Bhutan has taken another step toward strengthening its renewable energy ambitions with a new partnership aimed at developing large-scale hydropower and solar projects. Druk Green Power Corporation Limited (DGPC) has entered into a strategic collaboration with India-based Carbon Resources Private Limited (CRPL) to jointly develop projects that will add significant clean energy capacity to the country’s grid.
The partnership was formalized through the signing of a Memorandum of Understanding (MoU), laying the groundwork for projects ranging between 100 megawatts and 250 megawatts. The initiative reflects Bhutan’s continued focus on diversifying and scaling up its renewable energy base, while drawing on private sector expertise and investment.
Under the agreement, DGPC will play a central role in identifying and sharing detailed information on potential project sites. CRPL, in turn, will be responsible for conducting technical assessments, feasibility studies and due diligence to evaluate the viability of proposed developments. Once suitable projects are selected, they will be developed through joint venture companies, supported by a financing structure that allocates 70 percent to debt and 30 percent to equity.
Speaking on the occasion, Minister of Energy and Natural Resources Gem Tshering underscored the importance of translating agreements into timely action. He noted that swift and efficient implementation of such projects will be critical for Bhutan to meet its long-term energy target of achieving 25,000 megawatts of installed capacity by 2040. According to the minister, partnerships that combine domestic experience with external technical and financial capacity are essential to meeting this ambitious goal.
CRPL stated that its approach to the collaboration will prioritize projects that are environmentally responsible, technically robust and economically sustainable. The company emphasized that careful assessment and planning will be key to ensuring that new developments align with Bhutan’s environmental values while delivering long-term economic benefits.
For DGPC, the agreement is consistent with its broader strategy of engaging private investors to accelerate renewable energy development. By leveraging joint ventures and diversified financing models, the corporation aims to reduce project risks, attract capital and expand generation capacity beyond traditional hydropower.
The collaboration also signals growing regional cooperation in clean energy development, as Bhutan and India continue to explore shared opportunities in renewables. As Bhutan positions itself as a leader in sustainable energy, partnerships such as this are expected to play an increasingly important role in turning national vision into reality.
