In a defining moment for Bhutan’s energy future, the foundation stone for the 570 MW Wangchhu Hydroelectric Project was laid, signalling the start of an ambitious 5,000 MW hydropower partnership that could reshape the kingdom’s economy, strengthen energy security, and cement Bhutan’s position as a regional renewable energy powerhouse.
The milestone follows the formalization of a strategic partnership between Druk Green Power Corporation Limited (DGPC) and India’s Adani Power Limited, sealed through the signing of a Memorandum of Understanding (MoU) to jointly develop up to 5,000 MW of hydropower projects across Bhutan. The agreement marks one of the largest private-sector-linked hydropower collaborations in Bhutan’s history.
The MoU was signed by Dasho Chhewang Rinzin, Managing Director of DGPC, and Mr. Anil Sardana, Managing Director of Adani Power Limited, establishing a long-term framework for cooperation in identifying, developing, and investing in hydropower projects that align with Bhutan’s energy policies and sustainability goals. The partnership combines DGPC’s deep local expertise with Adani’s experience in large-scale infrastructure development and regional power markets—an alliance designed to accelerate project delivery and unlock scale.
The symbolic and strategic turning point came when Prime Minister Dasho Tshering Tobgay and Mr. Gautam Adani, Chairman of the Adani Group, jointly laid the foundation stone for the Wangchhu project, the first venture under the 5,000 MW plan. Located downstream of the 1,020 MW Tala Hydropower Plant in Chhukha Dzongkhag, Wangchhu represents both continuity and transformation—building on Bhutan’s hydropower legacy while opening the door to a new generation of projects.
“This marks a new chapter in Bhutan’s energy future,” said Dasho Chhewang Rinzin. “Through this partnership, we will unlock Bhutan’s vast hydropower potential in a manner that ensures sustainable growth, long-term revenue generation, and regional energy security.”
For Bhutan, the implications go far beyond a single project. Hydropower already underpins the national economy, contributing significantly to government revenue, foreign exchange earnings, and energy self-sufficiency. The launch of the Wangchhu project signals renewed momentum at a time when Bhutan is seeking to diversify financing models, accelerate project execution, and respond to growing regional demand for clean energy.
The 570 MW Wangchhu Hydroelectric Project will be developed as a joint venture, with DGPC holding a 51 percent stake and Adani Power owning 49 percent. The Concession Agreement and Shareholders Agreement were signed in September 2025, laying the legal and financial groundwork for implementation. Once completed, the project will generate 570 MW of clean electricity, reducing regional carbon emissions while delivering long-term, stable revenues to Bhutan.
Construction activities officially commenced with a groundbreaking ceremony at the project site, and project execution is expected to move at an accelerated pace. Following the MoU signing and foundation stone ceremony, DGPC and Adani Power moved swiftly to appoint Board Directors and a Chief Executive Officer for the joint venture company. The newly appointed CEO has been tasked with initiating infrastructure development immediately, underscoring the urgency and seriousness of the undertaking.
Mr. Anil Sardana emphasized the shared vision behind the partnership, noting that Adani Power is committed to developing Bhutan’s hydropower resources efficiently and sustainably. “This collaboration reflects our confidence in Bhutan’s hydropower potential and our belief in long-term regional cooperation in renewable energy,” he said.
Prime Minister Dasho Tshering Tobgay described the launch of the Wangchhu project as a national milestone. “This project is not just about generating electricity,” he said. “It is about securing Bhutan’s economic future, strengthening our energy independence, and positioning our country as a leader in clean energy at a time when the world is urgently seeking sustainable solutions.”
The DGPC–Adani partnership fits squarely within Bhutan’s broader ambition to develop an additional 20,000 MW of hydropower capacity by 2040. Achieving this target would significantly expand Bhutan’s export potential, reinforce its role as a reliable supplier of green energy to the region, and provide a stable foundation for long-term economic resilience.
Mr. Gautam Adani echoed this strategic vision, calling the partnership a decisive step toward building a sustainable energy future for the region. “We are proud to partner with DGPC in advancing Bhutan’s hydropower journey. Wangchhu is only the beginning, and we look forward to delivering projects that benefit Bhutan and contribute meaningfully to regional decarbonization,” he said.
As work begins on Wangchhu and preparatory efforts move forward on other projects under the 5,000 MW plan, Bhutan stands at a pivotal crossroads. With global demand for clean energy rising and climate commitments tightening, hydropower remains Bhutan’s most powerful strategic asset. The launch of this partnership signals not just new construction, but a renewed national push to harness rivers as engines of prosperity, sustainability, and regional leadership.
For Bhutan’s hydropower sector, the message is clear: the next wave has begun.
Sherab Dorji
From Thimphu
