Solar Rooftop Subsidy Scheme Phase 2

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The Rooftop Subsidy Scheme Phase 2  is being implemented by the Ministry of New and Renewable Energy to promote rooftop solar energy in the country, especially in the rural areas. It aims is to aggregate 4000 MW by 2022 which is targeted to be installed in the residential sector. It is also called the RTS for convenience.

The two components are

  1. How to incentivize DISCOMS to achieve installation of additional grid-connected to rooftop capacity in all the sectors over and above the base level the first limit being 18000 MW of rooftop capacity added to the country.
  1. To set up 4000 MW of grid-connected rooftop plants in the residential sector with Central Financial Assistance.

Objectives of Phase 2

  1. It aims at the promotion of sustainable business models.
  1. It will look after the bringing of DISCOMS to the forefront as key drivers for the rapid development of RTS.
  1. To promote grid-connected RTS in all consumer segments that include institutional, residential, commerce, social and governmental along with industrial and commercial sectors.
  1. Spreading awareness to increase capacity and develop human resources towards energy.
  2. To bootstrap the manufacturing of solar cells and modules in a domestic setup

Implementation and strategy

RTS will be implemented through DISCOMS.  It will lead to consumer access. DISCOMS will create a friendly environment through enabling provisions in regulations and the smooth approval process required for RTS.

Phase 1 saw problems such as lack of uniform regulations, lack of awareness among prospective beneficiaries, involvement of multiple stakeholders and considerable delay in tendering due to multiple tenders, and lack of uniform notification for rooftop solar. DISCOM aims at solving all these issues as it is the nodal point for the implementation of the program.


The solar photovoltaic cells which are the base of RDS projects will generate electricity and be deployed on the program. The project’s proponents will discuss the two national and international standards specified on a more timely basis.

Grid interactive SPV power plants, meters, cables, mounting structures, and inverters will be the minimum technical requirement and quality control standards as prescribed by the MNRE. Online monitoring systems will be set up by discounts to ensure that the RTS plants are performing satisfactorily.

Management of RTS

For ground verification and performance evaluation on a random basis, third-party inspection will be carried out by National Agencies and consultants along with the primary responsibility lies with the implementing agency that is DISCOMS. MNRE will meet regularly to review the implementation of the program and carry out physical sample inspections along with the CFA. A SPIN  portal has also been put in place to upload all details of RTS projects. This will include key features, geographical location, installation capacity, name and contact details of a developer, project cost latitude and longitude along with other details

A massive amount of rupees 198 crores will be allocated under the program towards the service charges. It will allow quality standards for deployment of solar 42 voltage system, will help in the development of innovative business models for rooftop solar shared with States along with spreading of public awareness and information through print and electronic media about sustainable energy.

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