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Minerals and Energy Resources in Bihar

A mineral is a naturally occurring solid with a uniform structure and a specific chemical composition, typically formed through inorganic processes. Bihar is home to various minerals such as pyrite, limestone, China clay, gold, decorative stones, uranium, feldspar, and quartz. The state's energy sector is also rapidly developing, encompassing both thermal and hydro-power.

Minerals of Bihar

The majority of Bihar is situated on the Gangetic Plains, and the state’s economy heavily relies on agriculture. Before the bifurcation in 2000, Bihar was a leading producer of minerals. However, post-bifurcation, the state has limited mineral deposits, with much of the rich mineral resources transferring to Jharkhand. As a result, the mining and quarrying sector in Bihar is underdeveloped.

Pyrite Production

  • Bihar is the sole state in India where pyrite is produced on a large scale, accounting for about 94% of the country’s production.
  • Archean rocks, which are rich in metallic minerals, are found in the southern and southeastern parts of Bihar. These rocks are known to contain bauxite and gold.

Districts with Archean Rocks

  • Archean rocks are present in the districts of Jamui, Nawada, Munger, Banka, Bhagalpur, and Gaya.

Vindhyan Rock Group

  • The Vindhyan rock group, located in the southwestern parts of Bihar, consists of non-metallic minerals such as pyrite, mica, china clay, quartz, and slate.
  • Vindhyan rocks are found in the districts of Nawada, Jamui, Rohtas, and Aurangabad.

Key Minerals in Bihar

Minerals are essential for the industrialization and development of a state. Bihar is rich in various minerals, which are crucial for different industries. Here are the major minerals found in Bihar:

Iron-ore

  • Iron ore is found in the districts of Gaya, Bhagalpur, and Jamui.
  • The magnetite variety of iron ore is present in Gaya and Jamui districts.
  • The haematite variety is found in Bhagalpur district.

Bauxite

  • Bauxite is the primary ore used for making aluminum. It is not just a mineral but a rock composed mainly of hydrated aluminum oxides.
  • In Bihar, bauxite is found in the Kharagpur hills of Munger district, with estimated deposits of 1.5 million tonnes of high-quality bauxite.

Manganese

  • Manganese is found in the form of natural ash in the sedimentary rocks of the Dharwar period. It is usually found in minerals combined with iron, as it is not available as a free element in nature.
  • Pyrolusite and bronite are alloys of manganese.
  • Manganese is used in the production of iron and steel, as well as in making bleaching powder, insecticides, paints, and batteries.
  • Deposits of manganese are found in the districts of PatnaGaya, and Munger in Bihar.

Gold

  • Gold is a precious mineral used for making ornaments, as international currency, and in dentistry and carving.
  • In Bihar, gold deposits are found in the districts of Gaya, Nalanda, and Jamui.
  • According to the Geological Survey of India (GSI), Bihar holds about 57% of the country’s gold deposits.
  • The GSI has confirmed gold deposits in the Kabutra and Nakia hill regions of Rajgir, and in KarmatiaRani hillBadmaria, and Marhi hill in the Sono block of Jamui district.

Galena

  • Galena is an ore of lead used in nuclear energy, paint, and other chemical-based industries.
  • It is mainly found in the Abrakha region of Banka district in Bihar.

Coal

  • Coal deposits are found in the districts of Bhagalpur and Munger, located adjacent to the Rajmahal hills region in Jharkhand.
  • The Geological Survey of India (GSI) estimates 160 million tonnes of coal deposits in Bihar.

Limestone

  • Limestone is composed of calcium carbonate or a combination of calcium and magnesium, along with silica, alumina, iron oxides, phosphorus, and sulfur.
  • It is of sedimentary origin and primarily found in the Vindhyan rocks group in western Bihar.
  • Good quality limestone is found in the Rohtas hillsKaimur plateau, and Munger district.
  • The largest limestone deposits are in Rohtas district, including regions such as RohtasgarhRamdihraBanjari, and Dehri-on-Son.
  • High-quality limestone is used in the cement industry, while lower quality limestone is used in iron, sugar, and building construction.

Mica

  • Mica is a poor conductor of heat and electricity, making it useful in industries related to heat resistance and electrical insulation.
  • It is used in the rubber, paint, and electronics industries.
  • The mica belt in Bihar extends over 3,400 sq km with a width of 30 m, from the eastern part of Nawada to Jharkhand.
  • This belt includes areas such as ChakaiBatia, and Charka Pathar in Jamui and Nawada districts.
  • Bihar and Jharkhand are known for producing high-quality ruby mica, with other significant mica-producing areas including MungerBhagalpur, and Gaya districts.

Lead and Zinc

  • Found in the Banka and Rohtas districts. Lead is used in the iron and steel industry and is a poor conductor of electricity.

Beryllium

  • Located in the igneous rocks of Gaya district. Beryllium is primarily used as a moderator in nuclear reactors for atomic power generation, in the spring industry, and in the production of fluorescent lamps, ship carburettors, cyclotrons, and other applications.

Asbestos

  • A fibrous mineral made up of magnesium, silica, and water, with main types being Chrysotile and Amphibolite. Asbestos is predominantly found in Munger district, Bihar. 
  • It is highly resistant to fire and electricity, making it useful in fireproof and electrical insulation products. Applications include its use in airplanes, railway coaches, and fireproof suits for firefighters.

Pyrite

  • An iron sulfide mineral, pyrite is more commonly used in the production of sulfuric acid rather than in iron making due to its high sulfur content, which is detrimental to iron production. Sulfuric acid is used in various industries such as fertilizers, chemicals, rayon, petroleum, steel, and more. 
  • Elemental sulfur, derived from pyrite, is used in the manufacture of explosives, matches, insecticides, fungicides, and for vulcanizing rubber. Major deposits are found in the Sone valley, particularly in Amjhor, Rohtas district, where pyrite with 47% sulfur content is mined. 
  • The Central Government has established Pyrite Phosphate and Chemicals Limited in Amjhor. Pyrite is also found in other areas such as the upper Vindhyan rocks group and Kurari, Manda, and Kariria. Amjhor is known for its iron-pyrite deposits, covering an area of 109 sq km. According to the Indian Bureau of Mines report in 2017, Bihar holds about 95% of India's pyrite resources.

Saltpetre

  • Found in the forms of sodium nitrate and potassium nitrate, saltpetre is used in fertilizers, tree stump removal, rock propellants, fireworks, glass production, and steel softening. 
  • Major producers include Saraiya Pahari (Gopalganj) and Manjhi (Saran), with other significant production areas being Muzaffarpur, East Champaran, Saran, Darbhanga, Bhojpur, Gaya, and Munger districts.

Feldspar

  • Found alongside quartz in pegmatite rocks, feldspar is used in the ceramic, glass, and refractory industries. 
  • It is also used in the forms of moonstone and sunstone. Deposits are located in Gaya, Jamui, and Munger districts.

Quartzite

  • A hard, non-foliated metamorphic rock derived from sandstone, quartzite is used as a building material and for heat-resistant applications in various industries. 
  • Large deposits are found in the Kharagpur hills of Munger district and the hill ranges of Chakai in Jamui district, with other notable locations including Jamalpur, Lakhisarai, and Nalanda.

Fire Clay

  • Found in sedimentary rocks beneath coal deposits, fire clay is a refractory clay with low potash and soda content. 
  • It is used in blast furnaces, chimneys for mineral melting in factories, and boiler construction, with fire bricks being a common product made from fire clay. Major deposits are located in Purnea, Munger, and Bhagalpur districts.

China Clay (Kaolinite)

  • Formed by the erosion of feldspar in granite rocks, china clay or kaolinite is a fire-resistant material lacking potash and soda. It is used in ceramics, blast furnaces, fertilizers, textiles, paper, paints, medicines, beauty products, and cement industries. 
  • Deposits are found in Bhagalpur, Munger, Banka, and Vaishali districts.

Uranium

  • Uranium is a radioactive element found in igneous rocks.
  • It occurs in minerals such as pegmatite, pitchblende (uranite), and uranium compounds.
  • In Bihar, uranium is present in the mica mines of the Akbari hills in Gaya district and in pegmatite pores of Nawada district.
  • Significant deposits are also located along the boundary fault of the Magadha division.

Quartz

  • Quartz is primarily used in various industries, including the cement industry, refractory materials, iron-steel industry (especially in furnaces), electronics, and power industries.
  • In Bihar, quartz is found in Jamui, Gaya, and Nawada districts.

Monazite

  • Monazite is a mineral composed of thorium, uranium, cerium, and tantalum.
  • It is predominantly found in pegmatite rocks in the districts of Gaya and Munger in Bihar.

Slate

  • Slate stone is used for making decorative items and for various industrial purposes.
  • The Kharagpur hill region in Munger district is estimated to have about 2.53 million tonnes of black and coloured slate stone deposits.
  • Other notable areas include Dharhara and Kajra in Jamalpur town, also in Munger district.

Sand Stone

  • Sandstone is mainly used as decorative building material and in the glass industry.
  • In Bihar, it is primarily found in the Kaimur hills, which are known for their high silica content.

Steatite

  • Steatite, also known as soapstone, is primarily used in beauty products and the paint industry.
  • In Bihar, steatite is mainly found in the Shankarpur region of Jamui district.

Granite

  • Granite is a type of crystalline intrusive igneous rock with a granular and phaneritic texture, primarily composed of quartz and feldspar.
  • In Bihar, decorative granite (both black and coloured) is found in districts such as Bhagalpur, Nawada, Banka, and Munger.

Mineral Oil and Gas

  • There is potential for mineral oil and gas deposits in the north-western part of Bihar, particularly in the districts of Katihar and Purnea.

Barauni Oil Refinery

  • The Barauni Oil Refinery was established in July 1964 with collaboration from Soviet Russia and Romania.
  • It processes crude oil sourced from the Digboi refinery in Assam.

Mineral-Based Industries in Bihar

IndustriesLocation
Kalyanpur Cements LimitedBanjari (Rohtas)
Nirman Cements LimitedBihta (Patna)
Harabhara FertilizersDhutkagra (Sitamarhi)
Oil RefineryBarauni (Begusarai)

Important Minerals and their Locations in Bihar

MineralLocation
MineralGaya, Nawada, Munger, Jamui
Mineral oilMunger, Rajgir
PetroleumPurnea, Katihar and nearby regions
Glass stoneBhagalpur
PyritesAmjhor (Rohtas), Son valley, Banjari, Kuriari
MagnetiteRohtas, Kaimur, Bhagalpur, Banka, Nawada, Gaya, Jamui
PorcelainGaya, Jamui, Munger
Decorative StonesBanka, Jamui, Gaya
DolomiteRohtas
TinDeoraj and Kurkhand (Gaya)
Soap StoneGaya, Munger, Nawada
Kaolinite (China Clay)Bhagalpur, Munger, Banka, Vaishali
Silica SandNalanda, Bhagalpur, Jamui
Sand stoneJamui
BauxiteBanka, Rohtas

Energy Resources in Bihar

Energy resources refer to sources that can generate heat, power life, move objects, or produce electricity. These sources are categorized into conventional and non-conventional types.

Power Availability in Bihar

  • The Bihar State Electricity Board (BSEB), established on April 1, 1958, reported a power capacity of 3889 MW in March 2018, as per the Economic Survey 2018-19.
  • Power availability in Bihar has significantly improved, rising from 1712 MW in 2011-12 to 4535 MW in 2017-18, marking a growth of approximately 165 percent over six years.
  • In 2017-18, the top three districts for power consumption were Patna (4965 MU), Gaya (1522 MU), and Nalanda (1008 MU). Conversely, the lowest consuming districts were Sheohar (76 MU), Arwal (135 MU), and Sheikhpura (176 MU).
  • The average power consumption per person in India is 927 kWh per hour, while in Bihar, it is only 203 kWh per hour per person.

Power Transmission in Bihar

  • Power is transmitted to various consumer categories through a network that includes the transformation of high voltage power to lower voltage levels. This transmission network is crucial as it links the generation and distribution of electricity.
  • According to the Economic Survey 2018-19, Bihar's transmission system comprises:
    • 15,707 circuit km of Extra High Voltage (EHV) transmission lines
    • 142 grid substations with a total transformation capacity of 7710 MVA at 220/132 KV level and 12,680 MVA at 132/33 KV level

Institutional Structure of Bihar's Power Sector

The Bihar State Electricity Board (BSEB), established on April 1, 1958, under the Electricity Supply Act of 1948, was reorganized in November 2012 under the Bihar State Electricity Reforms Transfer Scheme 2012. The BSEB was divided into several companies, including:

  • Bihar State Power Holding Company Limited (BSPHCL) : This company coordinates the activities of the newly reorganized companies, handles disputes, and provides necessary support.
  • Bihar State Power Generation Company Limited (BSPGCL) : This company coordinates power generation activities, procures fuel, and settles disputes related to fuel transportation.
  • Bihar State Power Transmission Company Limited (BSPTCL) : BSPTCL is responsible for transmitting electricity within the state and developing an efficient intra-state transmission system.
  • North Bihar Power Distribution Company Limited (NBPDCL) and South Bihar Power Distribution Company Limited (SBPDCL) : These companies are tasked with distributing electricity to consumers and implementing rural electrification schemes.

Thermal Power Stations in Bihar

Thermal power primarily relies on coal as its energy source. Key thermal power stations in Bihar include:

  • Barauni Thermal Power Station (BTPS) : Located in Barauni, Begusarai district, this coal-based thermal power plant was established in 1962 with Russian collaboration. Initially consisting of seven units, five are no longer operational. 
  • Recent capacity additions include a new unit in January 2018 and Unit 9 in March 2018. Fuel for the plant is sourced from the Barauni Oil Refinery.

Thermal Power Projects in Bihar

  • Barauni Thermal Power Station: Initially owned by the Bihar Government, this power station was handed over to the National Thermal Power Corporation (NTPC) after a Cabinet approval on April 17, 2018, and a subsequent MoU on May 15, 2018.
  • Kahalgaon Super Thermal Power Station: Located in Bhagalpur district, about 5 km south of Sabour, this station was commissioned in 1979 and became operational in 1992. It has a total installed capacity of 2340 MW and sources its coal from Jharkhand.
  • Kanti Thermal Power Station: Situated in the Kanti block of Muzaffarpur district, this coal-based power station was established in 1985 and has a capacity of 220 MW (2 units of 110 MW each). It supplies electricity to northern Bihar and was handed over to NTPC on May 15, 2018.
  • Barh Super Thermal Power Station: Located in Barh, Patna district, this NTPC-owned station was commissioned in October 2013, with commercial operations starting in November 2014. It has a total installed capacity of 3300 MW.
  • Patna Thermal Power Plant: An old and small power plant located in Karbigahiya, Patna district, it is now under the management of Bihar Rajya Vidyut Parishad.
  • Nabinagar Stage-1 Thermal Power Project: Located in Aurangabad district, this project has a generation capacity of 1980 MW (660 MW × 3 units) and was handed over to NTPC on a 33-year lease on May 15, 2018.
  • Buxar Thermal Power Project: An agreement for this project was signed in November 2015 with Saluj Hydroelectric Corporation for constructing a Greenfield power project at Chausa, Buxar, with a total capacity of 1320 MW (2 units of 660 MW each).
  • Ultra Mega Power Project (Banka): A proposed thermal power plant with an installed capacity of 4000 MW.

Hydro-Power Projects in Bihar

  • Kosi Hydel Power Station (KHPS): Located in Birpur, Supaul district, this station was commissioned between 1970 and 1978.
  • Son Western Link Canal Hydroelectric Project: Situated in Dehri-on-Son, Rohtas district, this project was established in 1991-92.
  • Eastern Gandak Canal Hydroelectric Project: Located in Valmiki Nagar, West Champaran district, this project was commissioned in 1996-97.
  • Son Eastern Link Canal Hydroelectric Project: This project is situated in Barun, Aurangabad district, and was set up in 1996-97.
  • Agnoor Hydroelectric Project: Located in Arwal district, this project was commissioned during 2004-05.
  • Dhelabagh Hydroelectric Project: Situated in Rohtas district, this project was commissioned in 2006-07.
  • Triveni Link Canal Hydroelectric Project: Located in West Champaran, this project was commissioned between 2007 and 2008.
  • Nasirganj Hydroelectric Project: Situated in Rohtas district, this project was commissioned between 2007 and 2008.
  • Jainagra Hydroelectric Project: Also located in Rohtas district, this project was commissioned between 2007 and 2008.
  • Sebari Hydroelectric Project: Situated in Rohtas district, this project was commissioned between 2008 and 2009.
  • Shirkhinda Hydroelectric Project: Located in Rohtas district, this project was commissioned between 2009 and 2010.
  • Belsar Hydroelectric Project: This project is situated in Arwal district and was commissioned between 2011 and 2012.
  • Arwal Hydroelectric Project: Also located in Arwal district, this project was commissioned between 2011 and 2012.

Bihar State Hydro Power Policy, 2012

The Government of Bihar introduced the Hydro Power Policy in 2012 to harness available renewable energy sources. The main goals of this policy include:

  • Increasing the overall power generation capacity of the state, with a focus on hydro power.
  • Achieving an optimal thermal-hydro generation mix of 60:40.
  • Encouraging Independent Power Producers by providing a supportive policy framework.

Bihar State Hydroelectric Power Corporation Limited (BSHPC)

Established in 1958, BSHPC is responsible for overseeing the expansion of hydroelectric power projects in Bihar. The corporation is actively exploring opportunities for more minor hydel power projects within the state.

New Power Projects in Bihar

Nabinagar Stage-1 Plant

  • Location: Aurangabad district
  • Expected Completion Dates:
  • Unit 1: December 2018
  • Unit 2: March 2019
  • Unit 3: October 2019

Power Project in Buxar

  • Location: Chausa, Buxar
  • Capacity: 2 units of 660 MW each
  • Expected Completion: 2022

Ultra Mega Power Project

  • Proposed Location: Banka
  • Estimated Capacity: Approximately 4000 MW
  • Bihar's Allotment: 2000 MW

Important schemes/projects are as follows:

Integrated Power Development Scheme (IPDS)

  • Launched in 2014, this scheme aims to ensure 24×7 power supply and reduce Aggregate Technical and Commercial Losses (AT&C) by involving the private sector.
  • It includes strengthening the sub-transmission and distribution network, installing solar panels on government buildings with net-metering, and metering feeders, distribution transformers, and consumers in 133 statutory towns (excluding six towns in distribution franchise areas).

Deendayal Upadhayay Gram Jyoti Yojana (DDUGJY)

  • Initiated by the Central Government in 2014, this scheme, which includes the Rajiv Gandhi Grameen Vidyutikaran Yojana, aims to enhance rural electrification.
  • Prime Minister Narendra Modi inaugurated this scheme in Patna.

Mukhyamantri Vidyut Sambandh Nischay Yojana

  • This scheme focuses on providing electric connections to all Below Poverty Line (BPL) households under Rural Electrification.
  • It also extends electric connections to all rural Above Poverty Line (APL) households.

Ujwal DISCOM Assurance Yojana (UDAY)

  • Launched in 2017 by the Central Ministry of Power, the UDAY scheme aims for the operational and financial turnaround of power Distribution Companies (DISCOMs).
  • The scheme includes various activities to improve operational and financial efficiencies, targeting a reduction in Aggregate Technical and Commercial Loss (AT&C) to 15% and eliminating the gap between Average Cost of Supply (ACS) and Average Revenue Realised (ARR) by 2019-20.

Village Electrification

  • The Rajiv Gandhi Gramin Vidyutikaran Yojana (RGGVY), initially approved by the Central Government for the 11th and 12th Five Year Plans, has been incorporated into a new scheme called the Deen Dayal Upadhyay Gramin Vidyutikaran Yojana (DDUGVY).
  • The aim of this scheme is to achieve rural electrification by completing the targets set under RGGVY and carrying forward the approved budget from RGGVY to DDUGVY.

Har Ghar Bijli under Saubhagya

  • The Saubhagya scheme, also known as the Pradhan Mantri Sahaj Bijli Har Ghar Yojana, aims to provide energy access to all by ensuring last-mile connectivity and offering electricity connections to all remaining un-electrified households in both rural and urban areas.
  • ‘Har Ghar Bijli’ is one of the seven resolves of the Saat Nischay (Seven Resolves) of the State Government, with an aim to provide electricity connection to each willing household.

Developments in Power Sector by Bihar Government

According to the Economic Survey of 2018-19, recent advancements in Bihar's power sector include:

  • Spot Billing: Implemented for all state consumers using Android mobile devices and Bluetooth printers.
  • Tariff Rationalisation: Bihar has led India by adopting 'Tariff Rationalisation,' basing the 2017-18 tariff order on 'Zero subsidy' to reflect true supply costs.
  • Power Theft Redressal via WhatsApp: A dedicated mobile number for reporting power theft has been introduced statewide.
  • Project Monitoring App: The 'DC-Nine' app has been developed for real-time monitoring of ongoing power distribution projects.
  • Toll Free Number-1912: A 24/7 toll-free complaint resolution service for consumers has been established.
  • Advanced Transmission Techniques: New transmission projects are using advanced methods like Sub-station Automation System (SAS) and Gas Insulated System (GIS).
  • GIS Mapping: Completed mapping of power lines and substations at various voltage levels using GIS technology.

Renewable Energy Sources in Bihar

Bihar has a renewable energy potential exceeding 12.559 GW, which is yet to be fully utilized. There is a proposal to invest ₹20,000 crore in the Renewable Energy Sector over the next five years, aiming to generate approximately 3,433 MW of clean energy for the state.

This renewable energy will include:

  • 2,969 MW from solar energy
  • 244 MW from biomass
  • 220 MW from small hydroelectric power

Bihar Renewable Energy Development Agency (BREDA)

BREDA is tasked with developing projects that utilize non-conventional energy sources for electricity production.

Some important schemes implemented by BREDA include:

  • Solar Photovoltaic Schemes
  • Bureau of Energy Efficiency Schemes

Bihar Policy for Promotion of New and Renewable Energy Sources, 2017

  • The Bihar Policy for the Promotion of New and Renewable Energy Sources was introduced in 2017 to enhance the development of renewable energy in the state. This policy replaced the earlier 2011 policy.
  • The primary objective of the 2017 policy is to achieve specific targets for installed capacity by 2022, including 2969 MW of solar energy, 244 MW of biomass energy, and 220 MW of small hydropower in Bihar.
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