1kW Solar System Price in India: Switching to solar has become one of the smartest financial and environmental decisions for Indian households. For small homes with limited electricity needs, a 1kW solar system is often the ideal starting point. It’s affordable, requires less roof space, and thanks to government subsidies, the payback period is faster than ever.
In this detailed guide, I’ll break down the 1kW solar system price in India (2025), available subsidies, real-life case studies, and ROI calculations so you can decide whether it’s the right choice for your home.
Key Takeaways
- 1kW solar system price in India (2025): ₹65,000–₹80,000 (on-grid)
- With subsidy: ~₹50,000
- Monthly savings: ~₹800–₹1,000
- ROI: 4–5 years, with 20+ years of free electricity
- Best for small homes, low bills, and households exploring solar for the first time
What is a 1kW Solar System?
A 1kW solar system can generate about 4–5 units of electricity per day (around 120–150 units per month), depending on location and sunlight conditions. This is usually enough for:
- 3–4 ceiling fans
- 6–8 LED lights
- 1 television
- 1 laptop or small appliance
If your monthly electricity bill is around ₹800–₹1,200, a 1kW solar system can cover most or all of your needs.
1kW Solar System Price in India (2025)
The 1kW Solar System Price in India depends on the type you choose:
| Type of Solar System | Price (Before Subsidy) | Best For |
|---|---|---|
| On-Grid (connected to DISCOM) | ₹65,000 – ₹80,000 | Homes with stable grid and net metering |
| Off-Grid (with batteries) | ₹90,000 – ₹1,10,000 | Areas with frequent power cuts |
| Hybrid (grid + battery) | ₹1,10,000 – ₹1,40,000 | Homes needing backup + net metering |
For most urban households, on-grid systems are the most cost-effective because they qualify for subsidies and allow net metering.
Government Subsidy for 1kW Solar System in India (2025)
Under the PM Surya Ghar Muft Bijli Yojana (2024–2025), households can get a direct subsidy on rooftop solar installations.
For 1kW capacity, the subsidy is approximately:
- ₹18,000 – ₹20,000 per kW (depending on state and vendor empanelment)
So, if your 1kW solar system costs ₹70,000, after subsidy you may only pay ₹50,000–₹52,000.
How to Apply for Solar Subsidy
- Go to the National Portal for Rooftop Solar → solarrooftop.gov.in.
- Register with your state DISCOM.
- Select an empaneled vendor for installation.
- DISCOM inspects the system after installation.
- Subsidy is credited directly to your bank account.
Monthly Savings from a 1kW Solar System
Let’s say your 1kW solar system generates 120 units per month.
- Average electricity tariff in India = ₹7 per unit
- Monthly savings = 120 × ₹7 = ₹840
- Annual savings = ₹10,000 (approx.)
ROI Calculation for 1kW Solar System
- Investment (after subsidy): ₹50,000
- Annual savings: ₹10,000
- Payback period: 5 years
- Lifespan of solar system: 25 years
- Net ROI over 25 years: ~₹2.5 lakh
That’s a 5x return on your investment, plus free electricity after payback.
Real-Life Case Studies
Case Study 1: Small Home in Jaipur, Rajasthan
Rohit Sharma installed a 1kW on-grid solar system in March 2023.
- Cost after subsidy: ₹48,000
- Monthly bill before solar: ₹1,100
- Current monthly bill: ₹200 (fixed charges only)
- Annual savings: ₹10,800
- Payback period: 4.5 years
He says: “I was hesitant at first because of the cost, but within a year I’ve already saved over ₹10,000. The system is running smoothly, and I no longer worry about rising tariffs.”
Case Study 2: Off-Grid Solar in Rural Bihar
Seema Devi runs a small tailoring business from home. Due to frequent power cuts, she installed a 1kW off-grid solar system with batteries.
- Cost: ₹95,000 (no subsidy on off-grid)
- Electricity previously from diesel generator: ₹1,500/month
- Now: ₹200/month (only occasional backup diesel use)
- Annual savings: ₹15,000+ on fuel costs
Her system may take longer to pay back (6–7 years), but it gives her reliable electricity for sewing machines and lights.
Case Study 3: Senior Citizen Couple in Kerala
A retired couple in Kochi installed a 1kW hybrid solar system.
- Cost after subsidy: ₹90,000
- Average monthly bill before: ₹900
- Now: ₹150 (fixed charges)
- Plus: backup during Kerala’s monsoon outages
- Peace of mind: priceless
Components of a 1kW Solar System
- Solar Panels (400W × 3 panels)
- Inverter (1kW capacity)
- Mounting structure
- Wires, junction box, and other accessories
- Batteries (for off-grid/hybrid only)
Why Choose a 1kW Solar System?
- Affordable starting point for households with low consumption
- Government subsidy makes it cheaper
- Quick ROI of 4–5 years
- Eco-friendly: Reduces 1–1.5 tons of CO₂ annually
- Low maintenance: Only cleaning panels once or twice a month
1kW vs 2kW Solar System: Which is Better?
If your bill is under ₹1,000, a 1kW system is enough.
But if your bill is ₹1,500–₹2,000, consider a 2kW system, as scaling up later costs more than installing the right capacity at once.
If you’re exploring solar options for your home or business, it’s worth comparing different system sizes before making a decision. For very small households or basic power needs, you can start with our guide on the 1kW Solar System Price in India. For slightly larger homes, check the detailed guide on the 2kW Solar System Price in India or the 3kW Solar System Price in India. For families with higher energy requirements, our breakdown of the 5kW Solar System Price in India and the more powerful 10kW Solar System Price in India will help you understand the costs, subsidies, and savings potential.
Frequently Asked Questions (FAQs)
How much space is required for a 1kW solar system?
About 100 sq. ft. of shadow-free rooftop space is needed.
Can a 1kW system run an AC?
No. A 1kW system is not sufficient for running an AC. It’s better suited for fans, lights, TV, and small appliances.
Is subsidy available for 1kW solar systems?
Yes. Households can get a subsidy of ₹18,000–₹20,000 per kW under government schemes.
How long does installation take?
On average, 3–7 days from approval to installation.
What is the warranty?
Solar panels: 25 years performance warranty
Inverter: 5 years standard warranty
Final Word
A 1kW solar system is the perfect entry point for Indian households looking to reduce electricity bills without spending a fortune. With subsidies, the cost drops to just around ₹50,000, and the savings start from day one.
If your electricity usage is modest, this could be one of the best investments you’ll ever make for your home. 🌞
