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How Much Do You Save by Installing Solar Panels in Kerala?

Solar panels do more than just give your home electricity from the sun. They help the environment by using clean energy and reducing pollution. Additionally, they make sure your home still has power even if there is an outage. You will be able to reduce your expenses as well since solar power savings will cut down your electricity bills.

How installing solar panels can save electricity bills

Here are a few benefits of solar energy savings:

  •     Reduce or Eliminate Your Electricity Costs: Solar panels convert sunlight into electricity and power your home. By generating your own electricity, you rely less on the grid. Therefore, solar savings help reduce electricity bills. In some cases, your solar panels can produce enough power to cover all of your electricity needs.
  •     Net Metering: Net metering is a system that allows solar panel owners to send excess electricity they generate back to the grid in exchange for credits on their electricity bill. During sunny days when your panels produce more electricity than your home needs, the surplus is fed back into the grid. This means you pay less for the electricity you use.
  •     Safe From Rising Electricity Rates: Electricity prices tend to increase over time due to various factors like inflation and rising demand. However, when you have solar panels installed, you are protected from these rising costs. Since you are generating your own electricity, you are less dependent on buying electricity from the grid. Instead, your energy costs stay at a predictable rate determined by the initial investment in your solar panels.
  •     Benefits Provided By Government: Governments often offer incentives to encourage homeowners to adopt solar energy. These incentives can include tax credits, rebates, and grants. These government benefits can significantly reduce the upfront cost of installing solar panels. Therefore, besides making solar savings, you can buy it at an affordable rate.

How Much Do You Save by Installing Solar Panels in Kerala?

We have provided a chart to help you understand how much you can save with solar panel installation in Kerala. 

Solar Panels Capacity Monthly Savings* Annual Savings*
1kW ₹ 600 – 800 ₹ 7,200 – 9,600
2kW ₹ 1,200 – 1,600 ₹ 14,400 – 19,200
3kW ₹ 1,800 – 2,400 ₹ 21,600 – 28,800
4kW ₹ 2,400 – 3,200 ₹ 28,800 – 38,400
5kW ₹ 3,000 – 4,000 ₹ 36,000 – 48,000
6kW ₹ 3,600 – 4,800 ₹ 43,200 – 57,600

 *The amounts mentioned here are estimates and can vary based on various factors. To get an accurate estimate, connect with our experts. 

Subsidies On Solar Panel Installation in Kerala

India is one of the global leaders in solar power generation. To further promote the renewable and sustainable energy sector, the governments of India and Kerala are providing various subsidies on the solar panel price in Kerala.


The Kerala Government is offering subsidies for residential solar grid-connected systems (without batteries). The amount ranges between 20-40%, depending on the system size of the solar panel in Kerala. 

The Ministry of New and Renewable Energy (MNRE) launched Rooftop Solar Programme Phase-II. It is done to encourage the installation of grid-connected rooftop solar systems. The central government will provide financial aid to house owners and house societies so that they can afford the solar power system. According to PM – Surya Ghar: Muft Bijli Yojana: 

Rooftop Solar System Capacity Applicable Subsidy (₹)
up to 2 kW 30,000/- per kW
For additional capacity up to 3 kW 18,000/- per kW
Systems larger than 3 kW 78,000 (total)
Resident Welfare Associations (RWA) / Group Housing Societies (GHS) Rs. 18,000 per kW for common facilities, including EV charging, up to 500

kW capacity (@3 kW per house.

 What is the Process Of Rooftop Solar Panel Installation?

  •     Initial Assessment: Before the installation, a thorough assessment of the rooftop is done. Factors such as the roof’s orientation, tilt angle, shading, structural integrity, and available space are checked. Additionally, the energy requirements of the property are assessed to determine the appropriate size and capacity.
  •     Customised plan: Once the assessment is complete, the experts prepare a customised solar system plan based on your specific requirements.
  •     Permitting and Approvals: Before installation, necessary permits and approvals must be obtained from local authorities. You can find all the related information on Kerala’s Department Of Electrical Inspectorate
  •     Installation: During installation, the mounting structure is first attached to the rooftop. It serves as the foundation for the solar panels and is designed to withstand the weight of the panels and environmental factors such as wind and snow loads. The solar panels are then installed on the mounting rails or racks. Care is taken to ensure that panels are positioned to maximise exposure to sunlight throughout the day.
  •     Electrical Wiring and Connection: Electrical wiring is routed from the panels to the inverter. It converts the direct current (DC) generated by the panels into alternating current (AC), which is suitable for use in the property’s electrical system. Safety measures are followed to prevent electrical hazards.
  •     Testing: Once the installation is complete, the entire solar system undergoes thorough testing to ensure that it is functioning. If any issues are found, adjustments may be made.
  •     Grid Connection and Interconnection: If the system is functioning, it is connected to the utility grid. A bi-directional metre or other grid interconnection equipment is used for this purpose. It will ensure that the excess electricity generated by the solar panels is exported to the grid for credits.

Installing a rooftop solar system can help you save on utility bills significantly in the long run. Besides this benefit, the government is providing subsidies for the installation of grid-connected rooftop solar systems. It will also allow you to reduce pollution and embrace sustainable living. If you are using solar energy in Kerala, check the National Portal for Rooftop Solar to apply for subsidies.

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