Druk Green Power Corporation Ltd. (DGPC) and Tata Power Company Ltd. have signed an agreement to develop 5000MW of clean energy projects in Bhutan, focusing on hydropower, pumped storage, and solar energy. This partnership aims to enhance regional energy security and accelerate the transition to renewable energy

The collaboration is looking to develop 2000MW of hydropower, 2500MW of pumped storage, and 500MW of solar projects. These efforts will ensure a stable energy supply for Bhutan and India, leveraging Bhutan’s hydroelectric potential to meet the region’s growing energy needs.

The Memorandum of Understanding (MoU) was signed in the presence of Bhutan’s Prime Minister, Dasho Tshering Tobgay, and senior officials from both nations. Dr. Praveer Sinha, CEO and MD of Tata Power, stated: “Together, we are building 5000MW of clean energy capacity that will help harness Bhutan’s hydropower potential and support both countries’ growing energy demands with reliable and round-the-clock clean energy supply.”

Projects under the partnership will include major hydropower developments such as the 1125MW Dorjilung Hydropower Project and the 1800MW Jeri Pumped Storage Project. Tata Power Renewable Energy Limited will also develop 500MW of solar projects.

DGPC’s MD, Dasho Chhewang Rinzin, emphasized the significance of the agreement, saying, “This strategic partnership with Tata Power is in keeping with Bhutan’s aspirations to maximize benefits to the people of Bhutan through fast-tracking the harnessing of its huge renewable energy resources for its economic development and long-term energy security.”

The collaboration builds on a longstanding relationship between the two companies, which began with the development of the 126MW Dagachhu Hydropower Plant in 2008. Tata Power also operates the 1,200km Tala transmission line, supplying clean energy from Bhutan to India.

This partnership aligns with Bhutan’s goal to expand its total generation capacity to 25,000MW by 2040, aiming to diversify beyond traditional hydropower into solar and geothermal energy.