A 100kW solar capacity is considered among the most commercially viable rooftop solar capacities in India. It is now the preferred choice of factories, hospitals, hotels, schools, warehouses, malls, housing societies and large offices seeking to manage electricity costs and eliminate the long-term risk associated with rising tariffs.
Price confusion, however, is one of the largest problems faced by buyers. Online quotes vary significantly. The rules of subsidies are often misinterpreted, and most project buyers are unclear about payback and long-term performance.
This guide addresses these issues with clear, decision-focused information.
You will discover in this detailed blog –
- The real cost of a 100kW solar system in India (2026).
- The presence or absence of any subsidy (and its substitutes).
- Anticipated generation, savings and ROI.
This is a decision-grade guide for businesses evaluating a 100kW solar investment.
What’s the 100kW Solar Panel System Price in India without Subsidy?
The price of a 100kW solar panel system in India (2026) is primarily determined by the system type (on-grid or off-grid), component quality, and the availability of tax benefits. In most commercial and industrial (C&I) projects, direct central subsidies generally do not apply; however, state incentives and tax benefits can lower the effective cost.
| System Type | Approx Price (Without Subsidy) |
| 100kW On-Grid Solar System | ₹35 lakh – ₹48 lakh |
| 100kW Off-Grid Solar System | ₹55 lakh – ₹75 lakh |
| 100kW Hybrid Solar System | ₹50 lakh – ₹65 lakh |
Please note: with applicable benefits (state incentives, accelerated depreciation, GST credits), the effective project cost for businesses can be reduced by 10–25%, depending on eligibility.
What’s the 100kW Solar Panel System Price in India with Subsidy?
The Indian government subsidises housing societies which install on-grid rooftop solar systems through the PM Surya Ghar Muft Bijli Yojana on the condition that they use made-in-India DCR (Domestic Content Requirement) solar modules.
In DCR projects, the cost of a 100kW solar system is usually ₹40,000 to ₹45,000 per kW, inclusive of a 13.8% GST, with a subsidy applied.
The approximate cost of a 100kW solar system in India of all three types of systems, including subsidies, is shown below –
| Type of Solar System | Subsidy for Housing Societies | Approx 100kW System Price (India) |
| On-grid rooftop solar system | Up to ₹18 lakh | ₹40–45 lakh + applicable taxes |
| Off-grid solar system | Not available | From ₹70 lakh onwards |
| Hybrid solar system | Up to ₹18 lakh | From ₹80 lakh onwards |
Detailed Cost Breakdown – Where Your Money Goes
Understanding the cost structure is essential to prevent overpaying or underinvesting.
- Solar Modules (40–50%)
The system primarily consists of solar modules. However, by 2026, high-efficiency mono-PERC / TOPCon modules will be prevalent. Better modules:
- Produce additional units per sq. metre.
- Degrade more slowly over 25 years.
- Perform better in heat.
Lower-cost modules may reduce upfront expenditure but can lead to significant generation losses over the system lifetime.
- Inverters (10–15%)
String inverters are standard for 100kW rooftop installations. Inverter quality affects:
- System uptime
- Fault recovery time
- Monitoring accuracy
Local service presence should not be compromised for a small price difference.
- Mounting Structures (8–12%)
This includes:
- Hot-dip galvanised aluminium or steel.
- Wind-load engineering
- Designs associated with the roof (RCC, metal, asbestos).
Leakage, corrosion, and safety hazards result from poor structural design.
- Balance of System (10–12%)
It includes:
- DC/AC cables
- Combiner boxes
- Earthing
- Lightning protection
Corner-cutting here increases the risk of fire and system failure.
- Installation & Civil Work (8–10%)
Access equipment, labour, cable trays, walkways, and safety rails.
Roof complexity increases installation costs.
- Monitoring, Protection & Commissioning (3–5%)
Online surveillance, relays, testing, and grid synchronisation.
This ensures consistent system performance beyond initial commissioning.
Subsidy, Incentives and Tax Benefits for 100kW Solar System
Is There a Central Subsidy?
In commercial and industrial (C&I) systems, rooftop subsidies are typically not available for installations under 100kW.
The residential rooftops are the primary target of these subsidies.
Instead, businesses benefit through the following mechanisms:
- Accelerated Depreciation (AD)
Companies can claim accelerated depreciation on solar assets, improving cash flow and tax efficiency.
- State-Level Incentives
Some states offer:
- Quickened net-metering permits.
- Favourable export tariffs.
- Reduced electricity duty
- Banking facilities
These differ greatly and need to be verified on a state-by-state basis.
- GST Input credit (Case specific)
GST benefits may be applicable depending on the nature of ownership and accounting structure.
Tax benefits combined with electricity bill savings are often more valuable than direct subsidies.
Energy Generation, Savings & ROI
Here is the expected annual unit generation (100kW)
| Region | Units per Year |
| High-irradiation states | 1.6–1.7 lakh |
| Average regions | 1.45–1.55 lakh |
| Lower solar zones | 1.3–1.4 lakh |
ROI Scenarios
Now, look at the ROI insights of a 100kW solar system in India –
Conservative Case
- Cost: ₹50 lakh
- Tariff: ₹7/unit
- Annual savings: ₹10–11 lakh
- Payback: ~5 years
Typical Commercial Case
- Cost: ₹45 lakh
- Tariff: ₹8.5/unit
- Annual savings: ₹12–13 lakh
- Payback: ~3.5–4 years
High-Tariff Business
- Cost: ₹48 lakh
- Tariff: ₹10/unit
- Annual savings: ₹14–15 lakh
- Payback: ~3 years
After payback, electricity costs drop dramatically for 15–20 years.
What are the Major Factors Affecting the 100kW Solar Panel System Price in India?
In India, the cost of a 100kW solar panel system will depend on a variety of technical, site-specific, and business factors in 2026. Large commercial installations cannot be sold at a uniform price as they have different requirements, unlike residential systems. Knowledge of these factors will assist businesses in accurately determining quotes and preventing under- or over-investment.
Solar panel technology and efficiency are among the most vital cost drivers. Greener, more efficient panels with higher wattage produce more power per square metre and work better in hot weather. Although these panels are more expensive initially, they tend to be less space-consuming and more energy-producing over time, thereby reducing overall system costs.
Pricing is also largely determined by the inverter chosen. Branded, more efficient inverters with superior monitoring and good service networks are more expensive than generic ones. Nonetheless, the reliability of the inverters directly affects system uptime and power output, which is important to commercial users.
Rooftop set up and the location also contribute significantly. The roof height, its load-carrying capacity, roof type (RCC or metal), shading concerns, and access complexity may increase structural and installation costs. It might demand more civil or reinforcement work.
Cost is further affected by electrical infrastructure and compliance requirements. The project costs increase with integration into the current LT or HT systems, protection devices, earthing, lightning arrestors, and DISCOM approval procedures.
Finally, warranty, O&M, and system monitoring influence the price. Systems with long-term maintenance, performance guarantees, and real-time monitoring tend to be more expensive but offer higher reliability and 25-year financial benefits.
What are the Types of a 100kW Solar System in India?
A 100kW solar system in India is available in various options depending on grid connectivity, power backup needs and usage patterns. The selection of the correct type is important because it directly impacts the system’s cost, reliability, and ROI. In general, solar systems with a capacity of 100kW can be classified as on-grid, off-grid, or hybrid.
100kW On-Grid Solar System
A 100kW solar setup is connected directly to the utility power grid. Solar power is utilised to produce on-site electricity, and the excess energy is either exported to the grid under applicable net-metering or net-billing regulations. The system is also cost-effective and easy to maintain because it does not require any batteries.
On-grid systems will be most appropriate for commercial and industrial users with sufficient grid access and high daytime power demand. Nonetheless, such systems fail during power interruptions for safety reasons unless a backup solution accompanies them.
100kW Off-Grid Solar System
A 100kW solar power system is off-grid, meaning that it is not connected to the power grid. It has a large battery bank that stores excess solar energy and provides power at night or when the sun is low in the sky. The design is suitable in areas that are not connected to the grid power or where the grid power supply is extremely unreliable.
Although off-grid systems avoid grid interconnection, they are technically more complex due to battery integration. Long-term project economics are also affected by battery replacement.
100kW Hybrid Solar System
A hybrid 100kW solar system has characteristics of both on-grid and off-grid systems. It is attached to the grid but has batteries as a backup power source. The system can continue serving critical loads using stored solar energy during grid outages.
Hybrid systems are suited for businesses that require both cost savings and backup power.
Comparison of 100kW Solar System Types in India
| Parameter | On-Grid System | Off-Grid System | Hybrid System |
| Grid connection | Required | Not required | Required |
| Battery storage | Not required | Mandatory | Required |
| Power during outages | Not available | Available | Available |
| Upfront cost | Lowest | Highest | Medium–High |
| Maintenance | Low | High | Medium |
| Net metering benefit | Yes | No | Partial |
| Best suited for | Commercial & industrial users | Remote locations | Users needing backup + savings |
Short Summary: On-grid systems offer the fastest payback and lowest cost; off-grid systems offer complete independence; and hybrid systems balance savings with backup power. But always remember that the right choice depends on your location, grid reliability, and operational priorities.
What Are the Benefits of a 100kW Solar Panel System?
A 100kW solar panel system strikes an attractive balance among cost savings, energy security, and long-term sustainability; hence, it is among the capacities that commercial and institutional users prefer in India.
It provides quantifiable financial, operational, and environmental benefits when properly designed and installed.
- Deliver significant savings on electricity bills
A 100kW solar system delivers multiple operational and financial advantages. These systems can compensate for a significant part of the power usage during the day, avoiding reliance on the high-tariff grid electricity.
For businesses that pay ₹7–₹10 per unit, this has saved them several lakhs of rupees annually.
- Good long-term ROI
The payback period for a 100kW solar system would be 3 to 6 years, after which power production would be virtually free. A lifespan of 25 years or more on a system means a business can have decades of low-cost power, making solar one of the safest long-term infrastructure investments.
- Protection against rising electricity tariffs
The tariff for grid electricity to commercial users is rising steadily due to fuel costs and cross-subsidies. A 100kW solar plant secures a large share of energy expenses now and offers long-term protection against price inflation and tariffs, along with enhanced financial predictability.
- Minimal operating and maintenance costs
Solar systems require little maintenance compared to traditional power sources. Routine cleaning, periodic inspection, and basic performance monitoring are sufficient. Solar is a low-effort energy solution that requires minimal maintenance, with an annual cost of 1-2% of the project value.
- Enhanced power reliability and stability
A 100kW solar system will increase energy reliability when combined with net metering or hybrid configurations. With battery backup for critical loads, businesses experience fewer power interruptions and improved power supply during peak demand.
- System longevity and predictable performance
Solar panels are designed to last for decades and degrade slowly while continuing to generate power effectively. Most systems will deliver steady energy production and reliable long-term savings 25 years after installation, since most of them will be at 80-85% of their initial capacity.
On-Grid Solar System Specifications of 100kW Solar System
| Specifications | Details |
| Type of solar panels used | Monocrystalline or bifacial |
| Grid connection | Yes |
| Inverter capacity needed | 100 kVA inverter (matched to a 100kW solar plant) |
| Preferred inverter technology | MPPT (Maximum Power Point Tracking) |
| Batteries required | No |
| Key components | Solar panels, grid-connected inverter, mounting structures, electrical protection systems, monitoring system, and solar accessories. |
| Number of solar panels required | Relies on the type and wattage of solar panels used |
| Installation area required | ~10,000 square feet of shadow-free area |
| Maximum units produced yearly | 1,35,000* to 1,40,000* |
Hybrid Solar System Specifications of 100kW Solar System
| Specifications | Details |
| Type of solar panels used | Monocrystalline or bifacial |
| Grid connection | Yes |
| Inverter capacity needed | 100 KVA hybrid solar inverter |
| Preferred inverter technology | MPPT (Maximum Power Point Tracking) |
| Batteries required | Yes |
| Key components | Solar panels, grid, lithium battery bank, solar inverter, mounting structures, bi-directional net meter, and solar accessories |
| Installation area required | ~10,000 square feet of shadow-free area |
| Number of solar panels required | Depends on the type and wattage of solar panels used |
| Maximum units produced yearly | 1,35,000* to 1,40,000* |
Off-Grid Solar System Specifications of 100kW Solar System
| Specifications | Details |
| Type of solar panels used | Monocrystalline or bifacial |
| Grid connection | No |
| Inverter capacity needed | 100 KVA off-grid solar inverter |
| Preferred inverter technology | MPPT (Maximum Power Point Tracking) |
| Batteries required | Yes |
| Key components | Solar panels, lithium battery bank, solar inverter, mounting structures, and solar accessories |
| Installation area required | ~10,000 square feet of shadow-free area |
| Number of solar panels required | Depends on the type and wattage of solar panels used |
| Maximum units produced yearly | 1,35,000* to 1,40,000* |
How to Apply for a 100kW Solar System Subsidy in India?
The official application process is often not about subsidy disbursement but rather about state incentives and approvals, since central subsidies are rarely applied to 100kW commercial systems.
Step-by-Step Process
- Check the State Solar policy
Determine whether or not your state has capital incentives, electricity duty exemptions, or banking benefits.
- Carry out a site and load test
They include roof structure, shadow analysis, and consumption profile.
- Apply for DISCOM approval
Comprises a net-metering / net-billing application.
- Installation and commissioning of systems
Fitted by an approved drawing EPC partner.
- Claim applicable benefits
- Accelerated depreciation (through CA)
- Incentives of the state (where applicable)
- GST input credit (if eligible)
In the case of businesses, financial optimisation occurs after installation, not before.
Conclusion
A 100kW solar panel is an intelligent, visionary investment focused on the long-term future of businesses and institutions seeking to reduce energy costs and achieve long-term stability. Direct subsidies for large-scale systems are limited, but a combination of electricity savings, tax benefits, and net metering will make solar economically feasible in 2026.
With proper system design, quality components, and professional installation, a 100kW solar system can deliver efficient power, strong returns, and environmental benefits over a period of over 20 years.
For organisations with high daytime energy consumption, solar is no longer optional—it is a strategic infrastructure decision.
Frequently Asked Questions
In India, what will be the cost of a 100kW solar system in 2026?
A 100kW solar system in India in 2026 would cost between INR 35 lakh and INR 55 lakh, depending on the type of system used, the quality of the components, the complexity of the installation and the state policies.
Is there any government subsidy for a 100kW solar system?
The central government does not commonly subsidise 100kW commercial solar systems. However, companies can take advantage of state-level incentives, net-metering benefits, accelerated depreciation, and other relevant tax benefits.
What is the power output of a 100kW solar system per year?
A 100kW solar system can produce between 1.3 and 1.4 lakh units of electricity per year, depending on location, sunlight availability, system design, and maintenance quality.
What is the payback period of a 100kW solar panel system?
A 100kW solar system has an average payback period of 3–6 years, which also depends on electricity tariffs, self-consumption rates, and the system’s overall cost.
What roof size do you need to install to support a 100kW solar system?
The 100kW solar installation typically requires 8,000 to 10,000 square feet of rooftop, shadow-free, depending on panel technology and layout.
What kind of commercial solar system is most appropriate for a 100kW capacity?
For most business and industrial customers with a reliable grid connection, a 100kW on-grid solar system would be the most cost-effective solution, as it is lower cost and offers a shorter payback period.
What is the lifespan of a 100kW solar system?
A properly maintained 100kW solar system may remain efficient for 25 years or more, and the solar panels will continue to perform at 80-85% after 20 years.
