Taking a major step in the energy sector between India and Bhutan, an agreement has been reached for the 570 MW Wangchhu Hydroelectric Project. On Saturday, September 5, Adani Power and Bhutan -based government power company Druk Green Power Corp Limited (DGPC) signed the shareholders agreement (SA).
Presence of PM and Gautam Adani
Prime Minister Dasho Shering Tobge and Adani Group President Gautam Adani were present in the event held in Bhutan’s capital. During this period, the Power Person Agreement (PPA) was reinforced and also signed the Consignment Agreement (CA) with the Bhutan government.
60 billion investment, work on boot model
This project will be prepared on Boot model (build, on, operate, transfer). There will be an investment of about 60 billion rupees and the necessary infrastructure will also be erected with a run-off-room-based power plant.
Bhutan’s economy promotes
Experts believe that this agreement is not just energy production for the economy of India-BHUTAN, but a major opportunity for local employment, technological development and revenue diversification. Bhutan’s economy is more dependent on tourism and electricity exports, so this project will show the direction of new development.
India benefits of energy security
This agreement for India is important towards energy security and sustainable development. Statistics show that the power share in Bhutan’s total exports is already more than 40%, with the largest share to India. This project will further strengthen the relationship between the two countries.
