Gautam Adani's Adani Power has signed a deal with Bhutan's Druk Green Power Corporation Limited for the 570 MW Wangchu Hydropower Project. This project will involve an investment of ₹6,000 crore. It is targeted to commence in 2026 and be completed within five years, strengthening India-Bhutan renewable energy cooperation.
hydro power project: Gautam Adani's Adani Power and Bhutan's state-owned company Druk Green Power Corporation Limited have signed a shareholders' agreement and a Power Purchase Agreement (PPA) for the 570 MW Wangchu Hydroelectric Project. This project will involve an investment of ₹6,000 crore. The agreement, signed in the presence of Bhutan's Prime Minister Dasho Tshering Tobgay and Adani Group Chairman Gautam Adani, will give new impetus to India-Bhutan hydropower cooperation. The project is expected to commence in the first half of 2026 and be completed within five years.
Details of Wangchu Hydroelectric Project
The Wangchu Project has been designed keeping in mind Bhutan's sustainable development. A total investment of ₹6,000 crore will be made in the renewable energy plant and its associated infrastructure under this project. The detailed project report has been prepared, and construction work is expected to begin in the first half of 2026. The project is targeted for completion within five years.
In this project, Adani Power and DGPC will operate under the BOOT model. Under this model, the construction, operation, and transfer of the project will be shared between the two countries.
Cooperation Between the Two Countries
Cooperation in the hydropower sector between Bhutan and India is not new. DGPC's Managing Director, Dasho Chewang Rinzin, stated that India and Bhutan have been working together in the hydropower sector since 1960. This collaboration has been beneficial for both countries, and they will continue to work on similar projects in the future.
The Government of Bhutan aims to develop 15,000 MW of hydropower and 5,000 MW of solar power capacity by 2040. With the technical and financial strength of the Adani Group, this new project is expected to be completed rapidly.
Benefits of the Project
Adani Power's CEO, SB Khyaalia, informed that the Wangchu Project will meet Bhutan's electricity demand during winters. Power generated in the summer season will be exported to India. Thus, the project will balance the energy needs and economic benefits of both countries.
Along with increasing hydropower capacity in Bhutan, India will get an opportunity to export additional electricity. This will further strengthen energy trade between the two countries.
MoU Between Adani Group and DGPC
This project is also part of the MoU signed between Adani Group and DGPC in May 2025. This MoU included a plan for 5,000 MW hydropower development in Bhutan. The successful implementation of the Wangchu Project will set a benchmark for future projects.
Both companies are now discussing further projects. The aim is to implement even larger-scale renewable energy projects in Bhutan in the future.
Energy Production and Employment to Increase from the Project
Investment in this project will not only increase energy production but also help in job creation and the development of local infrastructure. The technical and financial capabilities of the Adani Group will prove instrumental in completing this project on time and successfully.
Large hydropower projects like this in Bhutan play a crucial role in the country's sustainable development and energy security. India will have opportunities to import electricity from this project, further strengthening energy cooperation between the two countries.
