Adani Power, India’s largest private power producer, and Bhutan’s Druk Green Power Corporation (DGPC) have entered into a landmark partnership to develop the 570 MW Wangchhu hydroelectric project in Bhutan.
The two companies signed the Shareholders Agreement along with an in-principle Power Purchase Agreement, while also finalizing the Concession Agreement with the Royal Government of Bhutan. The signing ceremony took place in the presence of Bhutan’s Prime Minister Dasho Tshering Tobgay and Gautam Adani, Chairman of the Adani Group, marking a major step forward in cross-border energy cooperation.
The Wangchhu hydro project, which will be developed on a Build, Own, Operate, Transfer model, involves an estimated investment of about INR 60 billion. With the detailed project report already in place, construction is expected to commence in the first half of 2026 and the plant is targeted to be completed within five years from the groundbreaking. This peaking run-of-river project is set to add significant renewable capacity to Bhutan’s already strong hydropower base, while also strengthening the flow of clean energy to India.
This initiative is the first project under the memorandum of understanding signed in May 2025 between the Adani Group and DGPC to jointly develop 5,000 MW of hydropower capacity in Bhutan. The agreement highlights the deepening of energy ties between the two nations and sets the stage for further large-scale developments in the future. Both Adani Power and DGPC are already in discussions for additional projects that could make Bhutan a key hub of renewable energy in the region, while also supporting India’s growing demand for clean power.
