Mangdechhu Hydroelectric Power Project

December 28, 2022

The 720 Megawatts Mangdechhu Hydroelectric Power Project, which was implemented with the assistance from India, was recently handed over to the Druk Green Power Corporation (DGPC) in Bhutan. With this handing over, the two countries have successfully completed four mega hydroelectric power projects.

What is Mangdechhu Hydroelectric Power Project?

  • The 720 MW project Mangdechhu Hydroelectric Power Project was jointly inaugurated by Indian Prime Minister Narendra Modi and his Bhutanese counterpart Lotay Tshering in 2019.
  • The Indian Government provided the financial and technical assistance for the construction of this hydroelectric project.
  • The commissioning of this hydroelectric power project has increased the electrical power generation capacity of Bhutan by 44 per cent and it is currently at 2,326 Mega Watts.
  • The project has generated more than 9,000 million units of energy since the commissioning, bringing down 2.4 million tonnes of carbon emissions each year.
  • This is significant, given that the hydropower sector is expected to contribute to Bhutan’s economic growth and development based on the philosophy of Gross National Happiness.
  • The project had increased the country’s hydropower revenue by 31 per cent in 2020. It exported electricity worth Rs.12.13 billion to India in 2021. This has increased Bhutan’s electricity exports to Rs.24.43 billion.
  • The project received Brunel Medal 2020 from the Institute of Civil Engineers, London. It was recognized for its excellence in civil engineering and its social and environmental credentials.

India-Bhutan hydropower relations

The bilateral hydropower cooperation began in 1961 when the Jaldhaka agreement was signed. The Jaldhaka project is situated in West Bengal, with the hydropower generated from the plant being exported to southern Bhutan.

Bhutan’s first mega power project – 336 MW Chukha Hydropower Project (CHP) – was fully funded by the Indian Government. The success of this project paved the way several other mega hydropower projects in Bhutan.

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