Patna: In a significant step towards sustainable energy and grid stability, the state government today approved the Bihar Pumped Storage Promotion Policy 2025. The decision, cleared by the State Cabinet, marks a major milestone in Bihar’s renewable energy journey, aiming to attract clean energy investments and develop long-term energy storage solutions.

The policy is designed to promote pumped storage systems that will help balance the intermittency of renewable sources like solar and wind. This is especially crucial for a growing economy like Bihar, where ensuring round-the-clock power supply through clean sources is key to inclusive development.

Under the new policy, the government will facilitate early identification and allocation of non-forest land for such projects. BIADA and district administrations have been instructed to expedite proposals for land allocation. A dedicated single-window clearance system is also being developed by the Energy Department to streamline approvals and provide timely support to investors.

Incentives under the policy include waiver of stamp duty and registration charges, reducing the upfront financial burden on developers. The government will also ensure fast-track access to basic infrastructure such as electricity connections, water sources, and road connectivity.

Private players will be encouraged to set up projects under the Public-Private Partnership (PPP) model. The policy also emphasizes local employment generation by providing training and opportunities for youth in rural and semi-urban areas.

Energy Minister Bijendra Prasad Yadav said, “Under the visionary leadership of Chief Minister Nitish Kumar, Bihar is laying a strong foundation in the renewable energy sector. After the Bihar Renewable Energy Policy 2025, this pumped storage policy will further position Bihar as a frontrunner in India’s green energy transition. It will unlock new avenues for investment, innovation and employment.”

Energy Secretary Manoj Kumar Singh highlighted that the policy has been crafted with a practical, investor-friendly, and transparent approach. “It will enhance grid reliability and ensure uninterrupted power supply. Environmental and social safeguards have been fully integrated. Transmission infrastructure will be developed to evacuate power from these projects, while ensuring sustainable and balanced use of water resources,” he added.

Mahendra Kumar, Managing Director of Bihar State Power Generation Company Limited termed the policy a game-changer. “It will not only accelerate energy sector growth but also establish Bihar as a self-reliant and environmentally responsible state,” he said.

BI Bureau