23 September 2026
If you are planning a megawatt-scale solar project this year, the first number you need is the cost of 1 MW solar plant capacity. The short answer: a ground-mounted 1 MW plant built with non-DCR modules costs roughly Rs 3.5 to 4 crore in 2026. A rooftop plant for a factory runs slightly higher. A plant that must use DCR (domestic content) modules can touch Rs 5 crore.
That is a wide range, and the gap comes from a few decisions you control: module type, DCR or non-DCR, ground or roof, and how far the plant sits from the grid connection point. This guide breaks the price down line by line, explains what changed in 2026 (GST, ALMM List-II and a jump in DCR module prices), and shows how fast a 1 MW plant pays for itself.
We write this from the manufacturing side. Credence Solar builds Mono PERC and TOPCon modules at a 2.2 GW factory in Rajkot, so the module numbers below reflect what we see in the market every week.
Here is what buyers are paying in mid-2026 for a complete, turnkey plant. Land is not included.
| Plant type | Cost per watt | Cost for 1 MW |
|---|---|---|
| Ground-mounted, non-DCR modules | Rs 35 to 40/W | Rs 3.5 to 4.0 crore |
| Rooftop / C&I, non-DCR modules | Rs 38 to 42/W | Rs 3.8 to 4.2 crore |
| Ground-mounted, DCR modules | Rs 43 to 50/W | Rs 4.3 to 5.0 crore |
Rooftop plants cost more per watt because the structure has to suit the roof, cable runs are longer, and safety work adds labour. Ground-mounted plants save on structure but need 4 to 5 acres of land and often a longer power line to the substation.
The DCR premium is the biggest single swing factor this year. We cover why further down.
The table below shows where the money goes in a typical ground-mounted 1 MW plant with non-DCR TOPCon modules. Treat these as indicative ranges. Your EPC quote will differ by site, voltage level and brand choice.
| Component | Approx. cost (Rs) | Share of total |
|---|---|---|
| Solar modules (1 MWp) | 1.45 to 1.9 crore | 40 to 50% |
| Inverters | 30 to 50 lakh | 9 to 12% |
| Mounting structure, cables, earthing, switchgear, civil | 85 lakh to 1 crore | 22 to 26% |
| Transformer and grid evacuation | Varies by distance and voltage | Included above or extra |
| EPC margin, design, approvals, commissioning | 45 to 50 lakh | 12 to 13% |
| Total (excluding land) | 3.5 to 4.0 crore | 100% |
Modules are the largest line. According to JMK Research module price tracking for April 2026, non-DCR Mono PERC sold at about Rs 13.8/Wp, non-DCR TOPCon at Rs 14.2/Wp and DCR TOPCon at Rs 22.3/Wp. DCR prices rose again in May. At Rs 14 to 15/Wp plus 5% GST, modules for 1 MW cost around Rs 1.5 to 1.6 crore. Premium brands, higher-wattage formats and bifacial glass-to-glass builds push that up.
If you are still choosing between technologies, our guide to TOPCon solar panels and the one on Mono PERC solar panels explain where each makes sense.
Most 1 MW plants use string inverters (for example, eight to ten units of 100 to 125 kW each) or one central inverter. String inverters cost a little more but make fault finding easier and limit downtime when one unit fails. Budget Rs 30 to 50 lakh.
This bucket covers galvanised mounting structures, pile or foundation work, DC and AC cables, combiner boxes, earthing, lightning protection, fencing and the control room. Hot-dip galvanised structures with a proper coating thickness cost more upfront but avoid rust problems in coastal and high-humidity areas.
A 1 MW plant usually connects at 11 kV or 22 kV, so it needs a step-up transformer, a metering cubicle and a line to the nearest substation. A plant sitting next to the substation pays very little here. A plant 3 km away can add tens of lakhs. Ask for this line separately in every EPC quote.
This covers engineering, DISCOM and electrical inspector approvals, liaison, commissioning and the EPC's margin. Low EPC margins are not always good news: they sometimes show up later as thin cables, cheap connectors or skipped testing.
A ground-mounted 1 MW plant needs about 4 to 5 acres with standard modules. Rooftop plants need roughly 80,000 sq ft of shadow-free roof. Land prices vary too much across India to give one number, so most investors either use land they already own or take it on a long lease.
Three policy changes shape 2026 pricing.
Whatever you buy, make sure the modules carry BIS certification. Our explainer on BIS-certified solar panels covers what to check on the label and the datasheet.
A 1 MW plant in India produces about 1.5 to 1.7 million units (kWh) a year. That works out to 4,100 to 4,600 units a day on average, with more in March to May and less in the monsoon.
Bifacial modules add yield on top of this when mounted high over a light-coloured surface. On a well-designed ground-mounted plant, the rear side typically adds a few percent. Our guide to glass-to-glass bifacial solar panels explains the conditions that make it worthwhile.
Modules lose about 0.4 to 0.55% of output each year, so plan your 25-year model with a slowly falling generation curve, not a flat one.
Your return depends on what each solar unit replaces. Here are two common cases, using a Rs 3.8 crore plant generating 1.6 million kWh a year and O&M of about Rs 7 lakh a year.
Open access charges change by state and year, so get the latest figures from your DISCOM before you commit. For smaller rooftop projects that export surplus power, our net metering guide for India explains how credits work.
Use higher-wattage modules. A 1 MW plant built with 550 Wp modules needs about 1,819 panels. With 745 Wp modules, you need about 1,343. That is roughly 475 fewer panels to mount, wire and clean, which trims structure, cable and labour costs. Our Quasar N 745 Wp TOPCon bifacial module was built for exactly this kind of large-format plant.
Match the module to the site. Bifacial glass-to-glass modules earn their premium on ground mounts over light soil or gravel. On a dark tin roof with little rear light, a monofacial module like the Quasar 700 W Mono PERC often gives a lower cost per unit.
Get three itemised EPC quotes. Ask each EPC to list module make and model, inverter make, structure thickness, cable size and brand, and the evacuation cost. A single lump-sum number hides too much.
Check the datasheet, not the brochure. Look at power tolerance (positive-only is better), temperature coefficient and the degradation warranty. You can compare our datasheets on the Credence Solar download page.
1. Comparing per-watt prices that cover different scopes. One quote includes the transformer and line, another does not. Line them up item by item.
2. Ignoring the DCR requirement until late. If your scheme needs DCR modules and you priced non-DCR, the budget jumps by up to Rs 1 crore.
3. Choosing the cheapest structure. Rust and bent rails after five years cost more than the savings.
4. Skipping soil and shadow study. Poor piling or morning shade from a nearby building eats into generation for 25 years.
5. Forgetting O&M in the model. Module cleaning, inverter servicing and monitoring cost Rs 6 to 8 lakh a year for 1 MW. Dusty sites need more frequent cleaning.
Credence Solar supplies BIS-certified Mono PERC and TOPCon modules up to 745 Wp from our 2.2 GW plant in Rajkot, Gujarat. Share your site location and capacity through our contact page, call +91 90330 72969, or email info@credencesolar.com for a module quote and datasheets. You can also read more about our manufacturing process.
The cost of 1 MW solar plant capacity in India in 2026 sits between Rs 3.5 and 4 crore for a standard ground-mounted build with non-DCR modules, around Rs 4 crore for rooftop C&I, and up to Rs 5 crore when DCR modules are required. Modules take the biggest share, so the module choice drives both the upfront price and 25 years of generation. For a factory using most of its solar power on site, payback of three to five years is realistic.
Before you sign, get itemised quotes, confirm whether you need DCR modules, and check the module datasheet line by line. If you want a module recommendation for your site, our team can help with sizing and supply.
A ground-mounted 1 MW plant with non-DCR modules costs about Rs 3.5 to 4 crore, excluding land. Rooftop C&I plants cost Rs 3.8 to 4.2 crore. Plants that must use DCR modules, such as PM-KUSUM projects, cost Rs 4.3 to 5 crore because DCR modules sell at a premium of Rs 8 to 10 per watt.
You need about 4 to 5 acres for a ground-mounted 1 MW plant. The exact figure depends on module wattage, tilt angle and row spacing. Higher-wattage modules reduce the land needed slightly. A rooftop 1 MW plant needs roughly 80,000 sq ft of shadow-free roof area.
A 1 MW plant generates about 4,100 to 4,600 units a day on average across the year, or 1.5 to 1.7 million units annually. Sites in Rajasthan and Gujarat produce more. Eastern states produce less. Output peaks from March to May and dips during the monsoon.
A factory that uses solar power on site and replaces grid power at around Rs 7.5 per unit can recover its investment in about 3.5 years. Plants supplying power through open access usually pay back in 4.5 to 5 years. Accelerated depreciation can shorten both by one to two years.
It depends on panel wattage. You need about 1,819 panels of 550 Wp, about 1,429 panels of 700 Wp, or about 1,343 panels of 745 Wp. Fewer panels mean less structure, cabling and installation labour for the same capacity.
There is no direct capital subsidy for commercial 1 MW plants. Businesses can claim 40% accelerated depreciation in year one. Farmers and farmer groups can build 0.5 to 2 MW plants under PM-KUSUM Component A and sell power to the DISCOM at a fixed tariff.
DCR modules must use cells made in India. Domestic cell capacity is smaller than module capacity, and the ALMM List-II rule from June 2026 increased demand for Indian cells. That tight supply keeps DCR module prices well above imported-cell modules.
