“Bihar’s ambitious solar energy scheme, launched on June 15, 2025, aims to electrify rural villages with sustainable power. Targeting over 1,000 villages, the initiative offers up to 40% subsidies for rooftop solar installations and plans to install 100,000 solar street lights. Backed by BREDA and central schemes like PM Surya Ghar, it promises reduced electricity costs and a greener future.”
Bihar’s Drive for Solar-Powered Villages
On June 15, 2025, Bihar launched a transformative solar energy scheme to bring sustainable electricity to its rural heartlands, aligning with the state’s goal to become one of India’s top 10 green energy states by 2030. Spearheaded by the Bihar Renewable Energy Development Agency (BREDA), the initiative targets over 1,000 villages, focusing on rooftop solar systems and solar street lighting to address chronic power shortages and promote clean energy.
Under the scheme, households can avail subsidies of up to 40% for installing rooftop solar panels, with financial support ranging from ₹30,000 per kW for systems up to 2 kW to a maximum of ₹78,000 for 3 kW systems, as part of the central government’s PM Surya Ghar Muft Bijli Yojana. This initiative, launched in February 2024, has already seen over 95 lakh registrations nationwide by April 2025, with Bihar aiming to solarize 10 lakh households by 2027. The state’s abundant sunlight, averaging 5 to 7 kWh/m²/day for 300–330 days annually, makes it an ideal candidate for solar energy adoption.
Additionally, the Mukhyamantri Gramin Solar Street Light Scheme, part of Chief Minister Nitish Kumar’s Saat Nischay Yojana Part 2, plans to install 100,000 solar street lights across rural wards by August 2025. This follows a slower-than-expected rollout since its inception in 2022, with only 20% of the targeted 1.15 million lights installed by mid-2024. To accelerate progress, BREDA is leveraging funds from the 15th Finance Commission and has warned private agencies of strict action for delays.
The Kajra Solar Project in Lakhisarai, set for completion by December 2025, is another cornerstone of Bihar’s green push. With a capacity of 185 MW and a 254 MWh battery storage system, it will ensure reliable power during peak hours, reducing dependence on coal-based electricity, which currently meets 80% of India’s energy demand. The project, executed by Larsen & Toubro, also emphasizes eco-friendly practices by preserving local vegetation.
Farmers are not left out, with the PM-KUSUM Component C2 scheme facilitating solar-powered agricultural pumps. Power Mech Projects Ltd secured ₹159 crore contracts in June 2025 to establish 13.66 MW of grid-connected solar plants for rural substations, ensuring stable power for agricultural and mixed-load feeders. Bihar also aims to provide solar irrigation pumps to 10,000 farmers by the end of 2025, enhancing agricultural productivity while cutting costs.
Challenges remain, including delays in solar street light installations due to payment disputes with private agencies and the failure of earlier projects like the Dharnai solar grid, which shut down in 2018 due to maintenance issues. However, the state’s renewed focus, backed by a forthcoming Bihar Solar Energy Policy announced in June 2025, aims to attract private and public investments to bolster infrastructure and overcome these hurdles.
Bihar’s efforts are part of a broader national push, with India targeting 450 GW of renewable energy by 2030. The state’s initiatives, from rooftop solar to large-scale projects like Kajra, position it as a rising player in India’s renewable energy landscape, promising a brighter, greener future for its rural communities.
Disclaimer: This article is based on information sourced from government announcements, BREDA reports, and recent news updates as of July 5, 2025. Data on project progress and subsidies may evolve, and readers are advised to verify details through official channels like breda.bih.nic.in or pmsuryaghar.gov.in.