HomePolicies & Regulations ›Bihar Approves Additional INR 10,000/kW Rooftop Solar Subsidy Under PM Surya Ghar

Bihar Approves Additional INR 10,000/kW Rooftop Solar Subsidy Under PM Surya Ghar

Bihar Cabinet has approved an INR 1,000 crore additional State subsidy programme for residential rooftop solar, offering INR 10,000/kW up to INR 20,000 per consumer over and above the Central subsidy under the PM Surya Ghar Yojana.

August 14, 2026. By Mrinmoy Dey

The Bihar Cabinet, chaired by Chief Minister Samrat Choudhary, has approved an estimated expenditure of INR 1,000 crore to provide additional financial assistance to residential consumers installing rooftop solar under the Pradhan Mantri Surya Ghar: Muft Bijli Yojana. The State assistance will be provided over and above the Central Financial Assistance (CFA) under the scheme for a period of one year.
 
Under the approved arrangement, eligible residential consumers in Bihar will receive INR 10,000/kW of additional State assistance, subject to a maximum of INR 20,000 per consumer. The assistance will be transferred directly to beneficiaries through the Direct Benefit Transfer (DBT) mechanism.
 
Under the Central scheme, residential consumers receive CFA of INR 30,000/kW for the first 2 kW of rooftop solar capacity and INR 18,000/kW for the additional 1 kW, with the total Central subsidy capped at INR 78,000 for systems of 3 kW and above.
 
With the additional State support, a Bihar household could therefore receive a combined subsidy of up to INR 98,000 for a qualifying 3 kW or larger rooftop solar system. The Central assistance would account for up to INR 78,000, while the State contribution would be capped at INR 20,000.
 
The Cabinet also approved the provision of 10 acres of land free of cost for a period of 25 years in each of four municipal bodies for setting up Compressed Biogas (CBG) plants. The land will be provided solely for use by the designated oil and gas companies.
 
Accordingly, Indian Oil Corporation (IOCL) will receive land in Gaya Municipal Corporation, Gas Authority of India (GAIL) in Muzaffarpur Municipal Corporation, Hindustan Petroleum Corporation (HPCL) in Bhagalpur Municipal Corporation, and Bharat Petroleum Corporation (BPCL) in Biharsharif Municipal Corporation.
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