Solar in Rajasthan: Potential, Solar Policy and Subsidy (2025)

Rajasthan has firmly established itself as the solar capital of India. Blessed with abundant sunshine and vast stretches of barren land, the state continues to attract large-scale solar projects and rooftop installations. As of mid-2025, Rajasthan has crossed approximately 33.46 GW of installed solar capacity, making up the largest share of India’s solar generation and over half of its total power capacity.

In Q2 2025 alone, Rajasthan generated 15.9 billion units of solar electricity, a 21% jump from the previous quarter. With mega-projects like the world’s largest Bhadla Solar Park (2,245 MW) and new 3,000 MW projects launched in June 2024, the state is on track to achieve its 30 GW solar target by 2025.

But what truly makes solar adoption attractive for homeowners and businesses is the solar subsidy in Rajasthan, backed by strong state and central policies. Let’s explore the latest subsidy structures, policies, and investment landscape.

Rajasthan residents can avail of financial assistance under the PM Surya Ghar Muft Bijli Yojana. The scheme not only reduces the upfront cost of solar systems but also allows households to enjoy free electricity up to a certain limit.

Subsidy Structure (2025):

• Central Subsidy: Up to ₹78,000 for systems ≥3 kW (subsidy tapering up to 10 kW).
• Rajasthan State Top-Up: Additional ₹17,000 for eligible households.
• Total Subsidy: Up to ₹95,000 under combined central + state support

Households consuming up to 150 units per month can effectively bring their electricity bill to zero with rooftop solar. However, those without solar will no longer enjoy historical free unit benefits if consumption exceeds 150 units.

Rooftop Solar Prices in Rajasthan (2025):

• 1 kW system: ₹75,000 – ₹85,000
• 3 kW system: ₹1,90,000 – ₹2,20,000

With combined subsidies, homeowners can cut costs by up to 40%, making rooftop solar one of the smartest long-term investments.

This incentive is available across India to consumers that install grid-connected rooftop solar systems. If the roof space is limited, individuals can also install solar panels on terraces, balconies, or elevated structures (carport etc.) and claim subsidy.

1. Register on the National Portal for Rooftop Solar (MNRE official).
2. Submit application with your electricity account details.
3. Choose a registered vendor for system installation.
4. Install system with net-metering approval.
5. Upload installation documents (pictures, commissioning report).
6. Subsidy credited directly to your bank account after approval.

💡 Pro tip: Partnering with an experienced EPC company ensures smooth paperwork and faster subsidy disbursal.

Rajasthan, India’s largest state and home to the expansive Thar Desert, enjoys over 325 days of sunshine each year, making it the most favorable region for solar energy generation in the country.

As of mid-2025, Rajasthan has achieved a remarkable milestone with an installed solar power capacity of about 33.46 GW, far surpassing its earlier target of 30 GW by 2024–25. This cements Rajasthan’s position as India’s undisputed solar leader. The state’s total renewable energy capacity has also expanded well beyond 30 GW, driven by both solar and wind additions.

• The state’s total renewable energy capacity exceeds 35 GW, with wind contributing ~5.2 GW .
• Rajasthan continues to enjoy priority sector benefits under the Rajasthan Investment Promotion Scheme (RIPS 2019), which offers tax exemptions, land support, and subsidies for renewable energy investors.
• Multiple large-scale solar and transmission projects have been completed, far exceeding the earlier ₹7,400 crore milestone announced in 2024.
• Development of 9 solar parks totaling over 7 GW is ongoing, with several parks already operational.

The Integrated Clean Energy Policy 2024 sets a new target of 125 GW renewable capacity by 2029–30, with 90 GW from solar . With continuous investments from both private and public players, Rajasthan is expected to remain India’s fastest-growing solar state

In 2023, Rajasthan introduced its Renewable Energy Policy 2023, targeting 90 GW of renewable energy capacity by 2030, including 65 GW from solar power. The initiative is expected to create over 1,11,000 jobs across the state.

By 2024, the state strengthened its roadmap with the Integrated Clean Energy Policy 2024, which expands the vision to 125 GW of renewable energy by 2029–30, with a significant focus on solar (90 GW), wind-solar hybrids, energy storage, and green hydrogen projects.

The government continues to actively promote rooftop solar, off-grid systems, and renewable manufacturing, along with hybrid projects that combine wind and solar to optimize land and grid usage.

In February 2024, the state raised the net metering cap to 1 MW, giving commercial and industrial consumers the ability to sell surplus power to the grid. In addition, the Rajasthan Electricity Regulatory Commission (RERC) has since waived application fees, security deposits, and meter testing charges for domestic rooftop installations, and is also proposing Virtual Net Metering (VNM) and Group Net Metering (GNM) to make rooftop adoption even easier.

The Rajasthan Renewable Energy Corporation Limited (RRECL) continues to play a key role in streamlining approvals, ensuring efficient project development, and supporting power evacuation.

Under the Rajasthan Investment Promotion Scheme (RIPS) 2019, renewable energy remains a priority sector. Projects continue to benefit from:

• 100% stamp duty and land tax exemptions for 7 years
• 90% SGST subsidy for equipment production
• 50% employment subsidy for large projects
• Custom packages for mega projects

These supportive policies, combined with aggressive capacity targets, have reinforced Rajasthan’s position as India’s largest and fastest-growing solar state in 2025.

Reliance New Energy Solar Limited, the subsidiary of Reliance Industries has signed a Letter Of Intent (LOI) with the state, to invest Rs 1 lakh crore for the generation of 20,000 MW of solar power.

Moreover, Greenko Group has proposed an investment of Rs 30,000 crore in a Wind-Solar Hybrid Power Project with a capacity of 4,500 MW.

The state government has also allotted government land measuring 2,397.54 hectares in Bandha village of Jaisalmer district to Adani Renewable Energy Holding Four Limited to set up a 1GWp solar power project.

JSW proposed Rs 48,500 crore in solar projects with a capacity of 10,000 MW, whereas Renew Power, proposed 10,000 MW solar projects with an estimated expenditure of Rs 30,000 crore. In addition to this, the National Thermal Power Corporation has been growing its renewable energy base in Rajasthan, alongside commercial companies.

In October 2022, the state hosted the Invest Rajasthan Summit 2022. At the event, two major players in the energy sector, Tata Power and Adani Group announced plans to invest in megawatt-scale projects in Rajasthan.

Tata Powers has plans to develop utility-scale solar projects of 8000MW capacity, 1000MW of rooftop projects, and install 1,50,000 solar pumps. Adani group, on the other hand, is planning to invest Rs 65,000 crores to develop solar projects of 10,000MW capacity in the state.

Further, two fossil-fuel-based PSUs, Coal India Ltd, and ONGC (Oil and Natural Gas Corporation) are also planning to develop gigawatt-scale solar projects in the state.

How Can We Help?

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, solar inverter, 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 1800 2026 252.