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Residential Rooftop Solar Projects with Battery Storage Eligible for CFA


The Ministry of New and Renewable Energy (MNRE) has clarified that residential rooftop solar installations with battery storage are also eligible for Central Financial Assistance (CFA) under the PM Surya Ghar: Muft Bijli Yojana. The ministry reiterated the operational guidelines notified in June 2024, which said rooftop solar installations include additional technology components such as small wind hybrids, battery storage, and solar tracker systems. It said hybrid inverters could also be installed per provisions issued by the State Electricity Regulatory Commissions for rooftop solar projects under the program. Further, the ministry also pointed out that consumers are not mandated to provide photographs of the projects in the presence of the consumer. Only geotagged photographs of the projects should be uploaded on the national portal.


The ministry said distribution companies (DISCOM) must allow the installation of solar inverters with capacities up to the sanctioned connected load or up to a capacity permitted under the respective regulations for the installation of rooftop solar projects, even if the capacity of solar modules being installed by residential consumers is lower. This will help consumers enhance the capacity at a later stage, as allowed under the state regulations, without changing the solar inverter. Earlier, MNRE launched a ₹5 billion (~$59.7 million) program to fund rooftop solar innovation. The program aims to identify and fund groundbreaking innovations in business models and technical deployments of rooftop solar systems. In July, the ministry announced incentives worth ₹49.5 billion (~$591.69 million) to provide resources to DISCOMs for information awareness programs, create mechanisms to ensure timely approvals, achieve implementation targets, ensure timely availability of net meters, increase rooftop solar installations on government buildings, and incentivize field-level staff.

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