PM Surya Ghar Muft Bijli Yojana offers ₹2 lakh loan at just 6%: How to apply

The PM Surya Ghar Muft Bijli Yojana (PMSGMBY) has generated a lot of interest among citizens planning to power their homes with clean and affordable solar energy.

Under this scheme, the government provides loan of up to ₹2 lakh at a lower rate of just 6% to support applicants interested in installing a rooftop solar system. The scheme also offers loans up to ₹6 lakh at rate similar to home loan interest rates.

According to the Ministry of Finance, Public Sector Banks (PSBs) have sanctioned over 5.79 lakh loan applications, amounting to ₹10,907 crore under this scheme till September 2025.

Loans up to ₹2 lakh under this scheme are currently available at an effective rate of 6%. For loans above ₹2 lakh and up to ₹6 lakh, loans are available at the following rates:

• For home loan customers: Same rate as Home Loan)

• For non-home loan customers (Home Loan RoI + 100 bps)

What are the key benefits under this scheme?

Some of the benefits of loans under this scheme are below:

• The scheme offers a subsidy of ₹30,000 per kw for up to 2 kw of solar rooftop installations. There is also an additional subsidy of ₹18,000 per kw for additional capacity of up to 3 kw.

• A subsidy of ₹78,000 is offered for systems larger than 3 kw.

• No collateral on loans up to ₹2 lakh

• Longer tenor for repayment of up to 10 years in line with the electricity cost savings.

• 6-month moratorium period from disbursement

• No prepayment charges

• Lower margin contribution by the applicant and a digital sanction process based on self-declaration.

• Simplified documentary requirements

How to apply for a loan under this scheme?

The registration can be done in the following steps:

Step 2: Go to the consumer page on the official website and select “Apply Now” (or) Open the Login dropdown menu and select “Consumer Login”.

Step 3: Enter your valid registered consumer mobile number for registration, enter valid captcha and select “Yes, I have read all the guidelines of PM Surya Ghar Muft Bijli Yojana” then click on “Verify”

Step 4: Enter valid Mobile OTP received through SMS and then click on “Login”.

Step 5: After successful login, enter profile details, including name, e-mail, address, state, district and PIN code and then click on “Save”.

Step 6: After completing the registration process, you can submit applications either by clicking on “Apply for Solar Rooftop” or through Vendor Selection. You can also apply for Solar Rooftop by selecting State, District and Electricity Distribution Company/ Utility and entering your consumer account number, then click on “Fetch Details”. After loading the Consumer details, click on “Next” to start filling for submission of application.