Switching to rooftop solar is more than just “green” — it’s a smart financial move. If you live in Bangalore (Bengaluru) and are considering a 3 kW solar installation in 2025, here’s a detailed guide: what you should expect to pay, how much subsidy you can get, and how to choose a system that gives you the best value.
Why 3 kW Is a Popular Choice in Bangalore
Before we dive into costs and subsidies, let’s see why 3 kW is often recommended for homes:
- For many 2–3 BHK homes, a 3 kW system can offset 50–70% of monthly consumption (depending on usage).
- It is big enough to take advantage of subsidy schemes (these often start from 3 kW).
- It balances roof space constraints and cost efficiency.
- Bangalore gets good solar irradiance, so a 3 kW system can deliver reliable output.
So, 3 kW is a sweet-spot for many residences that want serious savings without over-investing in large systems.
Bangalore Context: Local Policies & Requirements
To understand costs accurately, you must factor local policies in Bengaluru / Karnataka:
- BESCOM (Bangalore Electricity Supply Company Ltd.) handles rooftop solar schemes in Bengaluru. Their rooftop solar scheme page gives guidelines.
- Roof structural strength, wiring, permits, net-metering rules, and local taxes all affect your final cost.
- Karnataka, as per recent data, expects 3 kW systems in the state to cost (before subsidy) anywhere between ₹2,32,000 to ₹2,80,000 in many cases.
Hence, when someone quotes you a price, always ask: “Does this include mounting, wiring, permit, net metering, and local taxes?”
Cost Breakdown — What Goes Into the Price
A 3 kW solar installation isn’t just solar panels. The total cost includes multiple components:
| Component | What It Covers |
|---|---|
| Solar panels (modules) | The core electricity generation units |
| Inverter | Converts DC from panels to AC for your home/grid |
| Mounting & racking | Structure to fix panels safely on your roof |
| Wiring, junction boxes, protection devices | Cabling, connectors, fuses, earthing, etc. |
| Labour & installation | Skilled mounting, wiring, testing |
| Permits, approvals & net metering | Local permissions, grid connection fees |
| Inspection & commissioning | Final checks, meter installation, certification |
| Warranty, after-sales support | Guarantee, servicing costs |
Because of all these elements, the panel price alone might only account for 25–40% of the total.
What Are the Typical Price Ranges in 2025
Based on recent market data and company sources:
| System Type | Approximate Cost Before Subsidy | Net Cost After Subsidy* |
|---|---|---|
| On-grid 3 kW system | ₹1,75,000 – ₹2,35,000 (some quotes in Bengaluru) | ~ ₹97,000 – ₹1,57,000 (after subsidy) |
| Mid / quality equipment | ₹2,20,000 – ₹2,60,000 | after subsidy the net is ~ ₹1,42,000 – ₹1,82,000 |
| Premium / high end | ₹2,50,000 – ₹2,80,000+ | after subsidy ~ ₹1,72,000 – ₹2,02,000+ |
* These net cost ranges assume you qualify for the central subsidy and possibly additional local incentives (if any).
For instance, SolarSquare (in their blog) lists 3 kW installed in Bengaluru at ~ ₹2,35,000 before subsidy and ~ ₹1,57,000 after subsidy.
Another example: Freyr Energy mentions a 3 kW commercial plant costing between ₹1,75,000 to ₹1,80,000 in India.
So in Bangalore, if you see a quote of ₹2.3-2.5 lakh for a good quality 3 kW system, that is within expected range.
Subsidy & Incentives — What You Can Get
Central Government: PM Surya Ghar / Muft Bijli Scheme
Under the central scheme PM Surya Ghar: Muft Bijli Yojana, residential rooftop solar systems of 3 kW (and above) are eligible for a subsidy of ₹78,000 (combined structure: ₹30,000 per kW for first 2 kW + ₹18,000 for the 3rd kW).
This directly brings down your upfront cost significantly.
State / Local Incentives
Karnataka may also offer additional incentives, or faster net metering approvals, though currently there is no major state subsidy listed prominently.
Net Metering Benefits
When your system sends power back to the grid, you get credit for that (depending on BESCOM’s net metering policy). Over time, this reduces your electricity bill.
Important: Subsidy is disbursed after commissioning and inspection. You must use MNRE / ALMM-approved components and an empanelled vendor to be subsidy-eligible.
Example: Calculation for Bangalore Home
Let’s simulate a real scenario:
- Quoted system cost (all inclusive): ₹2,20,000
- Eligible central subsidy: ₹78,000
- Net cost to you: ₹1,42,000
Then, with net metering, if you export surplus power, your utility bills further reduce. Over 4–6 years, many homeowners recover their investment and continue saving.
Factors That Cause Price Variation
Not all quotes are equal. These factors drive big differences:
- Brand / panel efficiency / warranty: Premium brands with high performance cost more.
- Inverter type: String inverters vs hybrid / micro inverters.
- Mounting complexity: Sloped roofs, height, additional structural strengthening.
- Distance / wiring length: More cable, more cost.
- Local labor cost and permits: Varies by area.
- Quality of workmanship, safety compliance, after-sales support.
Hence, always demand detailed line item quotes and verify vendor legitimacy.
How Many Units Will 3 kW Generate in Bangalore?
To gauge ROI, you need an estimate of energy output:
- Bangalore enjoys fairly good sun — expect ~ 4 to 5 sun-hours equivalent per day (usable).
- So a 3 kW system might produce ~ 12 to 15 units per day on an average.
- Monthly: ~ 360 to 450 units
- Yearly: ~ 4,300 to 5,500 units
If your average electricity tariff is ₹8 to ₹10 per unit, that’s ₹2,800 to ₹4,500 saved per month (rough estimate).
Choosing the Right System: Tips & Checklist
Here’s what to check when finalizing a vendor / quote:
- Use MNRE / ALMM-approved components to remain subsidy eligible.
- Ask for detailed quotations with parts breakdown.
- Ensure vendor is empanelled with BESCOM / Karnataka DISCOM.
- Check warranties: 25 years for panels, 5–10 years for inverters, service guarantee.
- Verify roof load strength and structural safety.
- Confirm net metering policy with your local utility.
Doing your homework helps avoid “cheap but faulty” installations that underperform.
Payback Period & ROI
With subsidy and energy savings, typical payback for a good 3 kW solar system in Bangalore is around 4 to 6 years. After that, all electricity generated is mostly “free” (minus maintenance).
Over 20–25 years, savings can be substantial — many times your initial investment.
