The World Bank’s Board of Executive Directors has approved long-term financing for the 1,125 MW Dorjilung Hydropower Project (DHPL), a significant step towards strengthening clean energy cooperation between India and Bhutan.

The project, a public-private partnership (PPP), is owned by Druk Green Power Corporation (DGPC) (60 percent) and Tata Power (40 percent). It will be Bhutan's largest hydropower initiative and is set to generate over 4,500 GWh of clean electricity annually, boosting Bhutan’s energy capacity by nearly 40 percent. Around 80 percent of the electricity produced will be supplied to India, strengthening regional energy security. Tata Power Trading Company will handle the import and distribution of power in India.

The financing includes a USD 150 million grant and USD 150 million credit from the International Development Association (IDA), as well as additional loans from the International Bank for Reconstruction and Development (IBRD) and the International Finance Corporation (IFC).