Tata Power has entered into a commercial partnership with Bhutan’s Druk Green Power Corporation (DGPC) to co-develop the 1,125 MW Dorjilung Hydroelectric Power Project, marking a major expansion of cross-border clean energy cooperation between the two countries. The project will be executed through a dedicated special-purpose vehicle, with DGPC holding a 60% stake and Tata Power owning the remaining 40%, according to the company.
The hydropower project, estimated at ₹13,100 crore, will see Tata Power contribute around ₹1,572 crore in equity over the implementation period. Planned on the Kurichhu River in Bhutan’s Mongar district, the Dorjilung facility is designed as a run-of-the-river project with six generating units of 187.5 MW each and six-hour pondage to support peak-time electricity supply.
Also Read: India Approves ₹4,000 Crore Credit Line to Boost Bhutan’s Hydropower Expansion
Once completed, Dorjilung will become Bhutan’s largest hydro project developed under a public–private partnership and its second-largest hydro installation overall. Under the arrangement, roughly 80% of the electricity generated will be exported to India, reinforcing regional energy integration and supporting India’s clean energy demand.
The project is targeted for commissioning by September 2031. Tata Power stated that the agreement represents a key step in its broader strategy to expand its clean energy portfolio while contributing to Bhutan’s long-standing hydropower development goals.
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