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Reliance Power and Bhutan’s DHI Join Hands to Develop 500 MW Solar Project in Bhutan.

Economy Business | Dated: 22 May 2025

On May 19, 2025, Reliance Power Limited (RPower), headquartered in Mumbai, Maharashtra, and led by Anil Ambani, signed a commercial term sheet for a long-term Power Purchase Agreement (PPA) with Bhutan’s Green Digital Private Limited (GDL), a subsidiary of Druk Holding and Investments Limited (DHI)—the investment arm of the Royal Government of Bhutan.

🎯 Key Highlights:

  • - Under this agreement, RPower and DHI have formed a 50:50 Joint Venture (JV) to develop Bhutan’s largest solar power project with a total capacity of 500 Megawatts (MW).
  • - The project entails a significant capital investment of Rs. 2,000 crores and aims to boost cross-border clean energy cooperation between India and Bhutan.
  • - Reliance Power and Bhutan’s DHI have formed a 50:50 joint venture to develop a 500 MW solar power project in Bhutan under the Build-Own-Operate (BOO) model. Valued at Rs. 2,000 crore, this will be the largest private sector Foreign Direct Investment (FDI) in Bhutan’s solar energy sector.

💡 Other Important Facts:

  • (i) The project aims to strengthen cross-border infrastructure cooperation in South Asia and significantly contribute to regional clean energy integration. It is scheduled to be implemented in phased tranches over 24 months, with completion targeted by May 2027.
  • (ii) With this initiative, Reliance Power’s clean energy pipeline now totals 2.5 gigawatts peak (GWp) in solar, positioning it as India’s largest player in the integrated solar and Battery Energy Storage System (BESS) segment.
  • (iii) In October 2024, Reliance Enterprises (a joint venture of Reliance Power and Reliance Infrastructure) signed a strategic partnership with DHI to develop both solar and hydroelectric projects. This includes the 500 MW solar project and the 770 MW Chamkharchhu-I run-of-the-river hydroelectric project, supporting Bhutan’s national energy vision.

📚 Test Your Knowledge:

Recently, which Indian company partnered with Bhutan’s DHI to develop a 500 MW solar project?

Correct Answer: Reliance Power

🚀 Quick Recap:

About Bhutan

  • Prime Minister (PM): H. E. Dasho Tshering
  • Tobgay Capital : Thimphu