Residential Rooftop Solar Capacity Under PM Surya Ghar Scheme Nears 20 GW

India's residential rooftop solar power capacity under the PM Surya Ghar: Muft Bijli Yojana (PMSG: MBY) surpassed 19 gigawatts (GW) in October 2026. According to data from the PMSG: MBY portal, Uttar Pradesh, Maharashtra, and Gujarat added the highest capacities during the month.

Data compiled by JMK Research & Analytics indicates that pan-India installed residential rooftop capacity stood at 19,189 megawatts (MW), covering 65,26,461 households as of last month. India's residential rooftop solar installations grew by approximately 18.4 per cent month-on-month, moving from 1,375 MW in September 2026 to 1,628 MW in October 2026.

Uttar Pradesh led residential rooftop solar installations in October 2026 with 259.41 MW of capacity. Maharashtra followed in second place with 236.66 MW, while Gujarat registered 215.59 MW. Portal data shows that Uttar Pradesh received 14,578 applications for setting up residential rooftop solar units against 13,290 installations during the month. Maharashtra recorded 20,540 installations against 17,439 applications, whereas Gujarat received 23,990 applications against 12,354 installations.

Cumulatively, India received 1,20,034 applications and completed 84,140 installations during October 2026. On an overall basis, the scheme has received 89.43 lakh applications, resulting in approximately 56.18 lakh installations across 66.33 lakh households. This has generated a cumulative capacity of 19,508 MW, with total disbursements reaching Rs 36,957 crore.

A recent report by the Indian Solar Manufacturers Association (ISMA) highlights what it terms the “Affordability Effect.” The report notes that rooftop solar adoption is expanding into states where economics are not naturally strongest on an unaided basis. ISMA's assessment of state-level payback periods without subsidy indicates that high-tariff states like Maharashtra and Kerala yield quicker paybacks, whereas larger residential markets such as Uttar Pradesh, Gujarat, and Tamil Nadu feature lower tariffs and longer payback periods.

Despite longer natural payback timelines in certain regions, installations under PMSG: MBY are rising rapidly due to the scheme closing the payback gap. The data shows that roughly 60 per cent of the capacity installed under the initiative sits in states where rooftop solar would not yet pay for itself without policy support.

"The rapid adoption of residential rooftop solar under the PM Surya Ghar scheme demonstrates how targeted government support can successfully accelerate clean energy deployment in regions where baseline market economics are otherwise challenging. By bridging the payback gap in lower-tariff states, the scheme has unlocked massive domestic markets like Uttar Pradesh and Gujarat, proving that structured financial incentives are vital for scaling sustainable infrastructure across diverse economic landscapes in India." — Dr. Shishir Gupta, Founder & CEO, StartupLanes