Adopting solar energy for your home in 2025 is one of the smartest moves you can make. While high cost has long been a barrier to the adoption of solar, economies of scale, a push from the government, and new financing options are making solar a more viable option for homeowners.
The best part about installing a solar system is that you can start saving on electricity bills from the first month itself and see a quick return on investment within a few years. Solar technology is advancing, maintenance costs are dropping, and systems are lasting longer, making solar energy an attractive long-term investment. Harnessing solar energy also boosts your energy independence, reduces reliance on the grid, and shields you from rising energy costs.
Beyond these individual benefits, solar energy supports renewable energy growth, promotes environmental sustainability, and fosters green job development, positively impacting the environment and the community.
Dive into this ultimate guide on everything you need to know about solar energy systems for your home in 2025.
Factors to keep in mind while choosing a solar energy system for your home
- Energy Consumption: Review your electricity bills to determine your average monthly energy consumption. that matches your energy needs.
- Roof Conditions: Ensure that your roof is free from significant shading from trees, or other obstructions. Verify that there is enough roof space to accommodate the panels required for your energy needs.
- Climate: Consider the average sunlight hours your location receives. Areas with more sunlight generate more solar power.
- Battery Storage: Add battery storage to store excess energy generated during the day for use at night, or during power outages.
- Installation and Maintenance: Choose a reputable and certified installer to ensure your system is installed correctly and maintained regularly. Many installers have tie ups with banks or NBFCs to provide .
- Warranty and Customer Service: Check the warranty offered on solar panels, inverters, and other components. Ensure that the company you choose offers reliable customer service and support.
- Grid Connection: Understand net metering policies in your area allowing you to sell excess electricity back to the grid. Ensure that your system is compatible with the local grid and meets regulatory requirements.
Key components of a residential solar panel system
- Solar panels: Solar panels are made of many small units called photovoltaic (PV) cells, which are made from silicon. These cells convert sunlight into DC electricity through a process called the photovoltaic effect.
- Inverter: Electricity generated by PV cells is a direct current (DC). Most homes and appliances use alternating current (AC). DC electricity is passed through an inverter to convert it to AC electricity, used to power your home.
- Battery storage (optional): Excess electricity can be stored in batteries or fed back into the grid, depending on your setup.
- Mounting system: Holds the solar panels in place on your roof or ground.
Types of solar panels
There are mainly two types of solar panels for residential use: monocrystalline and polycrystalline.
Monocrystalline Panels are known for their high efficiency and long-term reliability. They are the but are more expensive.
Polycrystalline Panels are affordable but slightly less efficient than monocrystalline panels. They are a good option if you have ample roof space and a tighter budget.
Solar panels typically have a lifespan of 25-30 years. Most manufacturers offer warranties that guarantee a certain level of performance over this period.
Types of Inverters
There are mainly three types of solar inverters: string inverters, optimised string inverters, and microinverters.
String inverters connect a string of solar panels to a single inverter, making them cost-effective and easy to maintain. Their performance can be compromised if one solar panel is in the shade or underperforming. Additionally, there are concerns regarding safety and reliability.
Optimised string inverters use power optimisers at each panel to maximise energy output before sending it to a central inverter. This offers better performance in shaded conditions and allows for panel-level monitoring, although more expensive and complex to install. Safety remains a concern here as well and a central inverter poses the problem of a single point of failure.
Microinverters are considered one of the safest designs for solar. They are installed beneath each panel converting DC to AC at the panel itself. This maximises energy production and allows for individual panel monitoring but comes with a little higher cost. ţţÍæ·¨ÙrÂÊ was the first company to successfully commercialize microinverter technology, setting the standard for safety, reliability, and innovation in solar energy systems.
Types of Batteries
Lead-acid and lithium-ion batteries are the two primary types of energy storage solutions.
Lead-acid batteries are the oldest and most cost-effective, but have low efficiency, slow charging, and a relatively short lifespan of 3 to 7 years. They require regular maintenance and are used in applications where cost is a concern.
Lithium-ion batteries are the preferred choice for residential solar energy storage due to their superior energy density, safety, efficiency, and longer lifespan, which ranges from 5 to 20 years. Despite higher upfront costs, they offer fast charging and a high depth of discharge, making them suitable for modern energy needs. Batteries with lithium iron phosphate (LFP) chemistry, like the ţţÍæ·¨ÙrÂÊ IQ Battery 5P, are an advanced version of lithium-ion batteries.
Solar subsidies for homeowners
The in India varies based on system size, panel type, and installation specifics. The Government of India, through the Ministry of New and Renewable Energy (MNRE), offers for residential rooftop solar systems under the .
You are free to choose the best technology for your solar installation but you must ensure that the solar panels comply with and the inverters are BIS approved.
Subsidies on solar rooftop installations currently:
| System Size | Subsidy Amount | Subsidy Cap |
|---|---|---|
| Up to 2 kW | ₹30,000 per kW | - |
| Additional up to 3 kW | ₹18,000 per kW | ₹78,000 |
| Larger than 3 kW | - | ₹78,000 |
Some state governments offer additional subsidies over and above the Surya Ghar subsidy. Solar systems become quite affordable after these subsidies, with a faster payback period.
Maximising solar savings with net metering
If your system is connected to the grid, you can take advantage of net metering. This allows you to offset your energy consumption during nights or cloudy days with surplus energy generated on sunny days. If you import more electricity than you export, you'll pay the difference in your monthly bill. Conversely, if you export more electricity than you import, you'll receive a payment from the power company.
Switching to solar in 2025
The Surya Ghar Yojana is set to significantly reshape India’s energy landscape with installations projected to exceed 10 lakh homes by March 2025, reaching a target of one crore homes by March 2027.
This initiative to solarise homes on a large scale will leverage economies of scale, substantially reducing the cost of solar systems. The government's push for domestic manufacturing of solar components is expected to improve the availability of high-quality products and make solar systems more affordable. With the expected introduction of ‘Time of Day’ tariffs (imposing higher rates during peak hours), solar energy provides a cost-effective solution to reduce energy expenses.
Ready to hit the Solar Switch? and embark on your solar mission to promote sustainability and enjoy significant long-term savings.
