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Solar payback & ROI calculator

Built by the Solar Samachar editorial desk · Figures updated for 2026

In shortPick your system size and tariff. We show your net cost after PM Surya Ghar subsidy, yearly savings, payback period (usually 3–4 years) and total 25-year return. After payback, the power is effectively free.
3.0 kW
Net cost after subsidy
Yearly savings
Payback period
25-year net gain

Effective annual return: · Gross cost: · Subsidy:

Assumes ~₹65,000/kW installed, ~4 units/day per kW, subsidy capped at ₹78,000, and today’s tariff held flat (conservative). Indicative 2026 — verify with real quotes.

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FAQs

What is the payback period for solar in India?

For a subsidised residential rooftop system, payback is typically 3–4 years. Larger systems above the ₹78,000 subsidy cap, or lower tariffs, can push it slightly longer.

How is solar payback calculated?

Payback = net cost (after subsidy) ÷ yearly savings. Yearly savings ≈ the units your system generates × your tariff. After payback, the electricity is effectively free.

What return does solar give?

Because a system pays back in a few years and then runs ~25 years, the effective annual return is often 20–30%+ — usually far better than an FD, and it is tax-free savings.

Does this include maintenance?

Maintenance for rooftop solar is low (mainly cleaning). This estimate ignores small O&M costs and any tariff rises, so treat it as indicative.

Sources: PM Surya Ghar / MNRE (pmsuryaghar.gov.in) · Electricity (Rights of Consumers) Rules, 2020

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These are planning estimates for 2026 — your actual system, tariff, sunlight and quotes will vary. Always confirm with an installer.