Prime Minister Narendra Modi and Bhutanese Prime Minister Dasho Tshering Tobgay on Tuesday jointly inaugurated the 1,020 megawatt Punatsangchhu-II Hydroelectric Project, a landmark collaboration between India and Bhutan that will enhance the Himalayan nation’s power generation capacity by 40% and deepen bilateral energy ties.
Speaking to ANI, India’s Ambassador to Bhutan, Sandeep Arya, said the project marks a milestone in the countries’ long-standing hydropower partnership.
“The 1,020 MW project adds around 40% to Bhutan’s installed hydropower capacity and will play a key role in its economic growth. The power generated will serve Bhutan’s domestic needs, and the surplus will be exported to India, strengthening our energy cooperation,” Arya said.
He noted that Bhutan has an estimated hydropower potential of 35,000 MW, driven by its network of glacial rivers. “Since the power generation peaks during the summer, it aligns perfectly with India’s rising energy demand during that season, creating strong synergy between the two nations,” Arya added.
The Punatsangchhu-II project, located on the Punatsangchhu River, is one of the largest joint ventures under India-Bhutan energy cooperation. It follows earlier collaborations such as Mangdechhu and Tala hydro projects, which have already been instrumental in powering Bhutan’s economy and contributing to India’s clean energy imports.
This inauguration further cements India’s commitment to supporting Bhutan’s sustainable growth and regional green energy goals, while reinforcing the shared vision of a carbon-neutral South Asia.
Disclaimer: The details are based on official statements from the Indian Embassy in Bhutan and government sources. Further technical and operational updates on the project are expected to be released jointly by the Indian and Bhutanese authorities.
