India may introduce a revised structure of solar tariff bands in early 2026, according to policy watchers and distribution company (DISCOM) analysts tracking recent cost and demand trends. The updated tariff categories are expected to reflect changes in energy purchase costs, peak demand patterns, and the growing share of rooftop and hybrid renewable systems.

Several states have already begun internal evaluations on whether current solar tariff slabs match their projected energy mix for 2026–27.

Why Tariff Bands Need Updating

Experts point out several factors contributing to tariff recalibration:

• Lower cost of utility-scale solar generation
• Rising evening peak demand
• Higher DISCOM procurement from hybrid sources
• Increased rooftop solar adoption reducing daytime load

These changes are triggering discussions on restructuring tariffs to balance grid stability and consumer affordability.

Possible Changes Being Discussed

Although no formal framework has been released, early indicators suggest that states may introduce:

• Updated solar tariff caps for residential and commercial segments
• Revised net-metering credit rates based on time-of-day
• Hybrid tariff incentives for solar + battery users
• New categories for large industrial rooftop systems

Analysts expect clearer guidelines by Q1 2026 as DISCOMs consolidate cost data.

Impact on Consumers & Developers

Potential effects include:

• More predictable savings for rooftop customers
• Better alignment between solar generation and grid demand
• Clearer framework for EPC companies planning projects
• Increased adoption of battery storage systems

Consumers may see marginal changes in net-metering compensation if new time-based structures are approved.

Industry Outlook

Policy experts believe that India’s tariff recalibration will help integrate more renewables into the grid, especially as hybrid and storage-backed projects rise through 2026.

SolSetu will continue tracking tariff updates and policy revisions as states release their new frameworks.