India Power Enters Bhutan’s Solar Market With 70 MW Project In Paro

India Power Corporation Limited (IPCL) has announced its entry into Bhutan’s renewable energy market through a strategic partnership with Green Energy Power Private Limited to develop a 70 MWp solar power project in the Paro district. The project marks a significant milestone for the 106-year-old, West Bengal–headquartered power utility as it expands its footprint beyond India and strengthens cross-border energy cooperation.

The solar project will be developed at the Tenchuka site in Paro, selected after a preliminary assessment of key technical parameters. Spread across nearly 200 acres of south-facing land, the site benefits from high solar irradiation, making it suitable for large-scale solar generation. Its proximity to the Jamjee 220/33 kV substation, located about 3.5 kilometers away, is expected to facilitate efficient power evacuation.

This initiative is part of IPCL’s broader plan to add 1.5 GW of solar capacity in Bhutan over the next five years. The company views Bhutan as a promising market, as the country’s electricity demand is projected to more than double in the coming two years. The anticipated rise in demand is being driven by major developments such as the Gelephu Mindful City project, the expansion of energy-intensive industries, including ferrosilicon production, and increasing requirements from digital infrastructure and crypto-mining activities.

Although hydropower currently dominates Bhutan’s energy mix, the Royal Government of Bhutan has outlined an ambitious target of achieving 25,000 MW of installed power capacity by 2034. Of this, 5,000 MW is expected to come from solar energy, highlighting the growing role of solar power in the country’s long-term energy strategy.

Commenting on the development, Somesh Dasgupta, whole-time director of India Power Corporation Limited, said the partnership reflects the company’s commitment to supporting Bhutan’s transition toward a sustainable energy future. He noted that IPCL’s long experience across the power value chain positions it well to contribute technical expertise to Bhutan’s emerging solar sector, while also supporting its own goal of becoming a 1.5 GW solar player by 2030.

Tandi Dorji, founder of Green Energy Power Private Limited and a former Bhutanese minister of external affairs, said the Tenchuka Solar Project will be Bhutan’s first independent power producer project. He added that the initiative represents an important step toward private sector participation in ensuring energy security and is intended to serve as a model for future IPP projects in close coordination with the Royal Government of Bhutan.

With this project, IPCL joins a growing list of Indian companies active in Bhutan’s energy sector, including Tata Power, Adani Group, and Reliance Power, underscoring the deepening energy collaboration between the two countries.