SJVN has inked an MoU with Druk Green Power Corporation (DGPC), Bhutan, to carry out work related to the development of a hydroelectric power plant in Bhutan.

An MoU has been signed for carrying out preconstruction activities for development of the Kholongchhu hydel-based power project, with 600 MW capacity, till formation of the joint venture company in Bhutan.

The project is located on the Kholongchhu river in Trashiyangtse Dozongkhag and will be developed and operated on BOOT basis.

Both the companies inked the MoU on 23 April 2014, after the intergovernmental agreement was signed on 22 April 2014, between the governments of India and Bhutan. The intergovernmental agreement was signed to define the common precepts, provisions, and obligations of the two governments, and be applicable to the JV hydroelectric projects as agreed between the two governments.