Kerala is one of the most densely populated regions in the country. But, this small state located on India’s southwest coast also houses the world’s first solar-powered airport!
Equipped with a 12 MW solar plant, the Cochin International Airport uses 46,000 solar panels to meet its entire electricity needs!
But, is it worth installing a solar rooftop or ground-mounted solar plant in the state? Let’s answer that question by understanding the potential of solar in the state of Kerala.
Solar Subsidy in Kerala
Solar consumers in Kerala can avail Central Financial Assistance (CFA). This solar subsidy is distributed under the PM Surya Ghar Yojana, and is available across India. The state does not provide any additional solar subsidy. To avail the subsidy, consumers can submit their application on the National Portal for Rooftop Solar.
The subsidy is available to all residential consumers opting for on-grid and hybrid (without battery) solar power systems. However, consumers can only use Made in India and ALMM approved solar panels for the system.
The details of the subsidy are as follows:
| Plant Capacity | Subsidy |
|---|---|
| Up to 2kWp | ₹30,000/ kW |
| 3kWp | ₹78,000 |
| Over 3kWp Capacity | ₹78,000 (fixed) |
Solar Potential of Kerala
According to the latest reports, Kerala’s daily power consumption crossed the 100 Million units mark for the first time in March 2024! This consumption will continue to rise as the temperature soars.
In this scenario, the potential of harnessing easily available resources like solar energy shoots up! Fortunately, the state receives abundant sunlight which significantly boosts the solar potential.
Currently, Kerala’s installed solar capacity stands at 1482 MW (As of 28th February 2025).
In 2023, Kerala announced plans to develop Thiruvananthapuram as a solar city. Under the project, the state government aimed to install solar panels on every rooftop. The Kerala Water Transport Department also deployed 15 electric solar-powered boats to reduce fossil-fuel led pollution.
In 2024, Kerala was one of the 3 states with the highest number of rooftop solar installations.
Solar Policy
Kerala aims to become a 100% renewable energy state by 2040 and achieve net-zero carbon emissions by 2050 as part of the Kerala State Action Plan on Climate Change (2023-2030).
To accelerate solar adoption across residential, commercial, and industrial sectors, the state has introduced key initiatives, including:
- Financial incentives like Viability Gap Funding (VGF) and support for energy storage solutions.
- New consumer programs such as Virtual Net Metering, Peer-to-Peer Energy Trading, and Time-of-Use Billing to boost participation.
- Infrastructure upgrades with Battery Energy Storage Systems (BESS), Pumped Storage Plants (PSPs), and Vehicle-to-Grid (V2G) systems for better grid integration.
Additionally, under the KSERC (Renewable Energy & Net Metering) Regulations, 2020, consumers can install solar systems up to 1 MW and avail net metering benefits.
(*Maximum Cost of the plant as per notification of Ministry of New and Renewable Energy is 54,000/- per kWp.)
FAQs
How Can We Help?
If you are looking to install solar at your home, Ojas is the fastest and most reliable option. With just 4 hours of your time, 3 tools, and 2 people installation team, we will give you a solution that will generate free electricity for more than 25 years!
Ornate Solar is India’s leading solar company with 10 years of experience. By partnering with the best-in-class global solar brands, we bring the most reputed solar panels, inverters, and solar accessories to you and make your shift to solar cost-effective and easy.
We have also developed India’s first Integrated InRoof system- which turns solar panels into the roof and eliminates the need for sheet roofing.
We deliver across India.
For more information, please give us a call at 011 4353 6666.
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