TheUltimateWinner
In non-underlined part says that -->
important public places had installed electric lighting.
This one is the active sentence. It seems that ''important public places'' took responsibility to install electric lighting! Shouldn't it be an 'authority' who took the responsibility to install electric lighting?
You've phrased this question as "Isn't this officially correct wording wrong?" You already know the answer to this: No, the official sentences are not wrong.
The phrasing of these questions really does matter, as far as getting the questioner into the right mindset for productive learning. Attacking the official answers is pointless to begin with (they aren't going to be wrong), and adopting a pose of opposition will just make it more difficult to learn any take-away lessons.
Instead, for any parts of the correctly written sentence (= the correct answer and/or the non-underlined part) that you don't understand, it's much better to ask: "I thought _____.
Where am I going wrong? / What part of my understanding is incomplete or incorrect?"
This is the productive line of questioning here, because it's the actual, literal question you're trying to answer—as opposed to "Shouldn't this correct sentence say [something it doesn't say]?", to which the literal answer is just "nope".
In any case, here's the deal with that part of the sentence: There are plenty of instances in which the essential idea is that something is said or done for, or on behalf of, an institution/corporation/government/other collective entity—and in which the specific identity of the person who performs the action (or publishes the statement, or whatever other thing) is plainly of no importance whatsoever, and may not even be known.
e.g.,
The company said in a statement that...The University believes in equal opportunity for xxxx and yyyy...etc.
In instances like these, we definitely DO NOT WANT to include the utterly irrelevant specific identity/-ies of random functionaries who perform these actions on behalf of an institution—unless those identities are of essential importance for some reason (e.g., if a specific individual is telling lies about institutional values).
The operative principle here is very simple:
Good sentences say stuff that matters, and don't say stuff that doesn't matter. Mentioning the irrelevant identity of some specific random workaday person who performs some institutional function is ACTIVELY BAD!
Doing so creates an INFERIOR version of the sentence—because that version of the sentence will mislead readers into (reasonably) assuming that the person's identity is stated because it somehow matters. Readers will then have to consider and ultimately reject that inference before they can correctly understand the actual point. (...and there's also the issue of all the extra wordiness...)
Many sentences of this sort can be rendered in the passive voice, so that no subject even has to be written for the verb/action in question.
When that's not feasible for whatever reason, phrasings such as the above—with the institution/collective entity itself as the subject—are acceptable phrasings.
You're correct, by the way, that universities themselves don't and can't have core values; that companies themselves don't and can't make statements; and that (physical) public PLACES don't and can't install their own electric fixtures.
Sure. These are all absurdities if taken completely literally to the tiniest detail
—and that's exactly why there's no problem with the more compact wordings that fudge a little bit!! This is PRECISELY WHY it's totally okay to write "the company said..." or "public places installed...": because in each case there is one, and only one, actual meaning that's possible. If taking a shortcut in wording actually leads to genuine ambiguity, then you can't do it, and you need to say everything perfectly literally.
By the way—Note how the not-quite-literal phrasing appears in the non-underlined part. That's not a coincidence.
When this happens, any such 'compromise wording' should
always appear outside the underline, because no responsibly written standardized test will require you to actively choose such a thing over other options. (The decisions actually required of you will be between right and wrong, or between objectively superior and objectively inferior.)