Reliance Power to build 500 MW solar project in Bhutan
The solar project, to be jointly developed by India’s Reliance Power and DHI, the investment arm of the Bhutanese government, will have a capital outlay of up to USD 235 million.
India’s Reliance Power announced it has signed a commercial term sheet for long-term power purchase agreement with Green Digital, owned by Druk Holding and Investments Ltd, the investment arm of the Royal Government of Bhutan.
Reliance Power and Druk Holding and Investments Ltd (DHI) will jointly develop Bhutan’s largest solar power project through a 50:50 venture, with an installed capacity of 500 MW, a company statement said.
The solar project is expected to have a capital outlay of up to INR 20 billion (about USD 235 million) under the Build-Own-Operate (BOO) model, making it the largest private sector FDI in Bhutan’s solar energy sector, according to a media release.
The announcement follows a strategic partnership established in October 2024 between Reliance Enterprises — a joint venture between Reliance Power and Reliance Infrastructure — and DHI.
“The 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 said in the media release. “Reliance Power’s total clean energy pipeline stands at 2.5 gigawatts peak (GWp) in the solar segment, making it India’s largest player in the integrated solar and Battery Energy Storage System (BESS) segment.”
The agreement also includes the execution and operation of the 770 MW Chamkharchhu-I hydroelectric project.