Defence Estates Office Invites Bids for Solar Power Project at Panchanpur Air Force Station in Bihar; Deadline October 22, 2026

The Defence Estates Office (Jharkhand and Bihar Circle / Defence Estates Officer Danapur, under Directorate General Defence Estates HQ) has issued an open tender invitation for the development of a utility-scale solar power plant project at the Panchanpur Air Force Station in Gaya district, Bihar. Formally ePublished on September 22, 2026, the project carries an estimated value of ₹233.75 Crore. Eligibility to participate in the tender is restricted strictly to Central Public Sector Undertakings (CPSUs) and Statutory Bodies. This restriction aligns with central policy framework guidelines designed to utilize defence-owned lands through public sector enterprises backed by specialized Viability Gap Funding (VGF) mechanisms. Bidders have until October 22, 2026, to complete online submissions.

Project Scope & Location Context

Site Description, History & Logistical Context

The project is situated at the Panchanpur Air Force Station in Gaya district, Bihar. The site was originally developed during World War II as a military airstrip and remained unutilized for decades following the end of the conflict.

Of the original 800 acres owned by the Ministry of Defence at Panchanpur, 300 acres were previously transferred for the establishment of the Central University of Bihar (CUB). The remaining 500 acres consist of unutilised defence land that has remained uncultivated and unsuitable for agricultural operations. Historically, the only temporary utilization of this remaining tract occurred in 1971–72, when special camps were set up on the land to temporarily shelter refugees from East Pakistan (now Bangladesh).

The Panchanpur site possesses strong regional transport and logistical connectivity. It is linked directly to National Highway 22 (NH-22 / Dobhi-Patna Road) and is situated in close proximity to the Grand Chord railway line at Gaya Junction as well as Gaya International Airport.

This development further strengthens Gaya’s position within Bihar’s emerging solar landscape, where other utility-scale projects—including the Solar Energy Corporation of India’s (SECI) interstate transmission system (ISTS)-connected 60 MW AC / 84 MWp solar PV project—are expanding clean power generation capacity.

Project Parameters

• Location: Panchanpur Air Force Station, Gaya District, Bihar
• Tender Category: Works
• Product Category: Solar Installation and Products / Power & Energy Projects
• Estimated Tender Value: ₹233.75 Crore (₹2,33,75,00,000)

Bidding & Tender Details

Technical and Financial Specifications

• Tender Reference Number: RFP-DNR-SOLAR/DEO/DNR/4
• Tender ID: 2026_DGDE_927244_1
• Eligible Bidders: Restricted strictly to Central Public Sector Undertakings (CPSUs) and Statutory Bodies, in accordance with national defence land solar deployment mandates.
• Financial Terms:
  • Tender Fee: ₹10,000
  • Earnest Money Deposit (EMD): ₹2,33,75,000 (1.0% of the total estimated tender value)
• Submission System: Two-cover bidding system:
  • Cover 1: Fee / Pre-Qualification / Technical documentation
  • Cover 2: Financial (BOQ) documentation
• Bid Validity Period: 180 days

Schedule of Key Dates

Background & Defence Land Renewable Initiatives

Armed Forces Land Optimisation Strategy

This procurement initiative forms part of a broader, structured strategy by the Armed Forces to optimize approximately 46,000 acres of unutilised defence land across India over a 3 to 5-year timeline. The Ministry of Defence is making land parcels available to central and state public sector entities for green energy initiatives, including ground-mounted solar power plants, biogas units, afforestation, and floriculture projects aimed at earning carbon credits. Implementation is frequently carried out through structured partnerships with PSUs, such as NTPC Green.

Policy Objectives

Deploying solar infrastructure on unutilised defence land preserves the geographic and legal integrity of government land holdings. It prevents physical encroachment on vacant defense tracts while supporting national clean energy targets without requiring permanent military infrastructure modifications.

Framework under National Solar Mission (JNNSM)

The Panchanpur tender operates under regulatory and policy frameworks established by the Ministry of New and Renewable Energy (MNRE) under the Jawaharlal Nehru National Solar Mission (JNNSM):

• 300 MW Defence Establishment Scheme (Batch-IV of Phase-II/III): Designed specifically for Ministry of Defence establishments (Army, Navy, Air Force, Defence PSUs, and Paramilitary Forces). This scheme provides Viability Gap Funding (VGF) up to ₹2.5 Crore/MW for projects up to 5 MW (and structured VGF for larger projects) with a mandatory Domestic Content Requirement (DCR) for solar cells and modules.
• 1,000 MW CPSU Scheme (Batch-V of Phase-II): Enables Central Public Sector Undertakings to build grid-connected solar power projects for self-use, third-party sale, or utility supply. The scheme provides fixed VGF support of ₹1 Crore/MW when domestically produced cells and modules are utilized.

Official Tender & Bidding Access

• Official eProcurement Portal Link: Government of India eProcurement Portal – Panchanpur Solar Tender
• Tender ID: 2026_DGDE_927244_1
• Tender Reference Number: RFP-DNR-SOLAR/DEO/DNR/4
• Issuing Authority: Defence Estates Office, Danapur (Directorate General Defence Estates)
• Official Tender Title: Development of Solar Power Plant at Panchanpur AF in Dist Gaya Bihar (Only for CPSU and Statutory Body)
• Bid Submission Deadline: October 22, 2026, at 05:00 PM