In a major relief for millions of families, Chief Minister Nitish Kumar has announced 125 units of free electricity per month for all domestic consumers in Bihar starting August 2025. The move is expected to benefit over 1.67 crore households across the state. The announcement was officially made by the CM via social media platform X (formerly Twitter).
Key Highlights of the Scheme
- 125 units of electricity will be completely free starting with the July billing cycle
- Applies to all domestic electricity consumers
- Estimated to benefit over 1.67 crore families
- Scheme to be ratified in a special cabinet meeting
- Will cost the Bihar government an additional ₹3,375 crore this fiscal year
“From the beginning, we’ve provided electricity at affordable rates. Now, starting from the July bill, no domestic consumer will pay for the first 125 units of electricity.”
— Nitish Kumar, Chief Minister of Bihar
Electricity Tariff After 125 Units
While the first 125 units will be free, the electricity department is currently evaluating tariffs for usage beyond that limit. Here’s a snapshot of current subsidized rates:
| Consumer Type | Units | Before Subsidy (₹/unit) | After Subsidy (₹/unit) |
|---|---|---|---|
| Kutir Jyoti | 0–50 | 7.42 | 1.97 |
| Kutir Jyoti | 51+ | 7.42 | 2.45 |
| Rural Domestic | 1+ | 7.42 | 2.45 |
| Urban Domestic | 0–100 | 7.42 | 4.12 |
| Urban Domestic | 100+ | 8.95 | 5.52 |
(Source: Hindustan Patna Bureau)
What Happens if You Consume Less?
According to Deputy CM Samrat Choudhary, if a household consumes less than 125 units, their bill will be zero. The government will cover 100% of the cost.
- The scheme is projected to cost ₹15,995 crore annually
- An additional ₹3,375 crore will be required to support the subsidy this year
“Families consuming up to 125 units will not pay anything. The entire cost will be subsidized,” said Deputy CM Samrat Choudhary during a press conference.
Linked Solar Initiative: PM Suryaghar Yojana
In tandem with this free electricity scheme, the Bihar government is also rolling out solar rooftop installations:
- PM Suryaghar Yojana to be launched across all districts
- Central government to provide 50% subsidy
- Over the next 3 years, the goal is to connect every household to solar power
- For poor families, the state will bear 100% of the installation cost
This dual approach aims to reduce long-term dependency on grid power while empowering rural and urban households with clean energy.
Did You Know?
Bihar will be the first state in India to provide 125 units of electricity completely free to such a large number of families.
Key Takeaways
- From August 2025, Bihar families will receive 125 units of free electricity
- The move will benefit 1.67 crore households
- Those who consume less than 125 units will pay zero bill
- Scheme will cost the state an extra ₹3,375 crore this fiscal
- Government to launch solar rooftop installations under PM Suryaghar Yojana
FAQs
Who is eligible for the free 125 units of electricity?
All domestic electricity consumers in Bihar are eligible.
From when will this scheme be applicable?
Starting with the July 2025 bill, payable in August.
What if my monthly usage is less than 125 units?
You will pay nothing—your entire bill will be waived.
Will there be changes in electricity rates after 125 units?
Yes, existing subsidized rates will apply beyond 125 units. The government may revise them soon.
Is solar power also being promoted?
Yes, under PM Suryaghar Yojana, the state aims to install solar panels on all household rooftops within 3 years.

