New Delhi, Sep 17 || The GST rationalisation, which lower rates across the renewable energy value chain from 12 per cent to 5 per cent, will make rooftop solar systems more affordable for households, bringing down the price of a typical 3 kilowatts (kW) rooftop system by about Rs 9,000–10,500, the Ministry of New and Renewable Energy said on Wednesday.
The move will make it easier for lakhs of families to adopt solar energy and accelerate large-scale uptake under the PM Surya Ghar: Muft Bijli Yojana.
The government's move will also bring down the cost of clean energy projects, making electricity more affordable and directly benefiting households, farmers, industries, and developers.
"For instance, the capital cost of a utility-scale solar project, which typically amounts to around Rs 3.5–4 crore per MW, will now see savings of Rs 20–25 lakh per megawatt (MW)," the ministry stated.