Off-Grid Solar System for Home: Prices, Subsidy, ROI & Working (2025 Guide)

Off-Grid Solar System for Home
Updated on: September 8, 2025

Join WhatsApp

Join Now

Switching to an off-grid solar system for home is becoming a popular choice in India, especially in areas with frequent power cuts or limited grid access. Unlike on-grid setups, an off-grid solar system works independently, using solar panels and batteries to store energy for 24/7 use. In this guide, we’ll cover the latest prices in 2025, government subsidies, real ROI examples, and how off-grid systems actually work so you can decide if it’s the right investment for your home.

Quick Answer (For Readers Who Don’t Want to Scroll)

  • Price: ₹65,000–₹80,000 per kW in India (2025).
  • Subsidy: No government subsidy (off-grid not covered).
  • ROI: 7–9 years payback.
  • Best For: Homes in remote villages, hilly areas, or frequent power-cut zones without reliable grid power.

If you live in a city with stable electricity, on-grid or hybrid is better. But if you need independence, off-grid is the solution.

What Is an Off-Grid Solar System?

An off-grid solar system is a self-sufficient power setup that runs entirely on solar + batteries. Unlike on-grid systems, it does not connect to the DISCOM grid, which means:

  • No net metering.
  • 100% electricity comes from solar + battery storage.
  • Works even in areas with no power supply.

It typically includes:

  • Solar panels (generate power)
  • Solar inverter (converts DC to AC)
  • Battery bank (stores energy for night use)
  • Charge controller (protects batteries)

Off-Grid Solar System Prices in India (2025)

System SizeAppliances SupportedApprox. Cost (₹)Daily Power OutputIdeal For
1kWLights, fans, 1 TV₹70,000–₹80,0004–5 units/daySmall homes
2kWLights, fans, fridge, TV₹1.3–1.5 lakh8–10 units/daySmall families
3kWAdd washing machine, small pump₹2.0–2.2 lakh12–15 units/dayMedium homes
5kW2 ACs, fridge, washing machine₹3.2–3.8 lakh20–25 units/dayLarge homes/farms
10kWFull house + farm loads₹6.5–7.5 lakh40–50 units/dayVillas, institutions

Subsidy for Off-Grid Solar (2025 Update)

Under the PM Surya Ghar: Muft Bijli Yojana, subsidies are only for on-grid and hybrid systems (because they reduce DISCOM load).

Off-grid systems don’t qualify for subsidy since they use batteries.

However, some state schemes (J&K, North-East, Ladakh) occasionally provide partial support for remote villages.

If subsidy is a priority, consider on-grid. If independence is a priority, go off-grid.

Real-Life Experiences in India

1. Rajasthan Village (2kW Off-Grid)

A farmer in Barmer installed a 2kW off-grid system for lights, fans, and a TV.

  • Cost: ₹1.45 lakh
  • Savings: ₹1,500/month (diesel generator replaced)
  • ROI: 7.5 years
  • Quote: “No grid lines in our area, solar is the only option.”

2. Kerala Hills (3kW Off-Grid + Backup)

A homestay in Wayanad runs on 3kW off-grid solar with lithium batteries.

  • Cost: ₹2.3 lakh
  • Replaced frequent generator use during monsoon power cuts.
  • ROI: ~8 years (but improved guest satisfaction).
  • Quote: “Guests love the uninterrupted power, no generator noise.”

3. Ladakh (5kW Off-Grid System)

A family in Leh installed 5kW off-grid solar with heating + appliances.

  • Cost: ₹3.6 lakh
  • Savings: ₹4,500/month (kerosene & diesel avoided).
  • ROI: 6–7 years.
  • Quote: “We survive winters because of solar.”

ROI & Payback Period

  • Diesel users: ROI ~6–7 years (diesel is expensive).
  • Grid backup users: ROI ~7–9 years.
  • Urban homes: ROI not favorable (better to go on-grid).

Off-grid solar is not about quick ROI it’s about energy independence.

Advantages of Off-Grid Solar

  • ✔ Works anywhere (remote areas, villages, hilly regions).
  • ✔ Complete energy independence.
  • ✔ No electricity bills.
  • ✔ Backup during outages.

Disadvantages

  • ❌ Higher cost due to batteries.
  • ❌ No government subsidy.
  • ❌ Batteries need replacement every 5–7 years.
  • ❌ Not ideal for urban homes with reliable grid.

FAQs About Off-Grid Solar System for Home

Can off-grid solar run an AC?

Yes, but you’ll need at least a 5kW system with lithium batteries.

Is there subsidy on off-grid solar?

No, only on-grid and hybrid are subsidized under national programs.

How long do off-grid batteries last?

Lead-acid: 4–5 years
Lithium: 8–10 years

What’s better for a city home off-grid or on-grid?

On-grid, because it’s cheaper and subsidized.

Is off-grid worth it in villages?

Yes, especially where diesel generators or kerosene are the only alternatives.

Conclusion

An off-grid solar system is the best choice if you live in a village, hilly area, or a place with unreliable electricity. While it’s more expensive and doesn’t get subsidies, it offers complete freedom from power cuts and fuel costs.

For cities and towns, on-grid or hybrid gives better ROI. But if your priority is independence, off-grid is unmatched.

Solar Tiger Team

Solar Tiger Team is a group of clean energy enthusiasts, researchers, and writers dedicated to sharing the latest updates on solar panels, rooftop systems, and portable solar solutions. We simplify complex solar topics to help individuals, businesses, and developers make informed energy choices.

Leave a Comment