Kerala has emerged as a leader in residential rooftop solar installations, with the PM Surya Ghar program being a major catalyst. Kerala has achieved a 60.13% application-to-installation conversion rate, reflecting high implementation efficiency. This ratio highlights the active participation of distribution companies (DISCOMs) and empaneled vendors.

According to Mercom’s India Rooftop Solar Market Report, Kerala ranked third in the country for rooftop solar installations during the first nine months of 2024. The state accounted for 10.6% of the total capacity added in this period, reflecting a 13.6% year-on-year growth. Gujarat led the rankings, followed by Maharashtra, while Uttar Pradesh and Tamil Nadu followed Kerala.

According to an official from the Kerala State Electricity Board (KSEB), the state’s rooftop solar power generation capacity has doubled at a growth rate of 99.97% since 2023.

“As of October 10, 2024, 152,000 rooftop solar systems amounting to 946.9 MW have been installed in Kerala. Rooftop solar systems now generate enough power to meet 22% of the daytime demand,” the official noted.

Pioneering Efforts

Kerala’s journey to becoming a rooftop solar leader began with innovative DISCOM-driven programs like the Soura initiative and the Solar City Project. These earlier efforts played a critical role in shaping consumer awareness, improving application efficiency, and creating a well-structured ecosystem for solar adoption.

Launched in 2019-20, the Soura program positioned KSEB as a demand aggregator. By covering the total cost of rooftop installations, it incentivized consumers to participate. In return, customers rented their roof space to KSEB, receiving 10% of the solar power generated for free. KSEB also assumed operational and maintenance responsibilities for 25 years, ensuring long-term reliability. This program not only reduced consumer risk but also boosted trust in solar energy solutions.

Another notable initiative was the Solar City Project in Thiruvananthapuram, which focused on the widespread adoption of rooftop solar systems within the city. This project further enhanced consumer confidence and demonstrated the feasibility of large-scale rooftop solar implementation.

The installers noted that rooftop programs like Soura and Solar City were the reason behind heightened consumer awareness and demand, which encouraged many entrepreneurs to start rooftop solar companies.

Kerala’s customers prioritize service quality and after-sales support, preferring local developers to whom they can reach out quickly. The state has about 2,000 installers, and 986 are officially registered. This installer network has ensured smooth installations and faster adoption of solar energy. When the PM Surya Ghar program was launched, these installers were well-positioned to publicize the initiative and generate leads by leveraging their potential customer base.

“The people of Kerala are highly informed about the benefits of solar energy, including the top brands and the finer aspects of solar products,” commented Terence Alex, Founder & CEO of Wattsun Energy. He emphasized that their understanding extends to the latest technological advancements and financial benefits, making Kerala one of the most knowledgeable Indian states for renewable energy adoption.

Alex also noted that Kerala is particularly conducive for new installers, as the state has a network of wholesalers who provide a comprehensive range of solar components. These wholesalers stock everything from modules and inverters to mounting structures and other essential components. They also offer warehousing services for installers who lack storage facilities, managing logistics and the supply chain, ensuring even newcomers benefit from the opportunities in the market.

Tinsu Mathew, Managing Partner, El Sol Power Solutions, said consumers in Kerala have increased their air conditioning usage because of rising temperatures and consider solar power the most sensible option to reduce their electricity bills.

He said the loan facility for Surya Ghar projects has played a crucial role in making rooftop solar installations more accessible. “The loan facility minimizes upfront costs and provides an affordable repayment structure,”  Alex noted.

Kerala’s approach to rooftop solar demonstrates how efficient policy implementation, active stakeholder engagement, and customer-centric practices can drive sustainable growth in renewable energy adoption.