Patna: Bihar officially launched its newly amended Biofuel Policy 2025 on Tuesday, marking a major step toward sustainable industrial growth and positioning the state as a future green energy hub. The policy was unveiled at a ceremony in Patna, attended by Deputy Chief Minister Samrat Chaudhary, Industries Minister Nitish Mishra, and other senior government officials.
The policy aims to attract substantial investment in the biofuel sector, create large-scale employment, and provide significant environmental benefits. Industry Minister Nitish Mishra stated that the initiative will “give new impetus to the economy of Bihar,” generate additional income for farmers, and create job opportunities for the youth.
Deputy Chief Minister Samrat Chaudhary announced an ambitious target of establishing 10 Compressed Biogas (CBG) plants in Bihar by the end of this year, with an expected investment of over Rs1,500 crore. These plants are projected to produce 5 lakh tonnes of CBG annually. Chaudhary also noted that the central government has set a national CBG investment target of Rs25,000 crore by 2025, with Bihar poised to be a major beneficiary.
To incentivize production, the policy offers a subsidy of up to 15% of the plant and machinery cost, with a maximum limit of Rs5 crore. For entrepreneurs from specific categories, including women, individuals with disabilities, acid attack victims, and those from SC/ST and EBC communities, the subsidy is increased to 15.75%, or a maximum of Rs5.25 crore.
Looking ahead, Chaudhary said the government plans to expand CBG connections to 50 lakh households in Bihar by 2025, providing clean energy to more than 15 lakh families. This expansion is expected to create over 50,000 direct and indirect jobs in plant operations, maintenance, and biomass collection.
In a broader push for renewable energy, the state has set a goal of producing 23,968 MW of renewable energy over the next five years, with solar projects accounting for the largest share at 18,448 MW. The state has already signed agreements worth Rs5,337 crore with major companies like L&T and NTPC to produce 2,357 MW of electricity.
