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30-year annual compensation set for land affected by power lines starting next year

December 10, 2025
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Gem Tshering, Energy and Natural Resources Minister

Starting next year, landowners affected by transmission lines and electric poles will receive annual compensation for 30 years. The amount will be 30 per cent of the land value. This is one of the measures the energy and natural resources minister presented at the National Assembly today. The issue has remained under discussion since last year’s summer session, with several MPs repeatedly raising concerns on behalf of affected landowners.

Presenting the ways forward, the minister said relocating transmission infrastructure is not feasible, citing the high costs involved and the risk of disrupting power supply. The minister, instead, proposed acquiring the land on lease.

“The compensation will not be given at once but over 30 years. If landowners want full compensation upfront, they must hand over the land to BPC. Therefore, to benefit the people, we plan to acquire the land on lease and provide compensation every year,” said Gem Tshering, Energy and Natural Resources Minister.

For landowners who have only a single plot, the minister added that land substitution will be provided. Those with multiple plots can choose between cash compensation and land substitution. However, he clarified that cash compensation will be considered only as a last resort, as it could impact electricity tariffs.

According to the minister, providing full cash compensation could increase electricity tariffs by around 6 per cent, while the lease agreement would increase tariffs by only about 0.3 per cent.

The minister said these new measures will be implemented starting next year.

Sangay Chozom

Edited by Sonam Pem

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