Bihar to Provide 125 Units of Free Electricity to Households

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Bihar CM Nitish Kumar

Image credit X @JDUOnline

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CM Nitish Kumar Makes Major Announcement, 1.67 Crore Families to Benefit; Solar Power Push Also Planned

By AMIT KUMAR

Patna | July 17, 2025 — In a significant move ahead of the 2025 Bihar Assembly elections, Chief Minister Nitish Kumar announced that the state government will provide 125 units of electricity free of cost every month to all domestic consumers starting August 1, 2025. The announcement, made through a post on his official X (formerly Twitter) account, is expected to benefit over 1.67 crore households across Bihar.

The decision will be formalized in a special cabinet meeting on Friday, where the proposal is likely to get final approval. Once cleared, the policy will be implemented statewide from the July billing cycle, ensuring that eligible consumers receive their subsidy right away.

Nitish Outlines Vision for Solar-Powered Homes

In his post, Chief Minister Nitish Kumar said that Bihar has consistently worked to provide electricity at affordable rates to its citizens. Taking a step further, the government has now decided to waive electricity charges for up to 125 units per month for all domestic consumers.

Nitish also outlined a long-term vision to reduce dependence on grid-based power by promoting solar energy. Over the next three years, the state government aims to install rooftop or community-based solar power systems for these households, with full financial support for ultra-poor families under the Kutir Jyoti Yojana and partial support for others.

He projected that these measures could help Bihar generate up to 10,000 MW of solar power over the next few years, drastically transforming the state’s energy landscape.

Following the Chief Minister’s announcement, the state Energy Department has begun preparations to roll out the scheme. While the policy assures 125 free units, officials are now deliberating on the tariff structure beyond this limit, which will be finalized in the coming days and presented in the cabinet meeting.

This marks the first time in Bihar’s history that ordinary households will receive a defined slab of free electricity, signaling a major policy shift in the state’s power sector.

Tejashwi Yadav’s Promise of Free Power

The move also comes amid growing political pressure and competition, especially from Opposition leader Tejashwi Yadav, who had promised 200 units of free electricity per household as a key campaign plank during the 2020 Bihar Assembly elections. Although his party, the RJD, did not form the government, the demand for universal free power found resonance among voters, particularly in rural and semi-urban areas facing frequent outages and rising bills.

Yadav has since continued to press the issue in public rallies, portraying free electricity as a right of the poor, and had vowed to implement it if voted to power in 2025. With Nitish Kumar’s latest move, political observers view this as a strategic counter to blunt the Opposition’s populist edge.

While the policy awaits final cabinet clearance, Nitish Kumar’s announcement is being seen as a pre-poll masterstroke, aimed at consolidating support among the lower- and middle-income voter base. With the additional push for solar energy, the scheme also aligns with national climate goals and sustainable development objectives.

The Energy Department is expected to release detailed guidelines soon, including how consumers will be enrolled, subsidy disbursement, and tariff rates post the 125-unit threshold.

As Bihar heads into a heated election season, free electricity is set to become a central theme in the political discourse, with both the ruling NDA and the Opposition scrambling to showcase their vision for the state’s energy future.

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