India-Bhutan Talks Focus on Power Trade Optimisation, Grid Integration and Strategic Hydropower Development

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India and Bhutan reviewed their long-standing cooperation in the power sector, with a focus on accelerating key hydropower projects and strengthening cross-border electricity transmission infrastructure.

The discussions took place during a meeting between Bhutanโ€™s Minister of Energy and Natural Resources, Shri Lyonpo Gem Tshering, Union Minister of Power and Housing & Urban Affairs, Shri Manohar Lal, and Minister of State for Power and New and Renewable Energy, Shri Shripad Yesso Naik.

The ministers deliberated on the commercial optimisation of power generation from the 1,020 MW Punatsangchhu-II Hydroelectric Project, while also stressing the importance of the early commissioning of the 1,200 MW Punatsangchhu-I Hydroelectric Project.

Talks also covered the roadmap for the Sankosh Hydropower Project, along with a comprehensive review of cross-border transmission connectivity plans up to 2040, aimed at ensuring long-term power trade and grid stability between the two nations.

Additionally, both sides highlighted the need to streamline approval mechanisms for power scheduling, particularly during Bhutanโ€™s lean hydropower generation months, to enhance operational efficiency and supply reliability.

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The ministers reaffirmed the deep-rooted friendship between India and Bhutan and expressed their commitment to further strengthening bilateral cooperation in the energy sector.


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