Bhutan: Second Green Power Development Project

Construction of the 118 MW run-of-river Nikachhu hydropower plant will expand regional power trade by further increasing clean hydropower generation in Bhutan to meet growing domestic electricity demand, and also export power to India through a public-private partnership and the Clean Development Mechanism. Power exports account for one-third of government revenue: as such, hydropower revenues constitute a critical base of economic and social development in Bhutan.

PROJECT DETAILS

Approval3 Dec 2014
Funding TypeLoan/Grant
CountryBhutan
SectorEnergy
StatusOngoing
Total Cost$139.36 million

KEY OUTPUTS

Construction of the 118 megawatt run-of-river Nikachhu hydropower generation plant

Construction of 18.6 km of 132 kV transmission line

Enhanced project management and implementation capacity of Druk Green Power Corporation and Tangsibji Hydro Energy Limited

FINANCING

$50.5 million (Asian Development Fund grant and loan of $25.25 million each)

$70 million (Asian Development Bank)

$18.86 million (Druk Green Power Corporation)