KERC Announces New Solar Power Tariffs for Karnataka

Karnataka Electricity Regulatory Commission has approved new generic tariffs for distributed solar and solar projects. These rates apply from August 25, 2026, until June 30, 2029.

Solar tariff details

For residential users setting up 1 kW to 10 kW systems without capital subsidy, the rate is ₹3.89 per unit. Systems under PM Surya Ghar Muft Bijli Yojana get lower rates. These are ₹1.96 per unit for up to 2 kW, ₹2.14 for 2 kW to 3 kW, and ₹2.58 for systems above 3 kW.

Other solar projects are grouped by the solar cells used. DCR category projects are ₹3.11 per unit, and non-DCR projects are ₹2.34 per unit. These rules apply to grid-connected systems using net metering, gross metering, and net billing. The commission set a 25-year levelized tariff and power purchase agreement tenure to provide long-term stability for investors.