Adani Power and Druk Green to Set Up 570 MW Hydroelectric Project in Bhutan; Share Price Surges Over 5%

Adani Power and Bhutan’s state-owned Druk Green Power Corporation (DGPC) have signed agreements to build the Wangchhu hydroelectric project, as per the reports. The 570 MW project involves an investment of around ₹6,000 crore. 

The agreements were signed in New Delhi in the presence of Bhutan’s Prime Minister Dasho Tshering Tobgay and Adani Group Chairman Gautam Adani.

Project Model and Agreements

The Wangchhu project will be set up under the Build, Own, Operate, Transfer (BOOT) model. Both a concession agreement and a power purchase agreement were finalised as part of the process. The detailed project report has been completed.

Construction Timeline

Construction work is scheduled to begin in the first half of 2026. The project is expected to take five years from the time of groundbreaking to completion. Once operational, it will contribute significantly to Bhutan’s power supply.

Power Demand and Exports

The Wangchhu plant is designed as a run-of-river project. It is expected to meet Bhutan’s winter electricity requirements, when hydropower generation is usually lower. During the summer months, surplus electricity will be exported to India.

Read more: Adani Power Shareholders Approve 1:5 Stock Split!

Other Energy Partnerships

This project is the first to be taken up under a memorandum of understanding signed in May 2025 between Adani Group and DGPC. The MoU outlined plans to jointly develop 5,000 MW of hydropower capacity in Bhutan. Discussions are ongoing for more projects under this partnership.

Bhutan’s Energy Goals

DGPC is Bhutan’s only power generation utility, currently operating a little over 2,500 MW of capacity. The company has set a target of reaching 25,000 MW of hydropower and 5,000 MW of solar power by 2040. Established in 2008, DGPC operates under Druk Holding & Investments, the commercial arm of the Bhutanese government.

Adani Power Share Price Performance 

As of 11:02 AM on September 08, 2025, Adani Power share price was trading at ₹641.65, a 5.24% increase from the previous closing price.

Conclusion

The 570 MW Wangchhu project will add to Bhutan’s existing generation capacity and support electricity trade between Bhutan and India.

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