Reliance Power Enters A Long-Term PPA With Bhutan’s DHIL To Develop 500 MW Solar Power Project
Anil Ambani – backed Reliance Power has signed a long-term power purchase agreement (PPA) with Royal Government of Bhutan’s investment arm Druk Holding & Investments Limited (DHIL) – owned Green Digital Private Limited (GDL). According to this partnership, Reliance Power and DHIL will develop Bhutan’s largest 500 MW solar power project in a 50:50 partnership.
This is Bhutan’s FDI in solar sector, with an outlay of ₹ 2000 crores under build-own-operate model.
A press release by Reliance Power said the transaction highlighted Reliance Power’s continued focus on capital deployment into high-impact, long-duration clean energy assets, while strengthening its strategic positioning in the regional power infrastructure space.
The project will be implemented in phased tranches over the next 24 months. It is closely aligned with Bhutan’s strategic sustainability framework and broader regional energy transition across South Asia.
In a post on social media website X, Reliance Power it has commenced the Engineering, Procurement, and Construction (EPC) tendering process, adhering to international competitive bidding standards to ensure optimal technical execution and cost efficiency. The company has also initiated engagement with leading financial institutions to structure sustainable, long-tenor project finance solutions, focused on optimizing capital structure and enhancing overall financing efficiency.
This project is part of the strategic partnership that Reliance Enterprises and DHIL entered in October 2024 to develop solar and hydropower projects in Bhutan. The development of a 500 MW solar power project is a part of this partnership. The partnership also entails the execution and long-term operation of 770 MW Chamkharchhu-I hydroelectric project, a run-of-the-river asset structured under a long-term concession model, aligned with Bhutan’s national energy strategy.
