The construction of a hydropower project with a capacity of 100–150 megawatts is set to begin by the end of next year. Towards this, the Druk Green Power Corporation signed a Memorandum of Understanding with PTC India Limited in the capital yesterday. This collaboration will also contribute to Bhutan’s goal of achieving 25,000 megawatts of generation capacity by 2040.
The hydropower project will be finalised within the next three months.
PTC India Limited has been a key partner in Bhutan’s power sector. The new MoU is expected to further strengthen the energy trade relationship between DGPC and PTC, spanning over 25 years. It will also support both the export of surplus electricity from Bhutan to India and the recent import of power during winter months.
“With the recent growth in industries, along with our commitment and the electricity requirements of the Gelephu Mindfulness City, we are expecting a significant rise in domestic demand reaching around 4,500 megawatts by 2040,” said Dasho Chhewang Rinzin, Managing Director, Druk Green Power Corporation.
The managing director added that to meet the growing demand, Bhutan is focusing on two major ways: investing in solar energy and opening the power sector to Foreign Direct Investment.
“These MOUs are a first stepping stone to get projects started. For most of the projects we are currently working on, we have signed MOUs with Adani, Tata Power, PTC India, GMR, and Ambani, and we have signed quite a lot of MoUs. About 12,000 or 13,000 MW worth of MoUs just now.”
He further added that the next step is to begin on-site construction.
This MoU sets the foundation for enhanced Bhutan-India energy collaboration and reinforces DGPC’s commitment to building expertise and capacity in Bhutan’s hydropower sector through such partnerships.
Kinzang Lhadon
Edited by Sonam Pem
