Reliance Power, led by Anil Ambani, has partnered with Bhutan's Druk Holding and Investments (DHI) to develop the country's largest solar power project through a ₹2,000 crore joint venture. The Build-Own-Operate (BOO) model will be used in a 50:50 partnership to develop the 500 megawatt (MW) project.
It is anticipated that the project will represent the biggest private sector FDI in Bhutan's solar industry to date.
eliance Power has signed a commercial term sheet for a long-term Power Purchase Agreement (PPA) with Green Digital Private Limited, a DHI-owned entity.
Landmark investment in clean energy
"Reliance Group's strategic focus on diversifying its renewable energy portfolio and reaffirming its long-term commitment to bolstering India-Bhutan economic cooperation are both demonstrated by the historic solar investment in Bhutan." According to a company statement, Reliance Power is the biggest player in India's integrated solar and Battery Energy Storage System (BESS) market, with a total clean energy pipeline in the solar segment of 2.5 gigawatts peak (GWp).
The company added that the electricity generated will be sold to Green Digital under a long-term agreement. Reliance Power has begun scouting contractors for the project's execution through a competitive bidding process.
Strengthening energy ties between India and Bhutan
The project is part of a larger strategic partnership formed in October 2024 by Reliance Enterprises, a joint venture of Reliance Power and Reliance Infrastructure, and Bhutan's DHI.
In addition to the construction and operation of the 770 MW Chamkharchhu-I hydroelectric project, the agreement detailed plans for the cooperative development of a 500 MW solar plant.
