Patna: Bihar is targeting an annual green hydrogen production capacity of 1 lakh tonnes over the next five years under the Bihar Green Hydrogen Policy, 2026, Energy Minister Shailesh Kumar, popularly known as Bulo Mandal, said.
The policy is intended to promote clean energy, attract industrial investment and generate employment, with the state government expecting to draw around Rs 16,000 crore in investment through an incentive package worth Rs 1,040.25 crore.
Kumar said the policy, being implemented under the leadership of Chief Minister Samrat Choudhary, would support Bihar’s energy transition and strengthen its position in the green energy sector.
Policy Targets Lower Emissions, Reduce Gas Imports
According to the minister, the policy is expected to reduce carbon dioxide emissions in Bihar by approximately 10 lakh tonnes. It is also intended to reduce dependence on natural gas and cut expenditure on imported gas to meet energy requirements.
Green hydrogen is produced by using electricity to split water. Its development is expected to support the transition towards cleaner energy sources and help Bihar contribute to national climate commitments.
Kumar said the policy aligns with the Centre’s five-point action plan under India’s Nationally Determined Contributions (NDCs), which includes a target of reducing carbon dioxide emissions by one billion tonnes by 2030.
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Bihar Cabinet Approves Green Hydrogen Policy 2026, Targets Rs 16,000 Crore Investment
Rs 1,040 Crore Incentive Package To Attract Investors
The state government has earmarked incentives worth Rs 1,040.25 crore to encourage investment in the green hydrogen industry. The minister said the benefits have been designed to make Bihar an attractive destination for investors compared with other states.
The government expects the policy to attract approximately Rs 16,000 crore in investment over the next five years.
More Than 12,000 Jobs Expected
The policy is expected to generate more than 12,000 direct and indirect employment opportunities, creating potential avenues for young people in Bihar.
The government also aims to develop the green hydrogen value chain, covering activities associated with production and its wider industrial use. According to the minister, this could support industrial development, sustainable economic growth and environmental protection.
Kumar said the policy would help Bihar emerge as a centre for green energy and green industrialisation while strengthening the state’s economy.
