Reliance Power Partners with Bhutan for Renewables

Reliance Power partnered with Bhutan’s Druk Holding & Investments (DHI) in June 2025 to develop a 500 MW solar and 770 MW hydropower project, marking India’s largest private renewable investment in Bhutan. The deal supports India’s 500 GW non-fossil fuel target by 2030, per Outlook Business.

The Bhutan projects, costing $500 million, include a 500 MW solar plant and a 770 MW hydropower facility, generating 3,000 GWh annually. Reliance Power’s EPC tendering follows global standards, ensuring 90% efficiency. India’s 159.5 GW renewable capacity, with 108 GW solar, benefits from such cross-border initiatives, but 10% grid curtailment and 15% land acquisition delays pose challenges.

The solar project, using 22% efficient panels, will power 100,000 homes, cutting emissions by 500,000 tonnes annually. The hydropower project leverages Bhutan’s 30 GW hydro potential, with 85% untapped. Reliance’s 2.5 GW solar and 2.5 GWh battery storage pipeline aligns with the 2025 Budget’s $2 billion for renewables. Gujarat’s 5 GW hybrid projects offer a model, integrating solar and hydro for 15% cost savings.

Challenges include high financing costs (8% annually) and 5% environmental risks, requiring $50 million in mitigation. Posts on X highlight Reliance’s clean energy push, reflecting investor optimism. Global benchmarks, like Norway’s 30 GW hydro, show integrated planning, but India’s 80% equipment import reliance raises costs by 10%. Scaling requires 5,000 skilled workers and $100 million in training by 2030.

Conclusion

Reliance Power’s Bhutan partnership drives India’s renewable ambitions, supporting net-zero goals. Addressing financing and environmental challenges is critical for success.

Source: Outlook Business