Adani Power, Druk Green Power Plan 770 MW Bhutan Hydropower Project

Adani Power and Bhutan’s Druk Green Power sign a 49:51 agreement to develop the 770 MW Chamkharchhu-I hydropower project, with construction expected to begin in the first half of 2027.

Adani Power and Bhutan’s state-owned Druk Green Power Corporation (DGPC) have signed a Shareholders Agreement to jointly develop the 770 MW Chamkharchhu-I Hydroelectric Project in Bhutan, strengthening cooperation between India and Bhutan in renewable energy.

The agreement was signed on today in the presence of Bhutanese Prime Minister Lyonchhen Dasho Tshering Tobgay, along with the country’s finance and energy ministers and representatives of DGPC, Druk Holding & Investments and Bhutan Power Corporation.

Also Read: Industry Reacts: Budget Sparks Growth in Manufacturing & Tech

The project is located on the Chamkharchhu River in central Bhutan’s Zhemgang District. It will be developed as a peaking run-of-river project under the Build, Own, Operate and Transfer (BOOT) model. Adani Power and DGPC will hold 49% and 51% equity stakes, respectively, with a concession period of 30 years from the commercial operation date.

Construction is expected to begin in the first half of 2027, with commissioning targeted within six years of groundbreaking. The project is expected to strengthen Bhutan’s clean energy generation capacity while supporting wider regional energy cooperation.

The Chamkharchhu-I project represents the second major hydropower collaboration between Adani Power and DGPC. The companies previously signed an agreement in September 2025 for the 570 MW Wangchhu Hydroelectric Project. The latest development is also part of a broader 5,000 MW hydropower development partnership outlined in a memorandum of understanding between the Adani Group and DGPC in May 2025.

According to Adani Power, the project is expected to help meet Bhutan’s peak winter electricity requirements while creating opportunities to export surplus green power to India during the summer months. This is intended to support energy security and improve the utilisation of Bhutan’s renewable energy resources.

Adani Power Managing Director Anil Sardana said hydropower would play an important role in South Asia’s energy transition and that the project would contribute to energy security, lower carbon intensity and shared sustainability objectives.

Also Read: How Energy Ecosystems Are Reshaping India's Manufacturing Edge

DGPC Managing Director Dasho Chhewang Rinzin said the project would strengthen Bhutan’s energy security, particularly during winter, while creating opportunities to optimise and export surplus clean electricity to India.

The two partners are also continuing to evaluate additional hydropower opportunities under their broader 5,000 MW development programme, potentially expanding the scope of India-Bhutan energy cooperation.