‘Access to Electricity’ has been a major issue in India over the past many years. With the goal of achieving Universal Electrification, Government of India has been proposing various modifications in existing electrification schemes as well as new models to accelerate the intensive electrification. One such model is the Community Energy (CE) system which is predicted to be a clean and sustainable means of energy production and use. However, there are certain challenges associated with such systems which remain unexplored due to major focus on centralized electrification approach followed over the years. Thus a holistic policy framework for such systems presently lacks in Indian context due to insufficient literature available discussing barriers and incentives associated with such projects. This paper lists out relevant challenges and enablers associated in the deployment of CE projects in India with their effect on the installation and operation of the project. Thereby, TOPSIS (Technique for Order of Preference by Similarity to Ideal Solution) analytical tool is applied to rank the associated challenge or enabler in their respective domain. Necessary inferences are drawn to provide policy implications depending upon the priority of barriers/enablers in the deployment of CE projects.