Adani Power Limited and Bhutan’s state-owned generation utility Druk Green Power Corporation Limited (DGPC) have signed a Shareholders Agreement (SHA) to develop the 770 MW Chamkharchhu-I Hydroelectric Project in Bhutan.
The agreement was signed in the presence of Bhutan Prime Minister Lyonchen Dasho Tshering Tobgay, along with the country’s Ministers of Finance and Energy and Natural Resources and representatives from Druk Holding & Investments, Bhutan Power Corporation, DGPC and Adani Power.
The project represents the second major hydropower collaboration between Adani Power and DGPC, following the agreement for the 570 MW Wangchhu Hydroelectric Project signed in September 2025. Both projects form part of a broader 5,000 MW hydropower development MoU signed between the Adani Group and DGPC in May 2025.
Located on the Chamkarchhu River in Zhemgang District in central Bhutan, the Chamkharchhu-I project will be developed as a peaking run-of-river hydropower facility.
The project will be implemented under a Build, Own, Operate and Transfer (BOOT) model, with Adani Power holding a 49% equity stake and DGPC holding the remaining 51%. The concession period will extend for 30 years from the commercial operation date.
Construction is expected to begin in the first half of 2027, with commissioning targeted within six years from groundbreaking.
The project is expected to strengthen Bhutan’s clean energy generation capacity and help meet the country’s peak electricity requirements during the winter months. Surplus renewable electricity generated during summer is expected to be exported to India, further strengthening cross-border energy cooperation between the two countries.
Adani Power Managing Director Anil Sardana said hydropower would play an important role in South Asia’s energy transition, with the project expected to contribute to energy security, lower carbon intensity and shared sustainability objectives.
DGPC Managing Director Dasho Chhewang Rinzin said the project would strengthen Bhutan’s energy security while creating opportunities to optimise and export surplus clean electricity to India.
Adani Power and DGPC are also evaluating additional hydropower opportunities under their broader 5,000 MW development programme, as the companies look to expand their renewable energy partnership in Bhutan.
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