Bhutan, India sign hydroelectric power development agreement

The governments of India and Bhutan have signed an agreement for the joint development of a number of hydropower projects earlier today in capital city Thimphu.

The inter-governmental agreement, signed by Ministry of Power secretary P.K. Sinha of India and Ministry of Economic Affairs secretary Sonam Tshering of Bhutan, calls for public sector cooperation in constructing more than 2,000 MW-worth of hydroelectric capacity.

“Hydropower cooperation with Bhutan is a classic example of win-win cooperation, providing clean electricity to India, generating export revenues for Bhutan, and further strengthening economic linkages,” Bhutan’s Ministry of External Affairs said in a release.

Included in the deal are the 600-MW Kholongchu, 770-MW Chamkarchu, 570-MW Wangchu and 180-MW Bunakha plants. reported in August 2012 that India’s state-owned Sutlej Jal Vidyut Nigam and Bhutan’s Druk Green Power Corporation had entered into an agreement for the development of the 600-MW Kholongchu and 570-MW Wangchu hydropower plants.

Construction of the plants is still pending reviews of their technical and economic viability.

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Michael Harris formerly was Editor for

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