Rooftop solar installations under the PM Surya Ghar: Muft Bijli Yojana have crossed the four million milestone, according to data from the Ministry of New and Renewable Energy (MNRE) and Mercom India Research.

In social media posts, Minister for New and Renewable Energy Pralhad Joshi said India’s solar revolution is becoming a true people’s movement, with states across the nation rapidly embracing rooftop solar through the PM Surya Ghar program.

While the program has seen rapid scaling in the last year, it has significant ground to cover to reach the target of installing rooftop solar systems in 10 million households by the end of the financial year (FY) 2026-27.

Installing six million rooftop solar systems in about nine months will be a tall order.

According to Mercom’s Q1 2026 India Rooftop Solar Market Report, cumulative rooftop solar installations reached 23.5 GW at the end of March 2026. Installations during the quarter were driven largely by the subsidy-linked PM Surya Ghar program.

According to Raj Prabhu, CEO at Mercom Capital, residential demand remains robust. “The next phase of growth will depend more on implementation and execution. Faster approvals, access to financing, installation quality, distribution company coordination, and grid readiness will increasingly determine how quickly the residential segment can scale.”

The introduction of the Approved List of Models and Manufacturers (ALMM) List-II for solar cells, effective June 1, 2026, could slow PM Surya Ghar installations. Under this mandate, all government and subsidy-linked programs must deploy solar modules manufactured using domestically made solar cells. The MNRE has announced that there will be no blanket extension of the mandate.

Currently, India’s solar cell manufacturing capacity is slightly over 30 GW, while its module manufacturing capacity is six times higher. The industry fears this gap could result in a shortage of ALMM-compliant modules, at least in the short- to medium-term. Rooftop solar projects would have to vie with utility-scale and open access projects for these modules.

Residential rooftop solar consumers can still use non-domestic compliant modules, provided they do not avail of the Central Financial Assistance under the ‘Give it Up’ option. It is unlikely that installing rooftop solar will be economically attractive in the absence of a subsidy, which covers up to 60% of the benchmark cost with a ceiling of ₹30,000 (~$315)/kW for systems of up to 3 kW.