Solar Farm Income Calculator India
Quick estimate for farmers & landowners using CUF, tariff and MW/acre.
🔍 How did we get ~15,00,000 kWh per acre?
- 1 acre ≈ 1 MW solar installable (DC)
- Total hours in a year = 8,760
- CUF (Capacity Utilization Factor) ≈ 19%
- 1 MW × 8,760 hrs × 19% = 1,664,400 kWh/year
- After ~10% losses → ~15,00,000 kWh/year
Who Is This Calculator For?
This Solar Farm Income Calculator is designed for:
- Farmers or landowners exploring solar farming as an alternate income stream
- Investors assessing returns from utility-scale solar projects
- Real estate owners with idle land near substations or highways
- Policy enthusiasts or researchers analyzing solar economics in India
- Startups and consultants building feasibility reports or proposals
Whether you’re considering a 1-acre plant or a 10 MW project, this tool offers a quick, realistic income estimate based on standard industry benchmarks.
How This Solar Farm Income Calculator Works
This tool helps you estimate the annual income from installing a 1-acre solar farm in India based on real-world parameters like sunlight, cost, and tariff rates.
Key Assumptions and Logic:
| Parameter | Value / Logic | Notes |
|---|---|---|
| Land Area | 1 acre ≈ 4,047 sq.m | Industry standard |
| Installable Capacity | 1 MW (Direct Current) per acre | Approximation; actual may vary |
| CUF (Efficiency Factor) | ~19% | Higher in Rajasthan, lower in eastern states |
| Annual Generation | ~1.50 million kWh | Based on CUF × 8,760 hrs/year × 1 MW × 0.9 loss factor |
| Tariff Rate | ₹2.5 – ₹4.0/kWh | Varies by PPA/state |
| Annual Income | Generation × Tariff | E.g., ₹52.5lakh/year for ₹3.5/unit |
Source: CERC RE Tariff Regulations 2017, Regulation 53
Realism Note
This calculator gives a quick estimate based on general assumptions.
It does not include:
- Maintenance costs
- Loan interest or financing
- Solar panel performance drop over time
Still, it offers a good first look at the potential income from a solar farm.
Source References:
- CERC RE Tariff Regulations 2017, Regulation 53
Disclaimer:
This calculator is a quick estimation tool based on general industry assumptions:
- Annual solar generation per acre is assumed to be ~1,500,000 kWh.
- Tariff rate is a user-defined input; actual rates vary by state and Power Purchase Agreement (PPA).
- This does not include costs, maintenance, or location-specific factors like sunlight hours or grid availability.
Note: This tool is for educational purposes only. Actual returns may vary. Indiagraphs is not responsible for decisions made based on this estimate
Frequently Asked Questions (FAQ)
How much income can I earn from a 1 acre solar plant in India?
Income depends on the CUF (Capacity Utilization Factor), tariff rate, and location. With a CUF of ~19% and a tariff of ₹3.5/unit, a 1 acre solar plant can generate ~1.5 million kWh/year, giving around ₹52–53 lakh in annual revenue.
What is CUF in solar energy, and why is it important?
CUF (Capacity Utilization Factor) measures how efficiently a solar plant generates electricity over a year compared to its maximum possible output. In India, CUF for solar PV projects typically ranges from 16%–22%, with higher CUF in sunny states like Rajasthan and lower in areas with more cloud cover.
How much does a 1 MW solar plant generate in India?
A 1 MW solar plant in India can generate ~1.5–1.7 million kWh annually at a CUF of ~19%, after accounting for ~10% system losses. This number can be higher or lower depending on sunlight hours, panel quality, and maintenance.
4. What are the current solar tariff rates in India?
Solar tariff rates vary by state and the terms of the Power Purchase Agreement (PPA). As of 2025, utility-scale solar projects in India have tariffs between ₹2.5 and ₹4.0 per unit. Rooftop or small-scale projects may have different rates.
5. What is the ROI for a solar farm in India?
The ROI (Return on Investment) for a solar farm depends on the capital cost, tariff rate, CUF, and financing terms. Large-scale projects can have payback periods of 5–7 years, with higher ROI in high-CUF states and where land and connection costs are lower.
6. Does this solar farm income calculator include costs and maintenance?
No. The calculator gives a gross income estimate based on generation and tariff rate. It does not include expenses like O&M (operation and maintenance), loan interest, panel degradation, or land lease costs.
7. Can this calculator be used outside India?
Yes, but you’ll need to adjust CUF, MW per acre, and tariff rate inputs according to the country’s solar conditions. The default values are based on Indian industry benchmarks.