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Department of Water and ADB urges agencies to investment in water sector climate solutions

March 24, 2025
in Environment, Other Stories
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The Department of Water and the Asian Development Bank are urging local and international agencies to invest in climate adaptation plans in Bhutan. During a dialogue on the draft “Bhutan’s Adaptation Investment Plan for the Water Sector”, they said that USD 830 M which is over Nu 71bn is required to fund projects aimed at combating climate change in the country. They said investors, in return, will be benefitted financially.

The Adaptation Investment Plan has 11 investment packages. These packages involve projects that focus on water and disaster management, forestry, hydropower, agriculture, research and policy-making among others.

“We have packages centred on nature-based solutions like forestry, spring shed management, and river basin management. These aim to enhance water supply resilience in a changing climate. We also have packages designed to improve decision-making through decision support tools, climate information services, early warning systems, and, importantly, packages focused on research, skill development, and enabling policies,” said Nanki Kaur, the Senior Climate Change Specialist at ADB.

The packages are set to be implemented by the end of this Five-Year Plan with a possibility of an extension to the next Five-Year Plan.

Various stakeholders such as JICA, UNDP, Ministry of Finance, Bhutan Chamber of Commerce and Industry and others, expressed their interest in investment.

Alongside investments from private investors, the government will also contribute to the funding.

“Bhutan has identified seven sectors to prioritise for climate change mitigation and adaptation. Due to limited funding, we must prioritise. Water is the focus, as it impacts all sectors and offers cost-cutting opportunities. We aim to develop another investment plan that includes both public and private sector funding and a business model,” said Tenzin Khorlo, the Chair of Bhutan’s Adaptation Investment Plan for the Water Sector.

The draft will be finalised by June this year.

Singye Dema

Edited by Sangay Chezom

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