5 kW Solar Panel Price in Gujarat with Subsidy: ROI Calculations Included

In Gujarat, a 5 kW solar panel system is a decidedly popular choice for medium-to-large residential households (typically 3–4 BHK) looking to attain energy independence. Benefiting from over 300 days of sunshine yearly, a system of this size in Gujarat can produce around 7,000 to 7,250 units of electricity per year (about 20–22 units daily), which is often sufficient to power substantial appliances like two 1.5-ton air conditioners, a refrigerator, and a washing machine.

If you’re considering going solar in Gujarat, installing a 5 kW solar system is one of the most prevalent choices for residential rooftops. It’s powerful enough to meaningfully reduce your electricity bills, and with government subsidies available, the investment becomes far more affordable.

5 kW Solar Panel Price in Gujarat with Subsidy

The 5 kW solar panel price in Gujarat with subsidy under the PM Surya Ghar Muft Bijli Yojana ranges from ~Rs. 2.02 lakh* in Ahmedabad to ~Rs. 2.12 lakh* in Surat for on-grid rooftop solar systems. 5 kW rooftop solar is a powerful PV system that can generate 7,000 to 7,250 units of electricity annually.

This much electricity is sufficient to run even two 1.5-ton air conditioners, alongside other household appliances.

*Please note: The 5 kW solar panel price in Gujarat with subsidy mentioned above is indicative as of 15 December 2025 for the Solar Earth variant in cities such as Ahmedabad and Surat.

The final cost of a 5 kW solar system may vary based on several factors, including DISCOM charges, city location, selected product variant, type of solar panels and inverter, mounting structure height, roof height, after-sales service quality, and any savings or performance guarantees. Prices are subject to change without prior notice.

 

5 kW Solar Panel Price in Gujarat

 

State Government Incentives

Some state agencies or DISCOMs may offer additional support or incentives, though the ₹78,000 central subsidy is the main benefit. Always check with GEDA (Gujarat Energy Development Agency) or your local power distribution company for any top-ups or state schemes.

The ROI homeowners receive after paying the 5 kW solar panel price in Gujarat with subsidy makes investing ~Rs. 2.02 lakh worthwhile, as the same rooftop on-grid solar system saves ~Rs. 21.82 lakh* in 25 years of its life.

That’s more than 10 times the return on initial investment, and no other form of investment can offer such high returns, except for a rooftop solar system.

*Please note: While estimating savings, we have assumed an annual electricity tariff escalation of 3% and an annual solar panel degradation rate of 1%. However, the actual savings from a 5 kW solar system may vary depending on several factors, including the type and efficiency of the solar panels installed, the intensity of sunlight received by your rooftop, the orientation and tilt angle of the panels, local weather and pollution levels, ambient temperature, shading on the roof, the impact of dirt and dust, and how well the system is maintained after installation.

In this blog, we provide a detailed breakdown of the cost of installing different types of 5 kW solar systems, explain how much subsidy homeowners can receive, and outline the eligibility conditions to avail the subsidy under the PM Surya Ghar Muft Bijli Yojana.

We also present a clear ROI analysis to demonstrate why investing in solar energy has become a necessity in 2025. Additionally, the blog explains why on-grid solar systems are more beneficial compared to off-grid and hybrid solar systems for most homeowners.

Types of 5kw Solar Panel Systems Available in Gujarat

In Gujarat, 5 kW solar panel systems are mainly categorized by their connection to the utility grid and the detailed panel technology used. Each type is designed to meet diverse requirements, from maximum savings to complete power independence.

  1. System Types (Connection-Based)

The three main configurations accessible in Gujarat are:

  • On-Grid (Grid-Tied) System: This is the most widespread choice for urban areas like Ahmedabad and Surat. It is associated with the local utility grid through a net meter. While it doesn’t deliver power during blackouts (for safety reasons), it is the only type eligible for the ₹78,000 subsidy under the PM Surya Ghar Yojana.
  • Off-Grid System: This system is entirely independent of the grid and uses a battery bank (Lead-acid or Lithium) to store energy. It is perfect for remote farmhouses or rural areas in Gujarat where grid connectivity is uneven.
  • Hybrid System: A quality “best of both worlds” solution that attaches to the grid while also having battery backup. It offers electricity during power cuts and permits you to transfer surplus energy to the grid, though the subsidy classically only applies to the solar panel portion, not the batteries. 
  1. Panel Technologies

Depending on your roof space and budget, you can select between numerous panel types:

  • Monocrystalline PERC/N-Type: Highly effectual and space-saving. N-Type TOPCon panels are the newest trend in Gujarat, offering healthier performance even in high-temperature summer months.
  • Bifacial Panels: These panels can produce electricity from both the front and back sides by capturing reflected light from the roof surface, often cumulative generation by 10–15%.
  • Polycrystalline: The traditional, budget-friendly option. They are less efficient and need more roof area (approx. 500+ sq. ft.) equated to modern Mono-crystalline options.

5 kW Solar Panel Price and subsidy in Gujarat

List of 5 kW Solar Panel Prices in Gujarat

The 5 kW solar system price in Gujarat varies depending on the type of solar system being installed.

Let’s check out the estimated cost of installing three main types of 5 kW solar systems in Gujarat:

Type of Solar System Is a Solar Subsidy Offered? 5 kW Solar Panel Price in Gujarat*
5 kW on-grid solar system Yes, the government offers a subsidy under the PM Surya Ghar Muft Bijli Yojana for installing an on-grid rooftop solar for residential purposes only. ~Rs. 2.02 lakh* to ~Rs. 2.12 lakh* with a subsidy
5 kW off-grid solar system No Starts from ~Rs. 3.50 lakh
5 kW hybrid solar system Yes Starts from ~Rs. 7.50 lakh

 *Please note: The 5 kW solar panel prices in Gujarat with subsidy mentioned above are indicative as of 15th December 2025 for the SolarEarth on-grid variant. The final cost of your solar system may vary based on factors such as DISCOM charges, city, chosen product variant, panel and inverter type, mounting structure height, roof height, type of after-sales service, and any savings assurances. Prices are subject to change.

For off-grid and hybrid solar systems, the prices mentioned are based on standard market estimates and may differ depending on the type of batteries, panels, brand, and inverters selected.

Please note that SolarEarth does not sell or install off-grid or hybrid systems. We specialize exclusively in on-grid rooftop solar systems for residential homes and housing societies, as well as on-grid commercial rooftop systems for businesses and industries.

Here are the main topics covered in this blog in detail:

Main Topics Key Takeaways
What is the cost of a 5 kW solar panel installation in Gujarat? 5 kW on-grid rooftop solar systems cost between ~Rs. 2.02 lakh* in Ahmedabad to ~Rs. 2.12 lakh* in Surat with a subsidy.
Is there any subsidy for a 5 kW solar system? The Indian government offers a subsidy of Rs. 78,000 under the PM Surya Ghar Muft Bijli Yojana to homeowners who install a 5 kW on-grid rooftop solar system. This subsidy is not provided if the system is off-grid, ground-mounted, or for commercial purposes.
What’s the 5 kW solar panel price in Ahmedabad in 2025?*
  • 5 kW solar panel price in Ahmedabad without subsidy: ~Rs. 2.80 lakh
  • 5 kW solar panel price in Ahmedabad with subsidy: ~Rs. 2.02 lakh
How to apply for a solar subsidy in Gujarat in 2025? Sign up on the PM Surya Ghar portal, pick your DISCOM and an approved vendor, get the net meter approved and the system installed, then upload the commissioning certificate and your bank details on the portal to claim the subsidy.
Is 5 kW enough to run a house? Yes, a 5 kW solar system can generate between 7,000 and 7,250 units annually, which is enough to run a house.
5 kW solar panel price in Gujarat with subsidy vs ROI in 25 years Investing ~Rs. 2.02 lakh* in a 5 kW solar system in Ahmedabad saves ~Rs. 21.82 lakh* in 25 years.
What are the benefits of installing a 5 kW solar system in Gujarat? It reduces electricity bills by 90% or more and tackles the problem of air pollution by offsetting carbon emissions from the atmosphere.

 *Please note: The final price of solar panel installation in Gujarat depends on your DISCOM charges, city, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings assurance, roof height, etc. Prices are subject to change. Furthermore, while calculating savings, we have measured the annual tariff escalation at 3% and the annual degradation at 1%.

The actual final savings from a 5 kW solar system depend on the types of solar panels you’ve installed and their efficiency, strength of sunlight your rooftop receives, orientation of the panels and tilt angle, the pollution level and weather conditions in your city, the temperature, shadow on the roof, impact of dirt/dust, and how well you preserve your panels after installation.

What’s the 5 kW Solar Panel Price in Gujarat With Subsidy?

The closing solar system price you pay in Gujarat depends on whether the system is on-grid, hybrid, or off-grid. Hybrid and off-grid solar systems are more classy as they necessitate lithium batteries to store solar energy, and these batteries are costly.

On-grid solar systems, on the other hand, send all surplus energy produced during the day to the grid through the solar power net metering process.

Here’s the price range for all three types of 5 kW solar systems in Gujarat without a subsidy:

  • 5 kW on-grid solar system price: ~Rs 2.80 lakh* to ~Rs. 2.90 lakh*
  • 5 kW off-grid solar system price: Starts from ~Rs. 3.50 lakh*
  • 5 kW hybrid solar system price: Starts from ~Rs. 7.50 lakh*

*Please note: The above-mentioned 5 kW solar system price in Gujarat for on-grid solar systems is suggestive as of 15th December 2025 for the SolarEarth  variant. The closing solar plate price in Gujarat depends on your DISCOM charges, city, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings assurance, roof height, etc. Prices are subject to change.

What is the Subsidy for 5 kW Solar Panels in Gujarat?

If you’re installing an on-grid rooftop solar panel system in your home, you will be qualified to receive a subsidy under the PM Surya Ghar Muft Bijli Yojana as a homeowner in Gujarat.

Here are the subsidy details:

Solar System Size Solar Panel System Subsidy in Gujarat Under the PM Surya Ghar Yojana
1 kWp solar system Rs. 30,000
2 kWp solar system Rs. 60,000
3 kWp solar system Rs. 78,000
4 kWp solar system Rs. 78,000
5 kWp solar system Rs. 78,000
10 kWp solar system Rs. 78,000

 List of 5 kW Solar System Price in Gujarat in 2025

Homeowners installing a 5 kW solar system in Gujarat can obtain a subsidy of Rs. 78,000 for installing on-grid rooftop solar on their property. Let’s compare the projected 5 kW solar system price in Gujarat with subsidies in various cities.

 

City  5 kW Solar Plate Price in Gujarat Without Subsidy (Starting Price – Indicative for Base Variant)*  Subsidy for 5 kW Solar Panels in Gujarat 5 kW Solar Panel Price in Gujarat With Subsidy (Starting Price – Indicative for Base Variant)* 
Ahmedabad ~Rs. 2.80 lakh Rs. 78,000 ~Rs. 2.02 lakh
Surat ~Rs. 2.90 lakh Rs. 78,000 ~Rs. 2.12 lakh

 *Please note: The above-mentioned price of solar panel systems is indicative as of 15th December 2025 for the SolarEarth variant. The closing solar plate rate in Gujarat depends on your DISCOM charges, city, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings assurance, roof height, etc. Prices are subject to change.

What Are the Types of 5 kW Solar Systems?

The three chief kinds of 5 kW solar systems, on-grid PV systems, off-grid PV systems, and hybrid PV systems, are available in Gujarat. On-grid solar systems are associated with the grid. Off-grid solar systems are allied to a lithium battery bank, not the grid. Hybrid solar systems are linked to both the grid and the lithium battery bank.

  • On-grid solar panel systems: The grid assists the function of batteries in on-grid systems. Additional solar electricity produced by the panels is sent to the grid through a bidirectional net meter. At night, the same meter ingresses electricity from the grid to retain the household running. The whole process of electricity exchange is called the solar net metering process.
  • Off-grid solar panel systems: Surplus energy produced by the panels during the day is used to charge the batteries through a built-in solar panel charge controller in the solar inverter.
  • Hybrid solar panel systems: These are linked to both the grid and the lithium battery bank. Additional energy is first used to charge the lithium batteries. If any further current still remains, it is sent to the grid through the net meter.

Here’s a snapshot of how these solar systems vary and why on-grid solar is better than off-grid and hybrid solar systems:

Feature On-grid Solar Systems Off-Grid Solar Systems Hybrid Solar Systems
Connected to the grid Yes No Yes
Subsidy offered under the PM Surya Ghar Scheme Yes No Sometimes. While hybrid grid solar systems can be eligible for a subsidy, discoms have certain conditions that must be met. Not all hybrid solar systems will be automatically eligible for a subsidy.
Batteries Needed No Yes Yes
Initial installation cost in Gujarat for a 5 kW solar system ~Rs. 2.02 lakh* to ~Rs. 2.12 lakh* with a subsidy Starts from ~Rs. 3.50 lakh* Starts from ~Rs. 7.50 lakh*
Maintenance and ongoing cost Low High because of battery replacement cost High because of battery replacement cost
Best for Rooftop solar at homes, housing societies, commercial buildings, and industries in areas with a reliable grid connection. Remote and rural villages with no grid supply. Utility-scale large solar farms in deserts.

 How to Apply for a Solar Subsidy in Gujarat?

All Gujarat homeowners can apply for a solar subsidy by registering on the PM Surya Ghar Muft Bijli Yojana National Portal. Here are the simple steps you can follow to claim your subsidy:

  • Step 1: Access the portal: Visit the PM Surya Ghar Muft Bijli Yojana National Portal and click ‘Apply for Rooftop Solar’.
  • Step 2: Register your account: Choose your state, district, and DISCOM. Then, enter your ‘Customer Account Number’.
  • Step 3: Complete the installation form: Offer personal details (like your name and gender) and your latest electricity bill information.
  • Step 4: Submit your bank details: After uploading the necessary documents, enter your bank account info and upload a cancelled cheque on the portal.
  • Step 5: Choose an approved solar vendor: Choice a DISCOM‑approved solar installer like SolarEarth to install rooftop solar at your home.
  • Step 6: Upload the vendor agreement: Upload the contract between you and your vendor on the National Portal.
  • Step 7: Net meter installation: Once the installation is accomplished, your DISCOM will install a bi-directional net meter or a smart meter to track imported and exported units.
  • Step 8: Obtain the commissioning certificate: Your DISCOM issues a Solar Commissioning Certificate confirming the system is live.
  • Step 9: Apply for your subsidy claim: Log back into your customer account on the portal and acquiesce your Commissioning Certificate to claim the subsidy.
  • Step 10: Receive a subsidy straight into your bank account: The permitted subsidy amount is transferred to your bank account within 30 days of claim approval.

Who is Eligible for the PM Surya Ghar Muft Bijli Yojana Subsidy?

If you’re a homeowner and you meet the following situations, you can apply for the central subsidy under the PM Surya Ghar scheme:

  • Your solar panels are made-in-India DCR modules.
  • You have a valid electricity connection in your name.
  • The solar system being installed is an on-grid rooftop solar system.
  • You have never availed of a solar subsidy for up to 3 kW systems.

Is 5 kW Enough to Run a House in Gujarat?

A 5 kW solar panel system is generally more than sufficient to run a medium-to-large Indian household (typically a 3–4 BHK) comfortably. Since it generates approximately 20–25 units of electricity per day, it can cover the energy needs of a family with high appliance usage, including heavy loads like air conditioners and water pumps.

What can it run?

A 5 kW system is designed to handle a “connected load” of about 5,000 watts at any given time. Here is a distinctive daily load breakdown:

  • Air Conditioners: It can effortlessly run two 1.5-ton inverter ACs during the day.
  • Essential Appliances: Concurrently supports a refrigerator, a washing machine, a water motor (1 HP), and a television.
  • Daily Lighting & Fans: Powers 10–12 LED bulbs and 6–8 ceiling fans without any strain.
  • Kitchen Electronics: Handles high-wattage appliances like a microwave or induction cooktop (if used one at a time).

Efficiency & Limitations

  • Real-time Output: While the system is “5 kW,” it really produces peak power only during peak sun hours (11 AM to 3 PM). During this time, it can power your heaviest loads directly.
  • Net Metering: In Gujarat, on-grid systems use the grid as a “virtual battery.” Surplus power produced during the day is sent to the grid, and you get credits that offset the electricity you use at night, effectively making it “enough” to run your house 24/7.
  • Cloudy Days: During the monsoon, generation may drop to 8–10 units per day. However, the excess units generated during the sunny Gujarat summers typically compensate for this dip over the year.

A 5 kW solar system can yield 7,000 to 7,250 units of electricity yearly, which is adequate to run the following appliances in a 3-4 BHK home, bungalow, and villa:

  • Two 1.5-ton ACs
  • 2 geysers
  • 1 washing machine
  • 1 refrigerator
  • 1 LED TV
  • 3-4 LED bulbs
  • 1-2 tube lights
  • 4-5 ceiling fans

What’s the ROI Homeowners Get After Paying the 5 kW Solar Panel Price in Gujarat With Subsidy?

Installing a 5 kW on-grid rooftop solar system in Gujarat saves tens of lakhs of rupees for homeowners because it decreases the electricity bill by 90% or more, and makes it zero in numerous cases.

Here’s the ROI calculation to validate the cost of installing a 5 kW solar system in Gujarat vs the money that the solar system can save for you in 25 years:

City 5 kW Solar Panel Price in Gujarat With Subsidy (Starting Price – Indicative for Base Variant)*  Solar Savings in Gujarat With SolarSquare in 25 Years*
5 kW solar system in Ahmedabad ~Rs. 2.02 lakh ~ Rs. 21.82 lakh
5 kW solar system in Surat ~Rs. 2.12 lakh ~ Rs. 21.25 lakh

*Please note: Prices are subject to change.

You can also use SolarEarth’s free solar energy estimator to get an estimation of the solar installation cost vs solar savings in 25 years in your city.

What’s the 5 kW Solar System Price in India with Subsidy?

The 5 kW solar system price in India with subsidy in 2025 ranges from ~Rs. 1.92 lakh* in Lucknow and Delhi to ~Rs. 2.77 lakh* in Bengaluru.

Here’s a breakdown of the cost of installing a 5 kW solar system in India in diverse cities, before and after a subsidy.

City 5 kW Solar Panel Price in India Without Subsidy (Starting Price – Indicative for Base Variant)*  Solar Subsidy in 2025 5 kW Solar System Price in India With Subsidy (Starting Price – Indicative for Base Variant)*
Pune, Maharashtra ~ Rs. 2.95 lakh Rs. 78,000 ~ Rs. 2.17 lakh
Bhopal, Madhya Pradesh ~ Rs. 3.05 lakh Rs. 78,000 ~ Rs. 2.27 lakh
Lucknow, Uttar Pradesh ~ Rs. 3 lakh Rs. 1,08,000 ~ Rs. 1.92 lakh
Jaipur, Rajasthan ~ Rs. 3.10 lakh Rs. 78,000 ~ Rs. 2.32 lakh
Ahmedabad, Gujarat ~ Rs. 2.80 lakh Rs. 78,000 ~ Rs. 2.02 lakh
Bengaluru, Karnataka ~ Rs. 3.55 lakh Rs. 78,000 ~ Rs. 2.77 lakh
Hyderabad, Telangana ~ Rs. 3.25 lakh Rs. 78,000 ~ Rs. 2.47 lakh
Delhi ~ Rs. 3 lakh Rs. 1,08,000 ~ Rs. 1.92 lakh
Chennai, Tamil Nadu ~ Rs. 3.20 lakh Rs. 78,000 ~ Rs. 2.42 lakh

*Please note: The above-mentioned 5 kW solar system price in India is indicative as of 15th December 2025 for the SolarEarth variant. The closing 5 kW solar plate rate depends on your DISCOM charges, city, product variant opted for, panel type, inverter type, mounting structure height, type of after-sales service, savings assurance, roof height, etc. Prices are subject to change.

What Are the Benefits of Installing a 5 kW Solar System in Gujarat?

Installing a 5 kW solar system in Gujarat is a highly strategic investment, given the state’s high solar irradiance and favorable government policies. With over 300 sunny days a year, a 5 kW setup can generate approximately 20–25 units of electricity daily, which is sufficient to power a 3–5 BHK home including heavy appliances like air conditioners and water pumps.

Here are the primary benefits of making the switch:

1. Massive Financial Savings

Installing a 5 kW system can reduce your monthly electricity bills by 80% to 90%, often bringing them down to near zero.

  • Annual Savings: You can save between ₹30,000 and ₹55,000 per year on electricity costs.

  • Net Metering: Under Gujarat’s net metering policy, any surplus energy you generate during the day is fed back into the grid, earning you credits that offset your nighttime consumption.

2. Generous Government Subsidies

Under the PM Surya Ghar: Muft Bijli Yojana (and state-specific initiatives like SURYA-Gujarat), residential users receive significant financial assistance:

  • Subsidy Amount: For a 5 kW system, you are eligible for a fixed central subsidy of ₹78,000.

  • Affordability: This subsidy can bring down the effective cost of a ₹3.0–3.5 lakh system to approximately ₹2.1–2.5 lakhs, making the upfront investment much more manageable.

3. Rapid Return on Investment (ROI)

Due to the high efficiency of panels in Gujarat’s climate and the available subsidies, most homeowners achieve a “payback” or break-even point within 3 to 5 years. Since the systems have a lifespan of over 25 years, you essentially enjoy over two decades of nearly free electricity.

4. Environmental & Property Value Impact

  • Carbon Footprint: A 5 kW system in Gujarat offsets roughly 7 to 8 tons of CO2 annually, which is equivalent to planting nearly 40 trees every year.

  • Property Appreciation: Homes equipped with solar installations are increasingly valued higher in Gujarat’s real estate market, often seeing a 3–5% increase in property value.

The most significant benefits of installing a 5 kW solar system in Gujarat include electricity bill reduction by 90% or more and the obtainability of a subsidy that makes solar installation cheaper.

Let’s patterned out all the chief benefits of installing a 5 kW on-grid rooftop solar system in Gujarat:

  • It reduces electricity bills: You will no longer rely on classy grid electricity that rises by 3-6% annually, as solar produces free electricity for 25+ years. Hereafter, your electricity bills will reduce by 90% or more.
  • It saves tens of lakhs of rupees: Investing ~Rs. 2.02 lakh* in a 5 kW solar system in Ahmedabad will offer savings of ~ Rs. 21.82 lakh* in 25 years. No other investment can offer these kinds of returns, except for solar.
  • It offsets carbon dioxide from the atmosphere: Installing a 5 kW solar system is corresponding to planting 196 full-grown trees that can offset 1,29,360 kg of carbon dioxide from the atmosphere in 25 years.
  • Government offers a subsidy: The central government offers homeowners a subsidy, making solar installation cheaper.
  • The cost breaks even quickly: The preliminary investment you make in installing solar will be recovered in 3-5 years.

Conclusion

Installing a 5 kW solar panel system in Gujarat is a smart investment, particularly with the ₹78,000 government subsidy making it more reasonable. Whether you’re in Ahmedabad, Surat, or any other part of the state, the net cost after subsidy classically falls in the ₹2–2.7 lakh range, with long-term savings and environmental benefits boosting overall value.

If you’re planning to install solar on your roof, equivalence quotes from trustworthy vendors, check for empanelment status, and make certain you track the subsidy application rules closely to maximize your benefits!

Investing in a 5 kW solar system is worth the investment as the returns are in tens of lakhs of rupees. If you have any queries regarding rooftop solar, book a free solar consultation call with SolarEarth today.

FAQs

How many ACs can run in a 5 kW solar system?

Since a 5 kW solar system can produce 7,000 to 7,250 units of electricity yearly, it can effortlessly power two 1.5-ton air conditioners together with other household appliances like a geyser, a washing machine, a refrigerator, LED lights, and fans.

Which solar panel is best for a home in Gujarat?

The newest 540Wp bifacial solar panels with mono-PERC half-cut cells are the best modules in Gujarat. Their competencies can range up to 22.5%.

How many solar panels are needed for a 5 kW solar system?

Presume, you’re using SolarEarth’s 540Wp solar panels, it would take ~10 solar panels to build a 5 kW solar system. Here’s the modest formula we used to calculate the number of solar panels: Number of solar panels = solar system’s size in watts ÷ module’s capacity.

Is there any subsidy for a 5 kW solar system?

A subsidy under the PM Surya Ghar Muft Bijli Yojana is obtainable to homeowners and housing societies only if they install on-grid rooftop solar systems.

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