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Rooftop solar subsidy in Tamil Nadu: what a household gets in 2026

The central subsidy, the new Tamil Nadu top-up that takes a 3 kW system to ₹1 lakh, who qualifies, how TNERC net metering and net feed-in work, the network charge on solar units, and how to apply through TNPDCL.

Last updated: 20 October 2026 · Luminity

Until this year, a Tamil Nadu household putting up rooftop solar got only the central PM Surya Ghar: Muft Bijli Yojana subsidy. That changed on 19 September 2026, when the Energy Department issued G.O.(Ms) No.102 for a state “Rooftop Solar Subsidy Scheme” that pays an extra amount on top of the central one. The scheme was announced in the 2026-27 budget speech on 5 August 2026, carries ₹50 crore, and aims at 1 lakh homes by 31 March 2027. Energy Resources Minister C.T.R. Nirmal Kumar launched it in Chennai on 21 September, The Hindu reported.

The state starts from a modest base. By 31 July 2026, Tamil Nadu had 87,039 rooftop systems under PM Surya Ghar, with 315.97 MW of capacity covering 1,03,004 households, from 1,05,040 applications, and ₹583.61 crore of central assistance had been released, according to figures the Ministry of New and Renewable Energy gave the Lok Sabha. Gujarat, by comparison, had 7,73,369 systems.

As on 20 October 2026: central subsidy ₹30,000 per kW for the first 2 kW plus ₹18,000 for the third kW (maximum ₹78,000), plus a Tamil Nadu top-up of ₹5,000, ₹10,000 or ₹22,000 for homes that registered on the national portal from 5 August 2026. The state amount is paid only after the central subsidy is credited. Figures can change; the amounts on your national-portal application and the state portal are the ones that count.

What you get, by system size

Tamil Nadu is a general-category state under PM Surya Ghar, so it gets the standard central rates. The state slabs are the ones in G.O.(Ms) No.102.

System size	Central subsidy (₹)	Tamil Nadu top-up (₹)	Total (₹)
Up to 1 kW	30,000	5,000	35,000
Up to 2 kW	60,000	10,000	70,000
3 kW	78,000	22,000	1,00,000
Above 3 kW	78,000 (maximum)	22,000 (maximum)	1,00,000

Both amounts stop growing at 3 kW, so a 5 kW system gets the same ₹1 lakh as a 3 kW one. The order lists the state slabs as “up to 1 kW”, “up to 2 kW” and “3 kW and above”; it does not give a separate figure for a system between 2 and 3 kW, so ask before you size a system in that range. For a typical 3 kW home, the state portal’s own calculator assumes a market price of ₹1,80,000 to ₹2,20,000 and puts the household’s share at about ₹1,00,000 after both subsidies. Housing societies can claim central assistance for common facilities; our PM Surya Ghar guide has those rules.

Who qualifies for the state top-up

Registration date: the order sanctions the subsidy for 1 lakh consumers registered on the PM Surya Ghar portal from 5 August 2026. Homes that registered earlier get the central amount only.
Category: the order covers domestic consumers. The state portal lists domestic and domestic common-service connections, and residential rooftop systems up to 10 kW.
Equipment and vendor: the portal requires DCR-compliant, ALMM-listed modules (see our ALMM guide) installed by a TEDA-empanelled vendor.
Order of payment: the top-up is released only after installation, net metering, commissioning and payment of the central subsidy. The portal says the details then reach TEDA automatically against your PM Surya Ghar reference number; TEDA checks eligibility, commissioning and bank details and pays by direct benefit transfer, which the portal puts at 7 to 15 days.
Who runs it: Tamil Nadu Green Energy Corporation Ltd (TNGECL) is the nodal agency for coordination and monitoring, and the Tamil Nadu Energy Development Agency (TEDA) is the programme management agency that pays the money, pending TEDA’s merger with TNGECL. TEDA earlier handled state subsidy payments under the Capital Investment Subsidy Scheme.

Net metering, net feed-in and network charges

Rooftop systems are governed by the TNERC (Grid Interactive Solar PV Energy Generating Systems) Regulations, 2021 and TNERC’s generic tariff Order No.8 of 2021, effective from 22 October 2021. TNERC published draft replacement regulations in 2024; TNERC’s regulations list still shows the 2021 regulations. Rules differ by consumer category:

Domestic consumers: eligible for net metering up to their sanctioned load, with the option of net feed-in instead. Homes moved to net feed-in under the 2019 order can switch to net metering.
Other LT consumers (shops, offices and other non-domestic connections, except hut and agriculture): net feed-in only, up to sanctioned load.
Gross metering (selling all output to the discom) is not open to LT consumers or domestic homes; it applies to systems of 151 to 999 kW.

How the two household options settle:

Net metering: exported units are subtracted from imported units. If you export more than you use in a billing cycle, the surplus units carry forward to the next cycle, until 31 March. Units left at the end of that settlement year lapse. If you use more than you export, you pay for the net units at your normal tariff.
Net feed-in: imports are valued at your retail tariff and exports at the feed-in tariff, and the two amounts are netted. Order No.8 of 2021 set the feed-in tariff at ₹3.61 a unit for systems of 1 to 10 kW. Credit carries forward, and at 31 March you can take the balance as payment or carry it into the next year.

Network charges are the part many quotations skip. TNERC levies them on the units your system generates, under both net metering and net feed-in. Domestic consumers pay 20% of the charge for systems up to 10 kW and 75% above 10 kW; other categories pay the full charge. For connections up to 10 kW, TNPDCL takes generation as the lower of a 21% capacity utilisation factor and the units recorded in your inverter, unless a generation meter is fitted. The base rate is revised in TNERC tariff orders: Order No.8 of 2021 set ₹1.27 a unit for LT prosumers, and a TNPDCL portal note from March 2024 lists 20% of ₹1.53 for homes up to 10 kW, roughly 31 paise a unit. Check the current figure on your bill.

Common-service connections in apartment blocks (Tariff 1D) are a special case. The consumer group CAG reported in 2024 that TNERC had extended net metering to them in 2022, but that they were being charged network charges at 100%, against 20% for individual homes under Tariff 1A. Ask TNPDCL which rate will apply before a society signs.

Your discom: TNPDCL

Under the Tamil Nadu Electricity Restructuring and Transfer Scheme, 2024, effective from 6 March 2024, TANGEDCO was split. Generation from thermal and gas stations went to Tamil Nadu Power Generation Corporation Ltd (TNPGCL), hydro and non-conventional energy to TNGECL, and distribution stayed with the old company, renamed Tamil Nadu Power Distribution Corporation Ltd (TNPDCL) on 27 June 2024. Many forms, bills and older documents still say TANGEDCO; it is the same distribution company. TNPDCL handles feasibility, the net meter, inspection and connection, through its Unified Solar Rooftop Portal (USRP) at tnebltd.gov.in/usrp.

How to apply

Check that the domestic connection is in your name and that there are no arrears; consumers with pending dues are not eligible under TNERC’s rules.
Register on pmsuryaghar.gov.in with your mobile number, choose Tamil Nadu and TNPDCL, enter your consumer number and submit. You get a national-portal reference number. Our PM Surya Ghar guide lists the documents.
On the TNPDCL portal, generate a TNPDCL reference number from the national reference number, then update your application details. The registration fee for LT systems up to 20 kW is ₹500, paid through TNPDCL’s payment portal.
TNPDCL prepares an estimate. You are asked by SMS to upload the DCR undertaking, the vendor agreement, a site photo and other documents.
Choose a TEDA-empanelled vendor who is also registered on the national portal. Get the price, panel and inverter make, structure, wiring and maintenance terms in writing. The vendor installs the system.
Upload the readiness details and site photos on the TNPDCL portal. For systems up to 10 kW a TNPDCL engineer inspects the installation; above 10 kW you also need approval from the Chief Electrical Inspector to Government (CEIG).
TNPDCL fits a bi-directional meter and converts the connection into a solar service. Submit commissioning and bank details on the national portal for the central subsidy; the state top-up follows after that.

TNPDCL’s Minnagam helpline is 1912, and the state portal’s toll-free number is 1800 425 2500. The PM Surya Ghar national helpline is 15555.

Common pitfalls

Registering before 5 August 2026 and expecting the top-up. The order covers registrations from that date only.
A non-DCR panel or an unlisted vendor. Either can cost you the state amount. Ask for the DCR certificate and check the vendor on the state portal’s empanelled list.
Ignoring network charges. They are small for a home up to 10 kW but are charged on every unit generated, for as long as the system is connected.
Oversizing for export. Under net metering, surplus units left at 31 March lapse; under net feed-in, exports earn far less than the retail tariff you avoid by using the power yourself.
Not counting free units. Tamil Nadu already gives domestic consumers free electricity; TNERC’s Order No.5 of 2026 covers the increase to a total of 200 free units every two months for homes using up to 500 units. A low-use home saves less from solar than its bill size suggests, so size the system on your actual paid units.
Paying agents to “register” you. Applying on the national portal is free; the only fee to TNPDCL is the registration fee.

Questions people ask

How much subsidy does a Tamil Nadu household get for rooftop solar?

Two amounts, both paid into your bank account. The central PM Surya Ghar subsidy is ₹30,000 for 1 kW, ₹60,000 for 2 kW and a maximum of ₹78,000 for 3 kW or more. Under G.O.(Ms) No.102 of 19 September 2026, Tamil Nadu adds ₹5,000 (up to 1 kW), ₹10,000 (up to 2 kW) or ₹22,000 (3 kW and above). The combined maximum is ₹1,00,000.

Who is eligible for the Tamil Nadu state top-up?

Domestic consumers who registered on the PM Surya Ghar national portal from 5 August 2026, up to the first 1 lakh consumers. The state portal lists domestic and domestic common-service connections, residential systems up to 10 kW, DCR-compliant ALMM-listed modules and a TEDA-empanelled vendor. The state amount is released only after the central subsidy has been credited.

Do I need to apply separately for the state subsidy?

The state portal says no second application is needed: once the central subsidy is credited, the details flow to TEDA, which verifies them and pays the top-up by direct benefit transfer. The portal also has a page for applicants registered after 5 August 2026 to update state-subsidy details and upload the net meter agreement, plant photo and DCR declaration, so complete that step.

Does Tamil Nadu allow net metering for homes?

Yes. Under TNERC’s Grid Interactive Solar PV Energy Generating Systems Regulations, 2021 and its Order No.8 of 2021, domestic consumers can choose net metering up to their sanctioned load, or net feed-in instead. Other LT categories, such as shops and offices, get net feed-in only.

What happens to surplus units at the end of the year?

Under net metering, surplus units carry forward from one billing cycle to the next until 31 March, and any units left then lapse. Under net feed-in, exported units are credited in rupees at the feed-in tariff, and at 31 March you can take the balance as payment or carry it forward.

Will I pay network charges on rooftop solar?

Yes. TNERC levies network charges on the units your system generates under both net metering and net feed-in. Domestic consumers pay 20% of the charge for systems up to 10 kW and 75% above 10 kW; other categories pay 100%. For systems up to 10 kW without a generation meter, generation is taken as the lower of a 21% capacity factor and the inverter reading.

Which company do I deal with now that TANGEDCO has been split?

Tamil Nadu Power Distribution Corporation Ltd (TNPDCL), which is TANGEDCO renamed after the 2024 restructuring. TNPDCL handles feasibility, net metering, inspection and connection. Tamil Nadu Green Energy Corporation Ltd (TNGECL) is the nodal agency for the state subsidy, and TEDA pays it.

How much can I install?

Up to your sanctioned load. TNERC’s rules cap a rooftop system at the sanctioned load or contracted demand of the connection. Consumers with unpaid arrears are not eligible until the dues are cleared.

Sources

The state subsidy slabs, eligibility date, budget, target and agency roles are from G.O.(Ms) No.102, Energy (E1) Department, 19 September 2026, published on the state solar portal; vendor, DCR, 10 kW coverage, payment sequence and helplines are from that portal. Net metering, net feed-in, network charges, generation assessment, registration fees and the arrears rule are from TNERC’s 2021 regulations and TANGEDCO’s salient features of Order No.8 of 2021; the 2024 network-charge figures are from TNPDCL’s portal note. The application steps are from TNPDCL’s PM Surya Ghar flowchart and FAQ. The restructuring dates are from TNPDCL’s name-change letter of July 2024. Installation figures are from the annexure to Lok Sabha unstarred question 2806, answered on 5 August 2026. Central rates are as in our PM Surya Ghar guide.

Related reporting is on the solar and policy pages. Other state guides: Uttar Pradesh (a ₹15,000-per-kW top-up, up to ₹30,000), Rajasthan (₹17,000 and 150 free units), Maharashtra (the SMART scheme) and Gujarat (central subsidy only, with billing-cycle net metering). If a number here disagrees with TNPDCL, TNERC, the state portal or the national portal, theirs wins. Corrections: [email protected].