New Delhi: Adani Power on Saturday announced a partnership with Bhutan’s state-owned utility, Druk Green Power Corporation (DGPC), to develop a 570 MW hydroelectric project in the Himalayan kingdom, with an investment of Rs 6,000 crore.
Under the agreement, Adani Power and DGPC will implement the Wangchhu peaking run-of-river hydro project on a BOOT (Build, Own, Operate, Transfer) basis. A power purchase agreement and a concession agreement were signed in the presence of Bhutan’s Prime Minister Dasho Tshering Tobgay and Gautam Adani, Chairman of the Adani Group, according to a company statement.
The Wangchhu project will involve an investment of approximately Rs 6,000 crore for the power plant and associated infrastructure. With the detailed project report already completed, construction is expected to commence in the first half of 2026, with completion targeted within five years of the groundbreaking.
“The Wangchhu hydroelectric project will play a crucial role in meeting Bhutan’s peak winter electricity demand, when hydropower generation typically declines. During the summer months, it will export surplus power to India,” said SB Khyalia, CEO of Adani Power.
The Wangchhu project is the first to move forward under a May 2025 MoU between Adani Group and DGPC, which aims to jointly develop 5,000 MW of hydropower in Bhutan. The two entities are also exploring additional projects under this strategic partnership.
Adani Power is India’s largest private thermal power producer. DGPC is Bhutan’s sole power generation utility, currently operating over 2,500 MW, with plans to expand to 25,000 MW by 2040. Druk Holding & Investments, the commercial arm of the Royal Government of Bhutan, is a shareholder in DGPC.
Established in 2008 to spearhead Bhutan’s hydropower development, DGPC has recently diversified into solar energy in addition to its hydropower ventures.
