Tata Power And Bhutan’s DGPC Expand Clean Energy Partnership With Addition Of 404 MW Nyera Amari I & II Hydropower Project

Tata Power and Bhutan’s Druk Green Power Corporation (DGPC) have expanded their clean energy collaboration with the identification of the 404 MW Nyera Amari I & II Integrated Hydropower Project, further strengthening one of the most significant cross-border renewable energy partnerships in South Asia. This development follows the signing of an amendment to the original Memorandum of Understanding (MoU), dated November 19, 2024, and reinforces the long-term commitment of both parties to advancing hydropower development in Bhutan.

With the addition of the Nyera Amari project, the total identified hydropower capacity under the partnership rises from 4,500 MW to 5,033 MW. This expansion aligns with Bhutan’s long-term energy vision of scaling national generation capacity to 25,000 MW by 2040, supporting both domestic energy security and broader regional energy integration.

The strengthened partnership also underscores Tata Power’s position as a leading clean energy collaborator beyond India’s borders and demonstrates Bhutan’s intent to accelerate its hydropower-driven economic transformation.The amendment was signed in the presence of Bhutan’s Prime Minister, Lyonchhen Tshering Tobgay.

The agreement was formalised by Dr. Praveer Sinha, CEO & Managing Director of Tata Power, and Chhewang Rinzin, Managing Director of DGPC, with senior officials from both organisations also in attendance. The ceremony highlighted the strategic importance of this partnership as a long-term pillar of energy cooperation between the two countries.

Dr. Praveer Sinha noted that expanding the joint hydropower portfolio to over 5,000 MW marks a major step forward, with the addition of Nyera Amari reflecting the scale and ambition of the collaboration. He emphasised that these projects will not only support Bhutan’s economic growth by developing its abundant hydropower resources but will also strengthen regional energy security.

For India in particular, where demand peaks sharply during the summer months, access to reliable and clean hydropower from Bhutan contributes meaningfully to grid stability and energy diversification.The newly added Nyera Amari I & II project joins a growing list of hydropower developments being jointly advanced by Tata Power and DGPC.

The broader portfolio includes significant projects such as the 600 MW Khorlochhu, 1,125 MW Dorjilung, the 2,540 MW Gongri Reservoir with Jeri Pumped Storage, and the 364 MW Chamkharchhu IV project. Together, they make up one of the most comprehensive and ambitious hydropower development pipelines in the region.

Work has already begun on the Khorlochhu and Dorjilung projects, which together account for roughly 35% of the total 5 GW portfolio.Dasho Chhewang Rinzin, Managing Director of DGPC, described the partnership’s expansion as a defining moment in Bhutan’s energy journey. He highlighted that the hydropower portfolio, now exceeding 5,000 MW, represents a transformational opportunity for the country — one that supports economic development, enhances regional energy security, and strengthens Bhutan’s standing as a leading clean energy nation.

He added that the scale of the identified projects reflects a shared ambition to unlock Bhutan’s hydropower potential in a structured and sustainable way.The collaboration between Tata Power and DGPC is rooted in a longstanding relationship of over 15 years. Their partnership began with the 126 MW Dagachhu Hydropower Project, Bhutan’s first public–private hydropower initiative commissioned in 2008. Since then, cooperation has steadily grown to encompass multiple large-scale hydropower and renewable energy investments.

The strategic partnership signed in November 2024, backed by the Royal Government of Bhutan and the Government of India, aims to jointly develop both hydropower and solar projects across the country. In addition to the hydropower pipeline, the partners also intend to jointly develop 500 MW of solar PV capacity, broadening Bhutan’s renewable energy mix.

The projects under the partnership will be developed with mutually agreed equity participation, and both organisations plan to continue identifying new hydropower opportunities as part of a long-term collaboration. As Bhutan positions itself as a regional clean energy leader, this partnership plays a central role in shaping the future energy landscape of the region.

It supports Bhutan’s economic aspirations, contributes to India’s growing need for clean and reliable energy, and strengthens the broader regional commitment to sustainable development and energy security.With construction already underway on key projects and a clear roadmap to expand the collaboration further, the partnership between Tata Power and DGPC stands as one of the most impactful cross-border clean energy initiatives in Asia.