The government of Bihar offers a substantial subsidy for solar energy systems to encourage residents to adopt renewable energy sources. This initiative is part of a broader effort to enhance the solar industry across India. Many individuals are unaware that they can benefit from this subsidy, which significantly reduces the cost of installing solar systems.
This article outlines the key aspects of the solar subsidy in Bihar, including eligibility, benefits, and the application process.
Table of Contents
What is Solar Subsidy?
A solar subsidy is a financial assistance program provided by the government to encourage the installation of solar energy systems. In Bihar, this subsidy helps reduce the overall cost of solar installations for residential users, making it more accessible for households to adopt solar energy solutions.
Benefits of Solar Subsidy in Bihar
- Financial Support: The government provides significant subsidies to lower the installation costs of solar systems. For instance, residents can receive up to 55% off the installation costs for certain systems.
- Cost Reduction: With the subsidy, the financial burden on consumers decreases substantially. For example, a 1 kW on-grid solar system that costs approximately ₹60,000 can be installed for just ₹27,000 after applying the subsidy.
- Encouragement of Renewable Energy: By making solar energy more affordable, the government aims to increase its adoption, which contributes to environmental sustainability and energy independence.
Also read: Solar Panel Subsidy in Tamil Nadu: A Comprehensive Guide
How Much Subsidy is Available?
The Solar Subsidy in Bihar varies based on the capacity of the solar system:
System | Govt. Subsidy | Customer Price |
Up to 3kW | 40% | |
Above 3kW to Upto 10kW | 20% | |
Above 10kW | 0% | |
Cost of 3kW Solar System | Without Subsidy | 1,80,000 |
Customer Payable Amount | With Subsidy (- Rs. 72,000) | 1,08,000 |
Cost of 5kW Solar System | Without Subsidy | 3,00,000 |
3kW | 40% Subsidy (3*24,000) | -72,000 |
2kW | 20% Subsidy (2*12,000) | -24,000 |
Customer Payable Amount | With Subsidy (-96,000) | 2,04,000 |
5kW – Generation | Benefits | Units – Rs. 7.5/U |
Daily Genration | 25 Units | 187 |
Monhtly Genration | 625 Units | 4687 |
Yearly Generation | 7,500 Units | 56, 250 |
Lifetime Generation | 1,87,500 Units | 14,06,250 |
Return on Investment | 3.6 years | |
Income | 6.89X | |
Installation Area | ||
1. | Mono Perc | 500 sq.ft. |
2. | Shark 440W – 540W | 300 sq.ft. |
Key Points:
- The subsidy is aimed at promoting the installation of solar energy systems to reduce electricity costs and encourage the use of renewable energy.
- The maximum subsidy for a 3 kW system is ₹18,000, while for systems above this capacity, the subsidy decreases to 20% for each additional kilowatt.
- There is no subsidy available for systems exceeding 10 kW capacity.
This structure encourages households and businesses in Bihar to adopt solar energy solutions, contributing to both cost savings and environmental sustainability
Apply Now For Solar Panel Subsidy Scheme in Tamil Nadu
Application Process for Solar Subsidy in Bihar
To apply for the solar subsidy in Bihar, follow these steps:
- Site Survey: Contact a registered engineer or service provider to conduct a site survey.
- Determine System Capacity: Based on your energy needs and budget, decide on the capacity of the solar system you wish to install.
- Installation: Once you have chosen your provider and system specifications, proceed with purchasing and installing the system.
- Net Metering: After installation, ensure that net metering is set up to monitor energy generation and consumption.
- Subsidy Application: Finally, apply for the subsidy through the official government portal or through your service provider.
Also read: Solar Panel Subsidy in Jammu and Kashmir: A Comprehensive Guide
Considerations and Challenges
While there are many advantages to applying for a solar subsidy in Bihar, there are also challenges:
- Limited Availability: Due to high demand and existing applications backlog, it may take time for subsidies to be processed.
- Brand Limitations: When opting for subsidized systems, consumers might have limited choices regarding brands and technologies used.
- Installation Time: The installation process may take longer under government schemes compared to private installations.
In conclusion, the solar subsidy program in Bihar represents a significant opportunity for residents looking to invest in renewable energy. By understanding the benefits and navigating through the application process effectively, consumers can make informed decisions about adopting solar energy solutions that contribute positively to both their finances and the environment.
FAQ’s
A solar subsidy is a financial incentive provided by the government to reduce the cost of installing solar energy systems.
Residents of Bihar looking to install solar systems for residential use are eligible for the subsidy.
Currently, there is a backlog of applications, so new applicants may face delays in receiving subsidies.
For example, a 1 kW system costs about ₹60,000 without subsidy; with a 55% government support, it would cost around ₹27,000
If you do not receive your subsidy within a reasonable time frame after applying, you should contact BREADA or your local installation provider for assistance.
Installation typically takes between 60 to 90 days when applying through government schemes.