Tata Energy, Bhutan’s Druk Inexperienced Energy Corp to develop 5,000 MW clear vitality tasks

The collaboration marks the biggest partnership between two of the main energy corporations of the 2 nations in Asia’s clear vitality sector. Representational file picture.
| Photograph Credit score: Reuters

Tata Energy on Tuesday (November 19, 2024) stated it has entered right into a strategic partnership with Bhutan’s Druk Inexperienced Energy Company Ltd (DGPC) for the event of 5,000 MW of fresh vitality capability within the Himalayan nation.

DGPC, is a subsidiary of Druk Holding and Investments Ltd, the only technology utility of Bhutan.

The collaboration marks the biggest partnership between two of the main energy corporations of the 2 nations in Asia’s clear vitality sector, Tata Energy stated in a press release.

By the collaboration, a minimum of 5,000 MW of renewable vitality tasks; together with 4,500 MW of hydropower comprising the 1,125 MW Dorjilung HEP (hydro-electric challenge); 740 MW Gongri Reservoir; 1,800 MW Jeri Pumped Storage; and 364 MW Chamkharchhu IV shall be developed in phases, the assertion stated.

One other 500 MW of photo voltaic tasks shall be developed by Tata Energy Renewable Vitality Ltd (TPREL), a subsidiary of Tata Energy.

“Tata Energy’s partnership with Druk Inexperienced Energy Company reinforces our credentials as probably the most most well-liked clear vitality accomplice within the area. Collectively, we’re constructing 5000 MW of fresh vitality capability that may assist harness Bhutan’s hydropower potential and help each international locations’ rising vitality calls for with dependable and round the clock clear vitality provide. Collectively we’re shaping a brand new vitality period,” Praveer Sinha, CEO & MD, Tata Energy, stated.

The Memorandum of Understanding (MoU) was signed at Thimphu between Dasho Chhewang Rinzin, MD – DGPC and Praveer Sinha, CEO & MD – Tata Energy, within the presence of Prime Minister of Bhutan, Dasho Tshering Tobgay; Minister for Vitality & Pure Sources, Lyonpo Gem Tshering; Chairman – Tata Sons, N Chandrasekaran; Ambassador of India to Bhutan, Sudhakar Dalela; and different senior officers from the Royal Authorities of Bhutan, Embassy of India, DGPC and Tata Energy.

“This strategic partnership with Tata Energy is consistent with Bhutan’s aspirations to maximise advantages to the individuals of Bhutan via fast-tracking the harnessing of its large renewable vitality assets for its financial growth and long-term vitality safety,” Dasho Chhewang Rinzin, MD, DGPC stated.

Tata Energy has had a long-standing relationship with DGPC since 2008, when the 2 corporations joined forces to efficiently develop the 126 MW Dagachhu Hydropower Plant as the primary Public-Non-public Partnership in Bhutan’s hydropower sector.

Tata Energy additionally has a transmission challenge of 1,200-km lengthy Tala transmission line that evacuates clear energy from Bhutan to India.

As a precursor to this collaboration, Tata Energy just lately acquired a 40 per cent stake within the 600 MW Khorlochhu Hydroelectric Undertaking.

Tata Energy has a strong clear and inexperienced portfolio crossing 12.9 GW (6.4 GW operational, 6.5 GW below development) which constitutes 42 per cent of its complete capability, and is well-positioned to broaden this to 70 per cent by 2030.

Bhutan’s hydropower technology which peaks throughout the monsoon months enhances India’s demand patterns that additionally peak in the summertime months.

Extra importantly, Bhutan sees its hydropower as crucial in making certain round the clock availability of energy with India’s large investments in renewables reminiscent of photo voltaic and wind and the plans to additional speed up investments in these renewables over the subsequent twenty years.

DGPC has a portfolio of two,453 MW of Hydro capability in Bhutan, a big share of which is being exported to India, particularly throughout the monsoon months. DGPC is envisioned to attain 5,500 MW Hydro capability throughout the subsequent 5 years timeline together with investments & growth of Small Hydro and photo voltaic Tasks.