Karnataka is emerging as one of the biggest places to use renewable energy. Solar Energy has gained popularity in Karnataka, where a policy for using solar energy was introduced in 2011. Since then, technology has rapidly grown to improve solar energy adoption. Karnataka explains the importance of rooftop solar devices.

India’s Central and State governments are promoting schemes to reduce the financial burden of using solar energy. These schemes aim to reduce the dependency on traditional energy sources to ensure a sustainable future. This blog will guide you about the benefits, application process, and challenges of solar subsidies in Karnataka.

Subsidy Schemes in Karnataka

1. State-Level Subsidy Program

The Bangalore Electricity Supply Company (BESCOM) facilitates solar rooftop installations under MNRE guidelines, offering up to a 40% subsidy for systems up to 3kW and 20% for capacities between 3kW and 10kW. Currently, subsidies are primarily available for residential sectors, while industries may explore alternative incentives like tax benefits or renewable energy certificates (RECs).

Key Features of the Subsidy:

  • Eligibility: This scheme is primarily available for residential users within the BESCOM service area. Other categories, such as commercial solar systems may have separate provisions.

  • Subsidy Amount: The subsidy reduces installation costs by up to 40%, with caps varying based on system size and government regulations.

  • Capacity: This program provides up to 3kW of energy.

2. Central Subsidy Programs

Solar subsidies for rooftop solar setups are given by the Ministry of New and Renewable Energy (MNRE) across India. Customers that are eligible in Karnataka, can use these schemes along with other benefits.

Key Features of the Subsidy:

  • Eligibility: This scheme is available for Residential, Commercial, and Institutional uses.

  • Subsidy Amount: The amount depends on the size of the system and the consumer. Central subsidies are implemented through state-level disbursement mechanisms, such as BESCOM, as per MNRE guidelines.

  • Capacity: The capacity is decided by the consumer.

3. Subsidies for Farmers and Rural Areas

Farmers can install solar pumps and decentralized solar projects under the PM Kusum Yojana. This scheme promotes the use of renewable sources of energy in rural areas. It also helps to increase productivity for agricultural purposes.

Key Features of the Subsidy:

  • Eligibility: This scheme is available for farmers and residential places in rural areas.

  • Subsidy Amount: Under the PM Kusum Yojana, farmers may receive subsidies of up to 60% for solar pump installations, while specific benefits for other setups depend on scheme guidelines.

  • Capacity: The capacity depends on the sanctioned load, land availability, and scheme guidelines.

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Eligibility Criteria to Apply for Subsidy

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  • Residential Users: People can apply to install a grid-connected rooftop solar system. This system sends the excess energy back to the grid to avoid waste of electricity.

  • Industrial Users: Industries can install rooftop or ground-mounted solar systems but are not currently eligible for residential subsidy benefits under BESCOM.

  • Farmers: Solar energy can become a consistent energy resource in rural areas. The PM Kusum Yojana provides solar installations to farmers.

How to Apply for Solar Subsidy in Karnataka?

Applying for a solar subsidy in Karnataka is a simple process. Here is how you can proceed step by step:

  • 1.Choose an Empaneled Vendor
    Select a KREDL (Karnataka Renewable Energy Development Limited) approved vendor that matches your energy requirements. Consumers must ensure that the vendor selected is empaneled with KREDL, as non-empaneled vendors are not eligible for subsidy processing.
  • 2. Register for the Subsidy
    Your vendor will assist you in registering with KREDL or BESCOM by filling out the required application form.
  • 3. Submit Necessary Documents
    Prepare and upload the following documents:

    • Proof of Identity and Address: Aadhaar card, PAN card, or other government-issued ID.
    • Proof of Property Ownership: Lease agreement, rental contract, or ownership documents.
    • Bank Account Details: Required for subsidy disbursement.
  • 4. Inspection
    After the solar system is installed, a team from KREDL will inspect the setup to ensure it meets all the standards and requirements.

  • 5. Receive Subsidy
    Once the inspection is approved, the subsidy amount will either be credited to your bank account or directly deducted from the installation cost.

By following these steps, you can easily avail yourself of the solar subsidy in Karnataka and contribute to a greener future.

Common Challenges with Subsidies

  • 1

    Delay in Process: The application process may experience delays due to manual verifications and high volumes of applications.

  • 2

    Limit on Industrial Subsidies: The schemes for industrial subsidies are often limited. Industries and other institutes need to find other resources for funding.

  • 3

    Lack of Awareness: People in many areas are still not aware of the benefits of solar subsidies. This discourages them from using solar energy as a resource. Rural areas may still use conventional sources of energy.

How Can Alpex Solar Help?

Alpex Solar simplifies the entire process of installing solar panels in Karnataka:

  • 1

    End-to-End Assistance: From initial consultation to installation, Alpex Solar manages everything, including handling the solar subsidy application on behalf of clients.

  • 2

    High-Quality Panels: We provide only the best quality panels, ensuring efficiency and durability.

  • 3

    Long-Term Support: Our service agreements ensure that your solar system continues to perform at its best for years to come.

By leveraging the solar subsidies in Karnataka, you can make a smart investment in renewable energy that not only helps the environment but also saves you money in the long run.

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FAQs

Subsidies may vary for different purposes. The amount ranges from 30% to 60% normally. Residential subsidies are available for systems up to 3kW, with a maximum of 40% of the installation cost covered under BESCOM.

Subsidies for Off-grid solar energy systems are limited and primarily focus on solar pumps under the PM Kusum Yojana.

The process can take anywhere from 1 to 3 months, depending on the workload of KREDL and the completion of inspections.

High-efficiency monocrystalline panels are ideal for maximum energy output, especially in space-constrained installations.

Author : Ramji Gupta

Ramjee, a seasoned professional with 28 years of experience, including 24 years at Alpex Group, His career journey began in textile yarn and needle sales, but he transitioned to the solar modules sector as Alpex ventured into this field. With over 14 years of expertise in solar module sales at Alpex Solar, he excels in driving business growth, enhancing profitability, and increasing sales.