The two state-run power distribution companies (commonly referred to as discoms) in Bihar have added over 4 million smart meters in a little over seven months, taking the total installations in the state to nearly 9.2 million as of July 1 from 8.7 million in mid-November last year.SBPDCLNBPDCLBihar TotalTotal smart meters installed (cumulative, lakh)30.6061.1191.71Consumer base covered50.20%54.00%53.64%
Source: Department of Energy, Govt of Bihar
Bihar’s success with the rollout smart meters— a project that was estimated to cost the state ₹16,900 crore over a period of five years — is likely to encourage other state governments to aggressively roll them out and reduce losses and debt in their respective state utilities.
Such a move may create a significant revenue opportunity for manufacturers such as Genus Power Infrastructure, HPL Electric & Power, Adani Energy Solutions, GMR Power & Urban Infra, and niche component makers such as Shivalik Bimetal Controls.
StockLast one year returnsHPL Electric & Power-38.47%Genus Power Infrastructure-8.56%GMR Power & Urban Infra-15.72%Adani Energy Solutions79.45%Shivalik Bimetal Controls49.14%
The gains were accompanied by a significant increase in utility revenues. The combined revenue of the two utilities has nearly doubled to ₹19,036 crore at the end of March 2026 from ₹10,099 crore five years earlier.
YearSouth Bihar Power Distribution Company Limited (SBPDCL)North Bihar Power Distribution Company Ltd (NBPDCL)Total (₹ crore)FY21₹5,417 crore₹4,682 crore₹10,099 croreFY26₹10,169 crore₹8,867 crore₹19,036 crore
“Technical and commercial losses in electricity distribution have long been a major challenge. Smart metering has been adopted as an effective solution in this regard,” Bihar’s Energy Secretary and Chairman-cum-Managing Director, Ajay Yadav, an officer of the 2005 batch of the Indian Administrative Service (IAS), said in response to a CNBC-TV18 outreach.AT&C losses
ParticularsSBPDCLNBPDCLPre-rollout baseline (FY21)37.02%24.13%Latest (FY26)15.39%12.45%Reduction (percentage points)21.6311.68
The state is scaling up a success story that began in 2019, when Bihar became one of the earliest to adopt a policy to push smart meters to stop state utilities from bleeding money. By the end of 2025, at least one in every six smart meters in the country was in Bihar, one of the largest such deployments, covering over 53.6% of the state’s consumer base.It has become a case study in how the technology can improve the financial health of the discoms and reduce the drain on the state exchequer. India has embarked on a plan to deploy 250 million smart meters by 2028 under the Revamped Distribution Sector Scheme (RDSS), but the initiative has faced public protests in states like Maharashtra and Uttar Pradesh, making Bihar’s progress stand out.
The smart meter rollout has coincided with a sharp improvement in operational performance. Accumulated losses have declined from a peak of ₹19,800 crore at the end of March 2023 to ₹16,500 crore two years later.Bihar’s utilities are still not out of the woods completely, but they have made significant strides towards recovery. “The DISCOM told us they are now making payments to independent power producers after availing cash discounts, which means they are paying on time. Smart meters are really helping Bihar. Distribution losses have come down from around 35% to 14%, resulting in significant savings for utilities,” said Vijay Agarwal, Managing Director and Sector Lead – Infrastructure, Equirus Capital, while talking to CNBC-TV18.The inefficiencies of state-run discoms, despite growing power supply and demand across the country, have led to mounting losses and a combined debt of over ₹7.26 lakh crore at the end of March 2025, according to a Ministry of Power response to a question in Parliament.At a time when the national average for aggregate technical and commercial (AT&C) losses fell from 21.9% in March 2021 to 15.4% in March 2025, Bihar’s utilities halved it and brought it in line with the national average in just five years.The one in North Bihar has been relatively more successful. Its position in the annual integrated rating and ranking released by the Ministry of Power improved to 13 in 2025, up from 21 five years earlier.Billing improves, theft declinesBilling and collection efficiency also improved during the period. Billing efficiency increased from 73.81% to 84.61% in SBPDCL and from 80.71% to 91.09% in NBPDCL.Collection efficiency rose from 85.33% to 100% in SBPDCL and from 94.01% to 96.12% in NBPDCL.The data also showed progress in tackling power theft and unauthorised consumption. During FY26, the two distribution companies detected 50,208 such cases and recovered ₹92.05 crore, including ₹40.32 crore by SBPDCL and ₹51.73 crore by NBPDCL.Reduction in theft/unauthorised consumption
ParticularsSBPDCLNBPDCLBihar TotalTheft/unauthorised cases detected (FY26)21,87328,33550,208Revenue recovered (₹ crore)40.3251.7392.05
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