As Bhutan accelerates industrial development, environmental regulators are stepping up oversight to ensure economic growth does not compromise the country’s commitment to conservation and sustainable development.
The Department of Industry (DoI) inspected 154 industrial and delegated activities during the 2025–26 fiscal year as part of strengthened efforts to monitor compliance with environmental regulations and ensure industries meet conditions set under their Environmental Clearances (ECs). Officials said stronger monitoring has become increasingly important as new industrial parks come into operation and existing industrial estates expand.
Of the total inspections, 41 were conducted in Thimphu, while 113 were carried out across other parts of the country. The inspections focused on environmental management plans, pollution control measures, waste management systems and adherence to conditions specified in environmental clearances.
Although inspections declined slightly from the previous year, the department said environmental oversight remains significantly stronger than in earlier years.
Monitoring increased from 103 inspections in 2022–23 to 106 in 2023–24, before rising sharply to 175 inspections in 2024–25. The 154 inspections conducted in 2025–26 represent a decline of around 12 percent from the previous year but remain higher than earlier levels.
“The overall trend indicates strengthened compliance monitoring efforts over time, reflecting sustained regulatory oversight and compliance monitoring,” the DoI stated.
The department has also strengthened on-site monitoring through dedicated Environment Technicians stationed at Pasakha Industrial Estate (PIE) and Norbugang Industrial Park (NIP). The technicians conduct regular inspections to identify violations and ensure industries comply with environmental requirements.
During the reporting year, industries in Pasakha Industrial Estate were fined Nu 340,000 for environmental non-compliance. Besides financial penalties, industries found violating environmental conditions were required to take corrective measures within specified timelines. Some were instructed to reduce production capacity temporarily until deficiencies were addressed to minimise risks to public health and the environment.
A major area of concern involved fugitive emissions, particularly dust and particulate matter released from industrial activities.
In contrast, no environmental fines were imposed at Norbugang Industrial Park during the period. The department said industries there responded proactively to compliance notices and implemented corrective measures before penalties became necessary.
Beyond inspections, the department continued scientific monitoring of ambient air quality in major industrial areas, measuring PM10 and PM2.5 levels—fine particulate pollutants linked to respiratory and cardiovascular health risks.
Monitoring at Pasakha Industrial Estate, Bhutan’s largest industrial hub, showed strong seasonal variation. During winter, particulate levels reached their highest point, with PM10 recording 252 micrograms per cubic metre (µg/m³) and PM2.5 reaching 140 µg/m³. The department attributed the higher pollution levels to industrial emissions, increased heavy vehicle movement and dry winter conditions with limited rainfall.
With the arrival of the monsoon, particulate concentrations declined significantly as rainfall helped suppress dust and remove pollutants from the atmosphere.
However, despite seasonal improvements, particulate levels periodically exceeded Bhutan’s national 24-hour ambient air quality standards, indicating that air pollution remains a continuing challenge around industrial zones.
The department said sustained monitoring and stronger compliance measures will be necessary to reduce emissions and improve air quality over the long term. Meanwhile, baseline air quality monitoring has begun at Norbugang Industrial Park in Samtse, which recently entered operation.
With five ferro-alloy industries currently functioning, winter monitoring recorded PM10 levels of 84 µg/m³ and PM2.5 levels of 92.22 µg/m³. Officials observed that particulate levels declined with the onset of the monsoon despite industries continuing operations.
Unlike Pasakha, where industrial emissions are the main source of particulate pollution, Norbugang’s current air quality challenges are linked largely to fugitive dust from unpaved internal roads and ongoing construction activities. The department noted that the industrial park is still in its development phase, with road blacktopping and supporting infrastructure under progress.
As Bhutan expands its industrial base under the 13th Five-Year Plan, environmental monitoring is expected to become an increasingly important pillar of industrial policy.
With new industrial parks planned and manufacturing activity increasing, officials emphasised that regular inspections, scientific monitoring and strict enforcement will be essential to protect public health while enabling sustainable economic growth. The challenge for Bhutan’s industrial future is clear: ensuring that factories, investments and jobs grow without weakening the environmental values that remain central to the country’s development philosophy.
Tashi Namgyal, Thimphu














