Reliance Power, DHI Seal Rs 2,000 Cr Deal For 500 MW Solar Project In Bhutan

New Delhi, May 19 (KNN) Reliance Power has entered into a strategic partnership with Bhutan’s Druk Holding and Investments (DHI) to develop the country’s largest solar power installation.

The Rs 2,000 crore venture will create a 500 megawatt (MW) solar power facility structured as an equal partnership through a Build-Own-Operate (BOO) model.

The investment represents the most significant private sector foreign direct investment in Bhutan's solar energy sector to date. 

As part of the arrangement, Reliance Power has formalised a commercial term sheet for a long-term Power Purchase Agreement with Green Digital Private Limited, a subsidiary of DHI.

According to a statement released by Reliance Power, "The landmark solar investment in Bhutan underscores Reliance Group's strategic focus on expanding its renewable energy portfolio, while reinforcing its long-term commitment to strengthening India-Bhutan economic cooperation." 

The company further noted that its clean energy development pipeline now encompasses 2.5 gigawatts peak in the solar segment, positioning it as India's leading player in the integrated solar and Battery Energy Storage System sector.

The electricity generated by the facility will be supplied to Green Digital through a long-term contractual arrangement. 

Reliance Power has initiated a competitive bidding process to identify contractors for project implementation.

This solar development follows a broader strategic collaboration established in October 2024 between Reliance Enterprises—a joint venture between Reliance Power and Reliance Infrastructure—and Bhutan's DHI. 

That earlier agreement outlined plans for both the 500 MW solar installation and the execution and operation of the 770 MW Chamkharchhu-I hydroelectric project.

(KNN Bureau)