Adani Power and Druk Green Partner on Hydropower
The companies have agreed to develop a 770 MW hydroelectric project in Bhutan to manage power demand.
Updated on Oct. 6, 2026 in Utilities
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Adani Power and Druk Green Power Corporation signed an agreement to develop the 770 MW Chamkharchhu-I Hydroelectric Project in Bhutan. The partnership utilizes a 49:51 equity split to develop the site along the Chamkarchhu River.
Why it matters
The project is designed to help Bhutan manage peak electricity demand during the winter months. It also aims to facilitate the export of surplus clean power to India during the summer season.
The project features a 49:51 equity partnership over a 30-year concession period. It represents a significant portion of the 5,000 MW total capacity target established in a May 2025 memorandum of understanding.
The players
Adani Power
Adani Power is a major Indian private thermal and renewable power generation company.
Druk Green Power Corporation
Druk Green Power Corporation is the primary agency responsible for hydropower development in Bhutan.
The details
The Chamkharchhu-I Hydroelectric Project in the Zhemgang District will follow the Build, Own, Operate and Transfer model. This collaboration continues a series of clean energy infrastructure agreements between the two entities.
Timeline
May 2025: Companies signed a memorandum of understanding for 5,000 MW of hydropower capacity.
September 2025: Companies signed an agreement for the 570 MW Wangchhu Hydroelectric Project.
First half of 2027: Construction is expected to commence.
Market Landscape
This venture aligns with the ongoing trend of regional energy integration between India and Bhutan. The collaboration positions these firms to dominate cross-border power trade by securing large-scale generation assets in the Himalayan region.
The project is expected to stabilize energy supplies for Bhutanese households during winter peaks. Regional energy consumers may benefit from increased availability of clean power exported to the Indian grid during summer months.
The takeaway
Large-scale hydroelectric developments in the Himalayas are becoming central to regional energy security strategies. These projects provide a reliable path to balance seasonal electricity fluctuations across international borders.
What happens next
Groundbreaking for the Chamkharchhu-I project is slated for the first half of 2027, with commissioning expected six years later.
Further reading
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