Background of the Project
The Wangchhu Hydroelectric Project is a major renewable energy initiative under Bhutan’s Renewable Energy Roadmap, which aims to add 20,000 MW of generation capacity by 2040. The project is located in Chukha Dzongkhag in south western Bhutan. It lies downstream of the existing Tala Hydropower Plant and uses the perennial, snow fed waters of the Wangchhu River. The project supports Bhutan’s long term objectives for sustainable energy development and regional power cooperation.
Wangchhu Hydroelectric Power Limited is a Special Purpose Vehicle incorporated under the Companies Act of the Kingdom of Bhutan on October 15, 2025, to develop and implement the project.
Technical Configuration
Strategic Partnership and Development Framework
134 meter high concrete gravity dam
The main technical components include a 134 meter high concrete gravity dam with a crest length of 295 meters. Water is conveyed through a circular head race tunnel with a length of 12.38 kilometers and a diameter of 8.5 meters.
The surface powerhouse
The surface powerhouse is located near the confluence of the Wangchhu and Piping rivers. It houses four vertical axis Francis turbines, each with a capacity of 142.5 MW.
Projected Annual Energy Generation
The project is expected to generate an average annual energy of about 2,479.58 GWh.
Project Capacity and Operational Overview
The project has an installed capacity of 570 MW and is designed for diurnal peaking operation to meet periods of high electricity demand.
Project Evolution and Scheme Selection
The Wangchhu project was originally conceived as a 900 MW reservoir scheme based on studies carried out in 1995. Following detailed reviews by the Empowered Joint Group of the Governments of Bhutan and India, and further technical assessments conducted during 2024 and 2025, the project adopted a run of the river scheme as the preferred development option.
The decision to adopt a run of the river scheme was based on three main considerations.
Techno-economic Performance
Environmental and social impact
Regional Integration and Power Evacuation
The Wangchhu Hydroelectric Project forms part of the broader framework of hydropower cooperation between the Royal Government of Bhutan and the Government of India. Power evacuation is planned through a 400 kV transmission line connected to the regional grid, which will enable the export of surplus clean energy.
Through an optimized technical design and a strong development partnership, Wangchhu Hydroelectric Power Limited aims to deliver reliable, clean electricity while meeting high standards of environmental and social responsibility.
Current Status
The partnership between Druk Green Power Corporation Limited and Adani Power Limited to develop up to 5,000 MW of hydropower in Bhutan was formalized through a Memorandum of Understanding signed on January 3, 2026, at the Kuenray of Tashichhodzong, Thimphu, in the august presence of His Majesty The King of Bhutan. The Wangchhu Hydroelectric Project is the first project taken forward under this framework. The foundation stone for the 570 MW project was laid by the Prime Minister of Bhutan and the Chairman of the Adani Group, and a ground breaking ceremony at the powerhouse site marked the start of construction related activities.
The Concession Agreement and Shareholders Agreement were signed in September 2025. The Board of Directors and the Chief Executive Officer have been appointed, and the company has initiated equity injection and project implementation.
As an initial phase of works, the project is proceeding with the construction and upgrading of 48.55 kilometres of access and farm roads. Bids for four contract packages were invited on December 31, 2025, opened on January 30, 2026, and the evaluation in advance stage of completion.
Bids for the recruitment of the Design Consultant were issued on January 23, 2026 and are scheduled to be opened on March 4, 2026. Following public consultation on January 12, 2026, the land acquisition process is currently in progress.
