tariffs over ₹7 per kWh, solar panels in Delhi can deliver a 4-6 year ROI.

Delhi also aims to install 1GW of rooftop solar by 2025. Under the state’s solar policy, net-metering allows easy grid integration. Accelerated depreciation, renewable energy credits (RECs) and property tax rebates provide added solar incentives.

Overall Delhi offers a great environment for residential solar, albeit without an official state subsidy beyond the national CFA incentive.

2kW Solar Panel Price in Bangalore with Subsidy

Bangalore has among the highest electricity rates in India at over ₹7 per kWh. Strong IT industry presence also makes commercial rooftop solar adoption high. Here is a breakdown of 2kW solar system pricing in Bangalore:

• Solar panel cost – ₹95,000 to ₹110,000
• CFA central subsidy – 30% for 2kW
• State subsidy – 25% under Karnataka solar policy
• BBMP subsidy – Added 20% subsidy from Bangalore municipality
• Net cost – ₹38,000 to ₹44,000 after subsidies

Factoring in all available subsidies, the net out-of-pocket cost for a 2kW solar system works out to just ₹38,000 to ₹44,000 in Bangalore!

With extremely short payback periods under 4 years, Bangalore is one of the top cities in India for rooftop solar power. The local municipal electricity board also allows simplified net metering connectivity.

2kW Solar Panel Price in Hyderabad with Subsidy

Hyderabad has emerged as a top solar city in India. With a focus on cleantech and favorable policies, rooftop solar adoption has accelerated. Here are the numbers on 2kW solar for homes and businesses in Hyderabad:

• Solar panel cost – ₹80,000 to ₹100,000
• CFA central subsidy – 30% for 2kW
• State subsidy – No direct subsidy
• Net cost – ₹56,000 to ₹70,000 after subsidies

In Hyderabad’s solar-friendly environment, 2kW systems cost just ₹56,000 to ₹70,000 after claiming the 30% national CFA subsidy.

Net metering in Hyderabad is extremely easy through the local discom TSSPDCL. Connectivity takes just days compared to weeks or months in some states. The savings in electricity bills also outweigh the cost of solar panels.

So while Telangana currently has no direct state solar subsidy, Hyderabad still ranks among the leaders for rooftop solar power in India.

2kW Solar Panel Price in Chennai with Subsidy

With Tamil Nadu fast emerging as India’s top solar state, Chennai has seen booming installation of rooftop solar panels. Costs to go solar in Chennai are very attractive:

• Solar panel cost – ₹90,000 to ₹100,000
• CFA central subsidy – 30% for 2kW
• State subsidy – 25% under Tamil Nadu solar policy
• Net cost – ₹45,000 to ₹52,500 after subsidies

Accounting for Tamil Nadu’s generous 25% state subsidy, a 2kW solar power system in Chennai costs just ₹45,000 to ₹52,500 out-of-pocket.

Chennai also aims to install 350MW of rooftop solar by 2023. Net metering through TANGEDCO is extremely fast and straightforward. Accelerated depreciation, low financing rates and short payback periods all drive strong solar growth.

2kW Solar Panel Price in Mumbai with Subsidy

As India’s financial capital, Mumbai has emerged as a leader in commercial rooftop solar adoption. Residential solar is growing rapidly as well. Here is how 2kW solar system pricing nets out in Mumbai:

• Solar panel cost – ₹100,000 to ₹120,000
• CFA central subsidy – 30% for 2kW
• MCGM subsidy – Added 10-15% subsidy from Mumbai municipality
• Net cost – ₹56,000 to ₹72,000 after subsidies

While Maharashtra has no statewide solar subsidy yet, the MCGM provides a 10-15% added incentive for residents of Mumbai. Factoring this in, the net cost of a 2kW system works out to just ₹56,000 to ₹72,000 – making solar very viable.

Mumbai’s higher commercial and industrial electricity tariffs also drive strong returns from solar power. Streamlined connectivity from the local utility helps as well.

Final Thoughts

Installing a 2kW rooftop solar PV system can be a smart way to take control of your electricity bills while benefiting the planet. Thanks to the high solar irradiation India receives along with state and national subsidies, a 2kW solar system ends up extremely affordable – costing just ₹40,000 to ₹70,000 for the consumer post-subsidies.

With the savings in electricity bills factored in, most households and businesses break even on their solar panel investment in 3-5 years. And the systems keep producing free renewable energy for a lifetime while increasing your property value. It’s a win-win proposition all around while reducing India’s carbon footprint.

So if you’ve been considering solar panels for your home or office, a 2kW system can meet a nice portion of your electricity needs while costing very little out of pocket. Be sure to explore all available subsidies in your city or state to maximize savings. Then enjoy lower power bills and energy independence for decades to come!