Context
Adani Power and Bhutan’s state-owned Druk Green Power Corporation (DGPC) have signed a Shareholders Agreement for developing the 770 MW Chamkharchhu-I Hydroelectric Project.
About Chamkharchhu-I Hydropower Project
- Location: Planned on the Chamkharchhu River in Zhemgang district, central Bhutan.
- Capacity: 770 MW, developed as a run-of-river hydropower project.
- Ownership: Adani Power (49%) and Bhutan’s Druk Green Power Corporation (DGPC) (51%).
- Development Model: Build, Own, Operate and Transfer (BOOT) model with a 30-year concession from the date of commercial operation.
- Key Infrastructure: Includes a 108-metre concrete gravity dam, 19.2-km headrace tunnel and underground powerhouse.
Significance
- Energy Security: Helps meet Bhutan’s winter peak power demand amid seasonal variations in hydropower generation.
- Power Trade: Enables surplus electricity exports to India during summer, supporting cross-border power trade.
- Bilateral Energy Cooperation: Forms part of the broader 5,000 MW hydropower cooperation framework between Adani Group and Bhutan’s DGPC.
FAQs
Q1. What is the installed capacity of the project?
Ans: The project will have an installed capacity of 770 MW.
Q2. What is the equity structure of the project?
Ans: Adani Power holds 49%, while Druk Green Power Corporation (DGPC) holds 51% of the project.
Q3. What is a run-of-river hydropower project?
Ans: It generates electricity mainly using the natural flow of a river, with limited water storage compared with reservoir-based projects.
Q4. What is the Build, Own, Operate and Transfer (BOOT) model?
Ans: Under BOOT, a private developer builds, owns and operates the project for a specified period before transferring it to the government or designated authority.
