Many of us, as students, were privileged to listen to the words of His Majesty the Fourth Druk Gyalpo during his visits to schools and colleges. These visits were far more than ceremonial occasions. They were intimate moments where the love and concern of the Throne for every citizen, young and old, became deeply tangible. More importantly, they were occasions when His Majesty spoke of the nation’s aspirations, opportunities, and challenges, planting seeds of awareness and responsibility in our hearts. These were moments that awakened us, moments that left a lasting imprint on our minds and souls.
I vividly remember one such occasion when His Majesty remarked, “Just as the Middle East has oil, Bhutan has water.” At the time, as a young student, the weight of those words eluded me; their full meaning seemed beyond my understanding. Today, as we witness the turbines of Bhutan’s hydropower projects turning tirelessly to generate electricity for domestic use and for export, the profound foresight of that statement becomes crystal clear.
In every megawatt of energy produced, in every river harnessed with care and precision, we see the vision of a Great Leader—a leader who could see the future of his nation, a leader who understood that Bhutan’s natural resources were not merely gifts, but instruments for sustainable development, economic prosperity, and national pride. His Majesty’s vision was not confined to the present; it was a blueprint for generations to come, reminding us that true leadership is measured not by the accolades of today, but by the enduring legacy it leaves behind.
Today, hydropower is the cornerstone of Bhutan’s national revenue and economic growth. As 2025 began, the country’s total installed hydropower generation capacity had reached approximately 2,453 megawatts (MW), reflecting decades of strategic investment and development. It is more than just an energy source; it embodies Bhutan’s vision of leveraging natural resources responsibly to drive sustainable economic prosperity, while also reinforcing regional energy security through power exports.
Bhutan’s journey into hydropower was initiated under the foresight and vision of His Majesty the Fourth Druk Gyalpo, who laid the foundational framework for the country’s modern energy sector. Guided by a commitment to sustainable development and economic self-reliance, Bhutan gradually transformed its abundant water resources into a strategic national asset.
How did it start?
The inception of Bhutan’s ambitious pursuit of clean energy finds its defining moment in the construction of the Chukha Hydropower Project. The visionary roadmap for this monumental initiative began to take shape during the historic visit of Indian Minister for External Affairs, Sardar Swaran Singh, on February 4, 1974. On this auspicious occasion, India pledged its unwavering support for the construction of the Chukha Hydroelectric Project, marking a pivotal milestone in the growing partnership between the two nations.
Following detailed deliberations, it was unanimously decided that a Bhutanese delegation would travel to New Delhi in March to finalize the foundational aspects of the agreement—a decisive step toward realizing this transformative endeavor. The project was held in the highest regard by Bhutan, and India pledged full cooperation to ensure its timely progress, highlighting the profound significance attached to the initiative.
The collaboration deepened with the visit of Indian Power Minister P. Ranwchandran on April 7, 1979. During an audience with His Majesty the King, assurances were given regarding the timely commissioning of the Nu. 150 crore Chukha Hydel Project by 1984, a pledge that reflected a shared vision and steadfast commitment between the two nations.
True to this commitment, on October 21, 1984, Indian President R. Venkataraman inaugurated the Chukha Hydroelectric Project, heralding Bhutan’s crowning achievement in energy development. Already emerging as the nation’s largest employer and a major exporter, the project was set to redefine Bhutan’s energy landscape. The first generator was commissioned in September 1986, and with the installation of the fourth and final unit, the project achieved a total capacity of 336 megawatts.
Demonstrating strategic foresight, Bhutan retained a portion of this energy output for domestic consumption, while exporting the surplus to fuel industries across Bihar, West Bengal, Sikkim, and southern Orissa. In doing so, the project became a beacon of progress and prosperity, extending its impact far beyond the borders of the Land of the Thunder Dragon.
The Chukha Hydropower Project catalyzed a monumental leap in Bhutan’s economy, laying the groundwork for subsequent hydropower initiatives. Today, revenue from hydropower remains the cornerstone of Bhutan’s economic prosperity, serving as the nation’s primary source of income.
During the inauguration, President Venkataraman eloquently remarked that the project symbolized the enduring friendship between India and Bhutan—a bond first forged in the 1950s between His Majesty, the Third Druk Gyalpo, Jigme Dorji Wangchuck and Prime Minister Jawaharlal Nehru. The Chukha Project thus stands not only as a triumph of engineering and economic vision but also as a lasting testament to bilateral cooperation and shared progress.
His Majesty the King, in his remarks, spoke about the strength and depth of Indo-Bhutan relations, emphasizing that the successful completion of the Chukha Hydropower Project had elevated the bilateral partnership to a “state of full maturity.” Chukha was, at the time, the largest and most ambitious collaborative project undertaken between the two nations. Its success not only underscored India’s critical role as a partner in Bhutan’s socio-economic development but also set a benchmark for future cooperation in the energy sector.
Beyond its immediate economic and technical achievements, the project symbolized the trust, mutual respect, and shared vision that defined the bilateral relationship. Chukha’s completion provided Bhutan with a reliable and substantial source of clean energy, while also establishing a model for long-term, sustainable hydroelectric collaboration. The experience, expertise, and institutional knowledge gained through this venture paved the way for subsequent hydropower projects.
In the Chukha Hydropower Project, and indeed throughout Bhutan’s subsequent ventures into hydropower, we witness the extraordinary vision and foresight of a great leader, one who understood, long before it became a global imperative that Bhutan’s rivers were a resource as valuable to the nation as oil is to the Middle East.
At a time when the world had yet to fully comprehend the urgency of transitioning to sustainable energy, His Majesty recognized that water represented a source of clean, renewable, and enduring prosperity, a natural asset capable of driving the nation’s long-term economic and social development.
It was as if His Majesty anticipated a future in which clean energy would no longer be a mere option, but an essential necessity for a world confronting the twin challenges of climate change and energy insecurity, and striving for sustainable growth. Through his vision, Bhutan not only harnessed its rivers to meet domestic energy needs but also positioned itself as a regional exemplar in renewable energy development, exporting clean power to neighboring countries and demonstrating how a nation can align economic progress with environmental stewardship.
This prescient leadership laid the foundation for Bhutan’s transformation into a hydropower powerhouse, ensuring that the country’s natural resources continue to benefit both present and future generations, and cementing His Majesty’s legacy as a true architect of sustainable development.
Ugyen Tenzin
Business Bhutan
