Tata Power, DGPC Expand 5,000 MW Hydro Partnership

• Tata Power DGPC partnership exceeds 5000 MW capacity
• New Bhutan hydropower projects strengthen regional clean energy
• Collaboration supports Bhutan’s long-term renewable energy expansion

Tata Power and Bhutan’s Druk Green Power Corporation (DGPC) have further strengthened their clean energy partnership by expanding their joint hydropower development pipeline to over 5,000 MW. The latest expansion comes with the inclusion of the 404 MW Nyera Amari I & II Integrated Hydropower Project, reinforcing the growing strategic energy collaboration between India and Bhutan.

The new addition increases the total identified hydropower capacity under the partnership from 4,500 MW to 5,033 MW. The collaboration, originally formalised through a Memorandum of Understanding signed in November 2024, is considered one of the largest clean energy partnerships in the South Asian region.

The expanded portfolio now includes several major hydropower and pumped storage projects such as the 600 MW Khorlochhu Hydroelectric Project, 1,125 MW Dorjilung Hydroelectric Project, 740 MW Gongri Reservoir project, 1,800 MW Jeri Pumped Storage project, 364 MW Chamkharchhu IV, and the newly added Nyera Amari I & II projects. Alongside hydropower initiatives, the collaboration also includes plans to jointly develop 500 MW of solar power capacity in Bhutan.

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The partnership aligns with Bhutan’s long-term objective of increasing its total power generation capacity to 25,000 MW by 2040 while diversifying its renewable energy mix beyond traditional hydropower. For India, the collaboration supports regional energy security and clean energy transition goals by enabling access to stable renewable power supplies.

Industry observers view the initiative as a significant example of cross-border renewable energy cooperation in South Asia. Bhutan’s hydropower generation profile complements India’s rising renewable energy demand, especially during peak seasonal consumption periods. The projects are also expected to contribute to economic growth, green job creation, and infrastructure development within Bhutan.

Tata Power and DGPC have maintained a long-standing relationship since 2008, when both companies jointly developed the 126 MW Dagachhu Hydropower Plant, Bhutan’s first public-private partnership hydropower project. Over the years, the collaboration has evolved into a broader regional clean energy alliance focused on sustainable infrastructure and energy integration.

The latest expansion underscores increasing momentum toward regional renewable energy cooperation as South Asian countries intensify efforts to achieve climate and energy transition targets. With large-scale hydro and solar projects under development, the Indo-Bhutan energy corridor is expected to emerge as a critical pillar of the region’s clean energy future.