Thimphu, October 6 (Daily Kiran) : Adani Power and Bhutan’s Druk Green Power Corporation (DGPC) have announced a significant partnership to establish a 770 megawatt hydropower project named Chamkharchhu-1 in Bhutan. The announcement was made on October 6, 2026, in Thimphu, marking the second major collaboration between the two companies in the hydropower sector.
This new venture follows a previous agreement signed in September 2025 for a 570 megawatt Wangchhu hydropower project. The Chamkharchhu-1 project is part of a broader memorandum of understanding (MoU) signed in May 2025, which encompasses the development of 5,000 megawatts of hydropower.
The signing ceremony was attended by Bhutan’s Prime Minister, Lyonchhen Dasho Shering Tobgay, along with finance and energy ministers, representatives from Druk Holding and Investments Limited (DHI), Bhutan Power Corporation Limited (BPC), and Adani Power.
Anil Sardana, Managing Director of Adani Power, expressed enthusiasm about strengthening the partnership through this project. He emphasized the crucial role hydropower will play in accelerating energy transition in South Asia. Sardana noted that the project will enhance energy security, reduce carbon emissions, and support shared sustainability goals.
The initiative is expected to help meet Bhutan’s peak electricity demand during winter months and facilitate the export of surplus green energy to India during the summer, creating long-term value for both nations.
Located on the Chamkharchhu River in the Zhemgang district of central Bhutan, the project will be implemented under a Build, Own, Operate, and Transfer (BOOT) model. The equity partnership will see a 49:51 ratio between Adani Power and DGPC, with a 30-year concession period starting from the commercial operation date.
DGPC Managing Director Dasho Chewang Rinzin stated that this partnership marks a significant milestone in Bhutan’s hydropower development journey. He highlighted the project’s potential to enhance energy security, particularly during winter, and create opportunities for better utilization of clean energy through exports to India.
Rinzin expressed eagerness to collaborate with Adani Power in realizing this important project and expanding further opportunities under their extensive hydropower development partnership. The project aims to bolster Bhutan’s clean energy production capacity and promote regional energy cooperation, with construction expected to commence in the first half of 2027 and commercial operations targeted to begin within six years of that date.
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