Druk Green Power Corporation Limited (DGPC) and Adani Power have signed agreements to jointly develop the 570MW Wangchhu hydroelectric project in Bhutan.
The agreements include a Shareholders Agreement, a Concession Agreement with the Royal Government of Bhutan, and an in-principle understanding of a Power Purchase Agreement. The signing ceremony was attended by Bhutan’s Prime Minister Dasho Tshering Tobgay and Adani Group Chairman Gautam Adani.
The Wangchhu project will be developed as a peaking run-of-river scheme under a Build, Own, Operate, Transfer (BOOT) model. The project has an estimated cost of INR 60 billion (approximately US$720 million), with construction expected to begin in 2026 and finish within five years.
DGPC Managing Director Dasho Chhewang Rinzin said the project will support Bhutan’s energy needs, particularly during the winter months, while enabling power exports to India in the summer. He added that hydropower cooperation with India has been central to Bhutan’s energy strategy since the 1960s.
The Wangchhu project is the first to move forward under a May 2025 memorandum of understanding between DGPC and the Adani Group to develop 5000MW of hydropower in Bhutan. Talks on additional projects under the partnership are continuing.
