Bhutan’s Biggest Solar Project Yet: A Giant Leap Toward Energy Security

As Bhutan’s glaciers melt and hydropower becomes increasingly vulnerable to climate change, the Kingdom is turning its face toward the sun—literally. With rising temperatures and erratic rainfall threatening its energy lifeline, Bhutan is quietly investing in solar power as a resilient alternative to secure its future.

Bhutan’s Biggest Solar Project Yet: A Giant Leap Toward Energy Security

Bhutan inaugurated its first-ever utility-scale solar photovoltaic (PV) power plant on July 19 in Yongtru village, Sephu Gewog (Village Block), in Wangdue Phodrang in central part of Bhutan which is about five hours journey from the capital, Thimphu. Taking a major step forward in the country’s journey toward clean and diversified energy.

The new solar power plant is Bhutan’s largest grid-connected solar project to date. It is spread across 44 acres of land and fitted with around 26,500 solar panels. Once fully operational, it will have the capacity to generate up to 22.38 megawatt-peak (MWp) of electricity.

solar project in bhutan chencho dema2

This capacity will help meet domestic energy demand, especially during winter months when Bhutan’s hydropower generation declines due to low river flows. The project is being developed into two phases. The phase-I is operational with 17.38 MWp and is expected to generate 25 million kilowatt-hours (kWh) annually. The phase-II which adds five MWp with around 8,700 additional solar panels, is scheduled for commissioning in September. 

The groundbreaking ceremony took place on July 11, 2023, on the only available land after the government was unable to secure a site elsewhere in the country. The project is built on former grazing land for Yongtru and Longmaed villages. 

solar project in bhutan chencho dema4

Funding of the project

The total project funding includes a USD 10 million grant and USD 8.26 million concessional loan from Asian Development Bank (ADB). There is additional funding from the government with a contribution of USD 0.99 million. 

Originally planned with a capacity of 17.38 MWp spread over 65 acres, the project’s scope was expanded to 22.38 MWp after surplus funds became available. At present, the solar plant occupies 63 acres, leaving 2 acres still unused.

Why this project matters?

Bhutan has long relied on hydropower as its main source of electricity, but climate change is making river flows more unpredictable. This solar project is part of Bhutan’s plan to diversify its energy mix and reduce dependence on a single source.

It also supports the government’s broader target of reaching 500 MW of solar power by 2025 and 1,000 MW by 2030, helping strengthen national energy security and sustainability.

This project not only marks Bhutan’s entry into utility-scale solar energy but also reflects its commitment to climate resilience and sustainable development. The Renewable Energy Management Master Plan 2016 estimates Bhutan’s solar power potential at 12 gigawatts.

The plant is expected to cut Bhutan’s annual electricity imports by around 25 million units—an important reduction during winter months when hydropower output usually drops. Bhutan imported nearly 999 million units of electricity in 2024, at a cost of Nu 3.4 billion.

solar project in bhutan chencho dema1

More big solar projects on the horizon

Druk Green Power Corporation Limited (DGPC) awarded the contract for the 120 megawatt-peak (MWp) Jamjee Solar Photovoltaic Project in Thimphu to the HILD-Rigsar Consortium. This project will be Bhutan’s first and largest grid-connected utility-scale solar power plant, marking a significant leap in the country’s renewable energy ambitions.

Beyond Jamjee, several other large-scale solar projects are in development to boost Bhutan’s clean energy capacity. Notably, planned installations in Apa Amai Pang (Dagana) and Tang Valley (Bumthang) each aim for capacities exceeding 100 MW. These upcoming projects underscore Bhutan’s commitment to diversifying its energy sources and strengthening energy security.

Community benefits beyond energy

Beyond generating clean electricity, the project has brought tangible benefits to more than 22 affected households in the area. These include the blacktopping of a farm road, plantation efforts covering 7.5 hectares, and ongoing work to improve drinking water supply. Additionally, construction is planned for a new road leading to Longtoed village and a community hall, further enhancing local infrastructure and quality of life. 

Initially, the Sephu community had concerns about the mega solar project, but now, seeing its benefits, the residents are pleased and actively participated in the project's commissioning celebration.

Looking ahead: a brighter, greener future for Bhutan

Bhutan’s leap into utility-scale solar energy marks not just a milestone in its renewable journey, but a bold step toward energy resilience and climate action. With groundbreaking projects like the Sephu solar plant and the upcoming Jamjee initiative, the country is actively diversifying its power sources to reduce reliance on hydropower and imports. 

Beyond clean electricity, these developments bring valuable community benefits and strengthen local infrastructure, showing that sustainable progress can be both inclusive and impactful. 

As Bhutan continues to harness the power of the sun, it sets an inspiring example for the region—lighting the way toward a more sustainable and self-reliant future.

solar project in bhutan chencho dema3



Related Posts

Bhutan’s Water Crisis: Climate Change and the Future of the...

Bhutan, a country rich in water resources, is facing an escalating crisis as climate change accelerates glacier retreat...

Feb 26, 2025 16:25

Bjoka Khoche: Discover One of Bhutan's Oldest Noble Mansions

Step inside Bjoka Khoche, an 18th-century noble mansion in Zhemgang, Bhutan. Learn about its fascinating history,...

Jul 22, 2026 13:26

Bhutan began construction of temple complex in Lumbini

Bhutan has officially begun construction of its Nu. 160 million (~US$1.69 million) temple complex in Lumbini, Nepal,...

Jun 30, 2026 10:34

Chumey Weavers Revive Traditional Wool Dyeing as Bumthang's...

Women weavers in Bhutan's Chhumey Valley are reviving traditional natural wool dyeing techniques to preserve the...

Jun 25, 2026 06:17

From Medals to Mindfulness: Advancing Yoga in Gelephu Mindfulness...

Gelephu Middle Secondary School is integrating yoga, mindfulness, creativity, and community engagement into education,...

Jun 22, 2026 14:59

Bhutan Launches Third Child Plus Programme Amid Falling Birth...

Bhutan has launched the Third Child Plus Programme, providing Nu 10,000 monthly support for eligible third and...

Jun 09, 2026 10:24

Latest

News

Bjoka Khoche: Discover One of Bhutan's Oldest Noble Mansions

Step inside Bjoka Khoche, an 18th-century noble mansion in Zhemgang, Bhutan. Learn about its fascinating history, traditional architecture,...

Jul 22, 2026 13:26

Bhutan began construction of temple complex in Lumbini

Bhutan has officially begun construction of its Nu. 160 million (~US$1.69 million) temple complex in Lumbini, Nepal, strengthening cultural,...

Jun 30, 2026 10:34

Features

A Chance Encounter Led Me Back to Bhutan, and Changed How I See the World

A personal journey of reconnecting with a childhood caregiver leads to an unforgettable experience exploring Bhutan's culture, people, and...

Jul 15, 2026 21:51

Passion and Purpose: A Bridge Between Cultures

A Bhutanese tour guide reflects on 13 years of guiding visitors, sharing memorable experiences, cultural traditions, favourite places, and...

Jul 13, 2026 10:46

Business

Bhutan recognised first four Geographical Indication products

Bhutan has officially registered its first four Geographical Indication products, protecting traditional goods while creating new...

Jul 06, 2026 14:29

From Singapore to Thimphu: How Gikuna and Kizuna Built a Community Through Hospitality

A collaboration between Bhutan's Gikuna and Singapore's Kizuna has created new opportunities for hospitality training, cultural exchange,...

Jun 17, 2026 16:21

Sports

Paro FC becomes first in South Asia to earn AFC Two-Star youth academy recognition

Paro FC Football Academy has become the first club in South Asia to receive a Two-Star rating under the AFC Elite Youth Scheme, recognising...

Jul 09, 2026 10:06

Bhutan Football Steps onto a Bigger Stage with Hummel Partnership

Bhutan Football Federation signs a landmark MoU with Hummel, marking a major step forward for Bhutanese football through global partnership,...

Apr 16, 2026 11:15

Tourism

Rafting Through Bhutan's Largest River System: Exploring Panbang and Royal Manas

Explore Panbang, Bhutan's emerging ecotourism destination, through rafting adventures on the Drangme Chhu and Mangde Chhu, visits to Royal...

Jun 29, 2026 06:35

Bhutan Concluded First International Travel Mart, Announced 2027 Edition

Bhutan's inaugural Bhutan International Travel Mart 2026 attracted more than 200 international tourism buyers from 15 countries,...

Jun 15, 2026 16:00

Lifestyle

Traditional costumes of Bhutan and the evolution of kira

The Kingdom of Bhutan is unique for many reasons, but one peculiarity that sets them apart is their dress code.

May 27, 2026 11:25

Bhutan’s First Indoor Golf Bar: Inside The 19th Hole

Bhutan’s recreational scene has just gained an exciting new addition with the opening of The 19th Hole, the country’s first indoor golf...

Mar 16, 2026 11:16

GMC

GMC partners with Singapore's KKH to establish Bhutan's first IVF centre

Gelephu Mindfulness City Authority has partnered with Singapore's KK Women's and Children's Hospital to establish Bhutan's first IVF centre,...

Jul 24, 2026 11:49

Gelephu-Tareythang Road Project Reaches Key Planning Milestone

Bhutan's Gelephu-Tareythang Road Project is set to enter the tendering stage after the Detailed Project Report is completed this year. The...

Jul 23, 2026 11:32
Bhutan’s Biggest Solar Project Yet: A Giant Leap Toward Energy Security
0:00 0:00

Subscribe to our newsletter

Never miss out on new happenings and news stories!

newsletter

Download Daily Bhutan Mobile App

Connecting with us just got easier!

android app
apple app