SKV Law Offices represented the Tata Power Company Limited (the “Tata Power”) in the formation of a strategic partnership with Druk Green Power Corporation Limited (the “DGPC”) for the development of the 1,125 MW Dorjilung Hydropower Project in Bhutan.
The project will be implemented through a Special Purpose Vehicle (SPV), in which DGPC will hold 60% and Tata Power will hold 40% equity. Designed as a run-of-the-river hydropower project with six units of 187.5 MW each, the Dorjilung Project will be constructed on the Kurichhu River in Mongar, Bhutan. With an estimated project cost of approximately ₹13,100 crore, it is positioned to become Bhutan’s second-largest hydropower installation and the country’s largest Public–Private Partnership (PPP) hydropower project to date.
This collaboration builds upon a longstanding clean-energy partnership between Tata Power and DGPC, following earlier landmark joint ventures including the Dagachhu Hydro Power Project (where Tata Power holds a 26% stake) and the ongoing 600 MW Khorlochhu Hydropower Project (where Tata Power holds a 40% stake). The Dorjilung project continues the momentum of cross-border renewable energy development between India and Bhutan, reflecting a shared commitment to sustainable and low-carbon power generation.
The project is expected to be commissioned in September 2031, with 80% of the generated power to be supplied to India, supporting regional energy security, grid stability, and clean power transition objectives.