Tata Power, Bhutan Power Firm Expand Hydropower Deal to Over 5,000 MW

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AuthorSimar Singh|Published at:
Tata Power, Bhutan Power Firm Expand Hydropower Deal to Over 5,000 MW
Overview

Tata Power and Bhutan's Druk Green Power Corporation (DGPC) have expanded their clean energy partnership. The addition of the 404 MW Nyera Amari I & II Hydropower Project significantly increases their identified hydropower capacity to 5,033 MW from 4,500 MW. This move aligns with Bhutan's vision to bolster its power generation and strengthen regional energy security.

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Hydropower Capacity Surge

Tata Power and Bhutan's Druk Green Power Corporation (DGPC) have officially enlarged their clean energy alliance. The collaboration now encompasses the 404 MW Nyera Amari I & II Integrated Hydropower Project. This latest addition elevates the total identified hydropower capacity under their joint development to an impressive 5,033 MW, marking a substantial increase from the previous 4,500 MW.

Strategic MoU Amendment

An amendment to the existing Memorandum of Understanding (MoU) between Tata Power and DGPC was signed to deepen cooperation in hydropower development within Bhutan. This strategic expansion is a core component of Bhutan's ambitious clean energy growth objectives and reinforces regional energy integration. The expanded portfolio includes several key projects: Khorlochhu (600 MW), Dorjilung (1,125 MW), Gongri Reservoir with Jeri Pumped Storage (2,540 MW combined), Chamkharchhu IV (364 MW), and the newly integrated Nyera Amari I & II (404 MW).

Energy Security Boost

This expanded partnership directly supports Bhutan's national vision to escalate its overall power generation capacity to 25,000 MW by 2040. Praveer Sinha, CEO and Managing Director of Tata Power, emphasized the milestone, stating, "This milestone of expanding our joint hydropower portfolio to over 5,000 MW with DGPC marks a significant step in strengthening our clean energy partnership in Bhutan." He highlighted that the Nyera Amari project underscores the collaboration's scale and long-term commitment. For India, such ventures are crucial, especially during peak summer months when energy demand surges, ensuring access to reliable, clean power sources.

Bhutan's Clean Energy Journey

DGPC Managing Director Dasho Chhewang Rinzin echoed the sentiment, calling the expansion a "defining milestone in Bhutan's clean energy journey." The collaboration, which officially began with a strategic partnership on November 19, 2024, with backing from the Indian and Bhutanese governments, is also set to develop 500 MW of solar photovoltaic projects in Bhutan. Work is already underway on the Khorlochhu and Dorjilung hydropower projects, representing about 35% of the agreed 5 GW portfolio. Tata Power's foundational collaboration with DGPC dates back to the 126 MW Dagachhu Hydropower Project, Bhutan's first public-private hydropower venture, commissioned in 2008.

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