We investigate the modulation instability of quasi-plane-wave optical beams in biased photorefractive-photovoltaic crystals by globally treating the space-charge field. The modulation instability growth rate is obtained, which depends on the extal bias field, on the bulk photovoltaic effect, and on the ratio of the optical beam’s intensity to that of the dark irradiance. Our analysis indicates that this modulation instability growth rate is identical to the modulation instability growth rate studied previously in biased photorefractive-nonphotovoltaic crystals when the bulk photovoltaic effect is negligible for shorted circuits, and predicts the modulation instability growth rate in open- and closed-circuit photorefractive-photovoltaic crystals when the extal bias field is absent.