Bihar Renewable Energy Policy 2025
Why the policy exists
The Bihar Policy for Promotion of Bihar New and Renewable Energy Sources 2025 steps up the State's climate-neutral ambition, building on a detailed study that recommended a low-carbon development pathway and a phase-wise strategy to achieve Net-Zero by 2070. It aims to align with India's RE target and accelerate deployment of RE projects — from small to large scale — considering State-specific scenarios.
Legislative Framework
The policy draws on the Electricity Act, 2003 — under which the Bihar Electricity Regulatory Commission (BERC) and the Government of Bihar take steps to promote RE, and Section 108 mandates the State to give directions to the State Commission including policy-framework design. This policy supersedes the previous 2017 RE policy.
Policy Objectives
- •Harness 23.968 GW of RE and 6.1 GWH of storage by FY 2029-30 through non-conventional RE resources and the State's storage potential.
- •Promote new & efficient techniques in RE and Energy Storage.
- •Create an encouraging environment and eco-system for RE adoption.
- •Bring maximum stakeholder participation and actions for RE uptake.
- •Give special emphasis on innovation and development R&D facility in the State.
- •Increase livelihood opportunities through RE adoption.
- •Increase awareness, skill & capacity development for RE integration.
Operative Period: Effective from the date of issuance for 5 years, or until a new policy is issued. RE Projects commissioned during the operative period are eligible for the declared incentives for a period of 25 years from the date of commissioning, or the project lifespan, whichever is earlier.
What the policy covers, and who qualifies
Scope
Limited to RE and Energy Storage Projects — including but not limited to solar (photovoltaic, thermal), hydro, wind, energy storage (battery, pumped hydro), waste-to-energy, green hydrogen (and green ammonia), geothermal, and any other RE technology recognised by MNRE/BREDA.
Benefits are not applicable to projects for which PPAs were signed before this policy.
Eligible Entities
All registered companies/firms/co-operatives/societies, Start-ups, Government entities, consumers of Discom(s) and individuals — for setting up RE projects within the State for sale of electricity/captive use, per prevailing regulations.
Proposals with requisite details are submitted to the State Nodal Agency (SNA) per the policy criteria. Entities/Implementing Agencies/Developers may set up projects under RESCO / CAPEX / Hybrid modes.
Key Abbreviations & Terms
| Term | Meaning |
|---|---|
| BERC | Bihar Electricity Regulatory Commission |
| BREDA | Bihar Renewable Energy Development Agency (State Nodal Agency) |
| BHPC / BSPGCL | Bihar State Hydroelectric Power Corp. Ltd. / Bihar State Power Generation Co. Ltd. |
| BESS | Battery Energy Storage System |
| DRE | Distributed Renewable Energy |
| FiT / REC / RPO | Feed-in Tariff / Renewable Energy Certificate / Renewable Purchase Obligation |
| GNM / VNM | Group Net Metering / Virtual Net Metering |
| RESCO | Renewable Energy Service Company |
| SLEC / SLSC | State Level Empowered Committee / State Level Screening Committee |
| ToD | Time of Day |
Incentive framework
Note: The fiscal-incentive chapter details are from pages beyond page 7. Below is the list of declared incentive categories under the policy framework:
- •Electricity Duty exemption (captive / open-access consumers)
- •SGST reimbursement on materials for RE project development
- •Stamp Duty & Land-Conversion charge reimbursement/exemption
- •Transmission, wheeling & State Transmission Utility (STU) charge exemption (intra-state use; enhanced for RE + storage)
- •Open Access for the project period / lifespan
- •Energy Banking (per BERC regulations)
- •Green tariff option and Feed-in-Tariff for sub-5 MW projects
- •Deemed industry status
- •Carbon-credit (CDM/UNFCCC) retention by the generating entity
- •Concessional land for RE-powered EV charging infrastructure
- •Bihar Renewable Energy Development Fund (support for incentives, R&D, skilling, infrastructure)
Capacity roadmap to FY 2029-30
| Target | FY 25-26 | FY 26-27 | FY 27-28 | FY 28-29 | FY 29-30 | Cumulative |
|---|---|---|---|---|---|---|
| RE Target (MW) | 3,297 | 4,134 | 4,854 | 5,481 | 6,202 | 23,968 |
| Energy Storage (MWH) | 600 | 700 | 1,300 | 1,400 | 2,100 | 6,100 |
Cumulative Targets by Category
| Category | Min. Capacity | Cumulative Target |
|---|---|---|
| 1. Utility-scale RE | — | 21,653 MW |
| 1.1 Solar Parks | ≥20 MW | 900 MW |
| 1.2 Other Ground-Mounted Solar | ≥0.5 MW | 18,448 MW |
| 1.3 Elevated Solar over Ponds | ≥0.5 MW | 400 MW |
| 1.4 Floating Solar | ≥0.5 MW | 495 MW |
| 1.5 Agri-Voltaic Solar | ≥0.5 MW | 390 MW |
| 1.6 Canal Top/Bank Solar | ≥0.5 MW | 250 MW |
| 1.7 Geothermal Power Plant | ≥5.0 MW | 50 MW |
| 1.8 Biomass Power Plant | ≥0.5 MW | 340 MW |
| 1.9 Waste to Energy | ≥0.5 MW | 180 MW |
| 1.10 Wind Power Plant | ≥0.5 MW | 200 MW |
| 2. Distributed RE (On-Grid) | — | 1,975 MW |
| 2.1 Rooftop Solar | ≥1.0 kW | 500 MW |
| 2.2 Small Hydro Power Plants | <25 MW | 250 MW |
| 2.3 Other Solar (Floating/Ground/Canal) | <0.5 MW | 270 MW |
| 2.4 Solar Agriculture | <0.5 MW | 500 MW |
| 2.5 Biomass Power Plant | <0.5 MW | 360 MW |
| 2.6 Waste to Energy | <0.5 MW | 45 MW |
| 2.7 Wind Power Plant | <0.5 MW | 50 MW |
| 3. Off-grid RE | — | 340 MW |
| 3.1 Mini & Micro Grids | ≥1.0 kW | 50 MW |
| 3.2 DRE (Solar for Livelihood) | ≥1.0 kW | 110 MW |
| 3.3 Standalone Solar Pumps | ≥1.0 kW | 180 MW |
| 4. Energy Storage (MWH) | — | 6,100 MWH |
| 4.1 Pumped Storage | ≥10 MWH | 1,600 MWH |
| 4.2 Grid-Level Battery Storage | ≥1 MWH | 4,500 MWH |
Technology provisions (Solar PV)
The policy harnesses different RE technology areas; convergence is drawn with schemes such as Jal-Jeevan-Hariyali Mission, Hybrid Annuity Model (HAM), PM Surya Ghar and PM Kusum Yojana.
Rooftop Solar PV (incl. ≤1000 kWp premises plants)
| Parameter | Provision |
|---|---|
| Capacity | Up to 1000 kWp within the premises of electricity consumers |
| Third-Party Sale | Allowed |
| Applicable Tariff | As approved by BERC / mutually agreed (for third-party sale) |
| Metering | Net Metering / Virtual Net Metering / Gross Metering |
| Mode of Development | CAPEX / RESCO / Hybrid RESCO |
| Energy Accounting | Per billing cycle (defined by BERC) |
| Module-structure height | Not counted towards the building's total height; no Municipal Corporation / UD&H approval required |
Solar PV (other than Rooftop) — grid-connected
| Parameter | Provision |
|---|---|
| Capacity | No limit, subject to CTU/STU/Discom injection approval |
| Third-Party Sale | Allowed |
| Applicable Tariff | Sale to Discom: Feed-in Tariff / ceiling tariff. Third-party/captive: mutually agreed rates |
| Metering | Gross Metering |
| Energy Accounting | Per billing cycle |
Who develops and approves projects
| Agency | Role |
|---|---|
| BREDA — Bihar Renewable Energy Development Agency | State Nodal Agency (SNA) for the development of all RE projects except the defined ones below |
| BHPC — Bihar State Hydroelectric Power Corp. Ltd. | SNA for Hydro Power Projects |
| BSPGCL — Bihar State Power Generation Co. Ltd. | SNA for Pumped Storage Projects; also Implementing Agency for floating/ground-mounted solar & biomass projects above 1 MW and canal solar |
| Energy Department, GoB | May nominate any State government body as Nodal/Implementing agency for different RE technologies |