Patna: In a landmark move to bolster its clean energy ambitions, the Bihar state cabinet has approved the Bihar Renewable Energy Policy–2025. Replacing the 2017 framework, this forward-thinking policy positions Bihar as a frontrunner in India’s green energy transition, aligning with the nation’s net-zero emissions target by 2070.
With a robust target of 23,968 MW of renewable energy capacity and 6.1 GWh of energy storage, the policy underscores Bihar’s commitment to sustainable development and energy self-sufficiency.
Ambitious Targets and Diverse Energy Sources
The Bihar Renewable Energy Policy–2025 sets a comprehensive roadmap for harnessing solar, wind, biomass, green hydrogen, geothermal, pumped storage, and battery storage projects. According to the Central Electricity Authority, India aims to achieve 500 GW of non-fossil fuel-based energy capacity by 2030, and Bihar’s policy aligns seamlessly with this goal while meeting Renewable Purchase Obligation (RPO) targets. The policy’s focus on energy storage, particularly 6.1 GWh, addresses intermittency challenges in renewable energy, ensuring a stable power supply. Reports from the Ministry of New and Renewable Energy (MNRE) highlight that states with diversified renewable portfolios, like Gujarat and Tamil Nadu, have seen significant economic and environmental benefits, a model Bihar aims to emulate.
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Investor-Friendly Incentives to Drive Growth
To attract private investment, the policy introduces a suite of incentives, including exemptions on stamp duty, land conversion charges, transmission and wheeling charges, electricity duty, STU charges, and SGST. Features like open access, energy banking, green tariff options, and deemed industry status further enhance its appeal. Single-window clearances streamline project approvals, while relaxed norms for rooftop solar installations and carbon credit facilitation encourage widespread adoption. According to a 2024 report by the International Renewable Energy Agency (IRENA), such incentives have driven a 15% annual growth in renewable energy investments in states like Maharashtra and Andhra Pradesh, a trajectory Bihar aims to replicate.
Leadership and Stakeholder Collaboration
Energy Minister Bijendra Prasad Yadav hailed the policy as a milestone, crediting Chief Minister Nitish Kumar’s visionary leadership. “This policy reflects our commitment to a cleaner, sustainable energy future that safeguards future generations,” he said. Developed by the Bihar Renewable Energy Development Agency (BREDA) under the Department of Energy, the policy draws inspiration from successful frameworks in Maharashtra, Andhra Pradesh, and Gujarat. Extensive stakeholder consultations ensured a balanced, innovative approach, as noted by Energy Secretary Manoj Kumar Singh. “This policy is a step toward a robust, inclusive energy ecosystem,” he said, emphasizing its role in reducing fossil fuel dependency.
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Innovative Models for Inclusive Development
The policy promotes development through Renewable Energy Zones, hybrid energy parks, and campus-based projects, encouraging participation from registered developers, agencies, and private companies. This inclusive approach aligns with global trends, as seen in IRENA’s 2025 Renewable Energy Outlook, which highlights the role of decentralized energy models in fostering economic growth. By supporting such models, Bihar aims to create jobs, stimulate local economies, and ensure equitable access to clean energy, particularly in rural areas where energy demand is rising.
A Step Towards India’s Net-Zero Vision
Bihar’s policy positions the state among India’s green energy leaders, joining states like Gujarat and Rajasthan in leveraging renewable energy for sustainable growth. With India’s renewable energy capacity reaching 150 GW by mid-2025, as per MNRE data, Bihar’s contribution will be pivotal. The policy’s emphasis on green hydrogen and geothermal energy also signals a forward-looking approach, tapping into emerging technologies with global potential. By fostering innovation and investment, Bihar is not only addressing its energy needs but also contributing to India’s broader climate goals.
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A Blueprint for a Greener Tomorrow
The Bihar Renewable Energy Policy–2025 is a bold step toward a sustainable, self-reliant energy future. By combining ambitious targets, investor-friendly incentives, and innovative development models, Bihar is poised to become a key player in India’s renewable energy landscape. As the state embarks on this transformative journey, the policy serves as a blueprint for balancing economic growth, environmental stewardship, and energy security for generations to come.
