Bihar to Buy Power From Open Market to Avert Electricity Crisis Amid Scorching Heat

With delays in new power plants, Bihar will buy electricity from the open market to meet soaring summer demand expected to reach a record 9,000 MW.

Bihar to Buy Power From Open Market to Avert Electricity Crisis Amid Scorching Heat

Patna: In a bid to ensure uninterrupted electricity supply during peak demand months, Bihar’s power company has secured approval from the State Electricity Regulatory Commission to procure electricity from the open market and through the government’s DEEP portal until September.

The decision comes amid delays in commissioning four new power units that were expected to contribute a combined 1,820 MW to the state grid this summer. According to company officials, the state was scheduled to receive 297 MW from North Karanpura, 561 MW each from the two units at Chausa in Buxar, and 401 MW from the third unit of Barh Stage One. However, technical and procedural delays have pushed back their timelines.

With consumption expected to touch a record 9,000 MW this year — up from the previous high of 8,005 MW — the company argued in its March petition that without supplemental procurement from the market, it would struggle to meet demand, particularly during the sweltering summer months when daily consumption typically hovers around 7,000 MW.

Under the approved plan, the company will purchase electricity at rates higher than usual. Prices on the DEEP portal are expected to reach Rs 9.68 per unit in July, Rs 9.84 in August, and Rs 9.79 in September. Spot prices on the open exchange could even spike to Rs 11–12 per unit, more than double the state’s average procurement rate.

Officials acknowledged that such purchases have been made in previous years during demand surges and said this practice will continue to bridge the gap until the delayed power units begin generating reliably.