Tata Power Dorjilung Project: Bhutan Hydropower

On: Sunday, November 23, 2025 10:55 PM
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Tata Power’s Dorjilung Project Analyzed

Tata Power has teamed up with Druk Green Power Corporation to build a huge hydropower project in Bhutan. This 1,125-megawatt project, called Dorjilung, will help both countries get more clean energy. It’s like a big, new water dam, but instead of holding lots of water, it uses the river’s flow to make electricity.

Key Points

  • Tata Power & DGPC share ownership (60/40).
  • 1,125 MW hydropower project built in Bhutan.
  • Uses Kurichhu River flow, six units total.
  • Rs 1,572 crore investment from Tata Power.
  • Second-largest hydro project, largest PPP in Bhutan.
  • Starts operation in September 2031, 80% for India.

The project is made possible by a special company, called a Special Purpose Vehicle (SPV). This means Tata Power and DGPC will own pieces of this new company. Tata Power will own 60%, while DGPC will own 40%. This makes the project a partnership, working together for the best results.

The Dorjilung project is a “run-of-the-river” project, meaning it doesn’t store a lot of water. Instead, it uses the water flowing through the Kurichhu River to generate electricity. It has six separate units, each capable of producing 187.5 megawatts. The six-hour pondage helps smooth out the electricity output for steady power.

The total cost of the project is a whopping Rs 13,100 crore! Tata Power is putting in around Rs 1,572 crore to get this massive project going. The project is also getting support from the World Bank, which means it’s a big step forward for international clean energy collaboration.

When the Dorjilung project is finished in September 2031, it will be Bhutan’s second-largest hydropower project. Most of the electricity it creates – about 80% – will be sent to India. This will help India have more reliable and cleaner energy.

Because of this project, Tata Power will become a bigger part of the “Himalayan renewable energy corridor” – a group of countries working together to use renewable energy from the mountains.

“This partnership underscores our commitment to expanding clean energy solutions globally and strengthening regional energy security.”