In Short : Small enterprises are essential to India’s vibrant economy, accounting for nearly 30% of the GDP and offering jobs to millions. However, they often encounter obstacles like high electricity expenses, inconsistent power supply, and narrow profit margins. Solar energy is emerging as a viable solution, enabling these businesses to reduce costs, secure reliable energy access, and support the nation’s sustainability objectives.
Why Solar Energy is Beneficial for Small Businesses Retail shops, restaurants, warehouses, manufacturing facilities, and service centers typically have high energy needs during operational hours. With more than 300 sunny days each year, India presents perfect conditions for rooftop solar setups, which can effectively power daily activities at a reasonable price.
- Reduce Operational Costs A rooftop solar system ranging from 5 kW to 20 kW can meet the majority of energy needs for small businesses. Adopting solar energy can lower electricity expenses by as much as 70%, allowing for reinvestment into growth. Through net metering, businesses can also gain credits by selling excess energy back to the grid.
- Government Support & Tax Advantages The Indian government offers various incentives to encourage solar adoption among small businesses: Subsidies of 30–40% available under the Rooftop Solar Programme. Accelerated Depreciation Benefits: Businesses can claim up to 40% depreciation in the first year, reducing their tax burden. Special financing options from banks and NBFCs to make solar investments more accessible.
- Consistent Power Supply Regular power interruptions can hinder operations and lead to financial losses. Installing solar systems with battery backup guarantees a steady electricity supply for businesses such as: Retail outlets Food and beverage establishments Healthcare facilities Small manufacturing operations
- Enhance Brand Reputation Eco-conscious consumers are increasingly leaning towards sustainable businesses. Implementing solar energy can assist companies in: Establishing a green brand identity Attracting environmentally conscious customers Meeting sustainability standards set by larger corporate clients
Steps to Transition to Solar
Energy Assessment – Analyze monthly electricity consumption and peak load needs.
Site Feasibility – Assess rooftop dimensions, orientation, and sunlight exposure.
Select a Certified Installer – Collaborate with a qualified EPC (Engineering, Procurement & Construction) provider.
Apply for Subsidies & Net Metering – Leverage the National Rooftop Solar Portal for an efficient application process.
Begin Saving – Recoup your investment within 3–5 years and benefit from up to 25 years of complimentary electricity.
Conclusion
For small businesses in India, solar energy is more than just an option—it’s a strategic move towards financial security, operational autonomy, and sustainability.
By making the switch to solar, companies can: Lower operational expenses Guarantee a reliable power supply Improve their brand reputation Support India’s Net Zero 2070 goals The sun presents vast opportunities for Indian entrepreneurs. Now is the ideal moment for small businesses to adopt solar energy.
