Reliance Power Partners with Bhutan to Develop Nation's Largest Solar Energy Project
- Reliance Power–Bhutan partnership
- Strategic focus on long-duration, high-impact clean energy assets
- India-Bhutan clean energy collaboration milestone
In a significant step towards renewable energy collaboration in South Asia, Reliance Power announced that it has inked an agreement with Green Digital Private Limited, a Bhutan government-owned firm, to develop Bhutan’s largest-ever solar power project. The landmark project, estimated to cost Rs 2,000 crore, will generate 500 megawatts (MW) of electricity and marks the biggest private sector investment in Bhutan’s solar energy sector to date.
The initiative is structured as a 50:50 joint venture between Reliance Power and Druk Holding and Investments (DHI), Bhutan’s principal investment arm. The agreement reflects a growing emphasis on sustainable energy in the region and reinforces the strong economic ties between India and Bhutan.
"This landmark solar investment in Bhutan underscores Reliance Group’s strategic focus on expanding its renewable energy portfolio while reinforcing its long-term commitment to strengthening India-Bhutan economic cooperation", Reliance Power stated. The company currently boasts a clean energy pipeline of 2.5 GWp solar and over 2.5 GWhr of Battery Energy Storage Systems (BESS), making it the largest player in India’s integrated Solar + BESS segment.
The electricity produced from the plant will be sold under a long-term agreement with Green Digital. The project is also expected to allow Bhutan to export surplus clean energy to neighboring countries, including India.
Reliance Power has initiated the process of selecting construction partners through a competitive bidding system to ensure quality and cost efficiency. Discussions with banks and financial institutions for project funding are also underway.
In a broader strategic context, this solar initiative builds upon an October 2024 partnership between Reliance Enterprises a joint venture of Reliance Power and Reliance Infrastructure and DHI. That agreement included plans for the joint execution of the 770 MW Chamkharchhu-I hydroelectric project, a run-of-the-river hydro plant aligned with Bhutan’s energy goals.
“This milestone transaction highlights Reliance Power’s continued focus on capital deployment into high-impact, long-duration clean energy assets, while strengthening its strategic positioning in the regional power infrastructure space”, the company added.
The solar and hydro projects collectively signify a new chapter in India-Bhutan clean energy cooperation and the region’s transition toward sustainable power.
