Bhutan, Bangladesh and India to jointly develop hydropower project

Costs are predicted to hit US$1.25b.

The governments of Bangladesh, India and Bhutan have signed a MoU under which they will jointly participate in the construction of the 1,125 MW Dorjilung hydropower project in Bhutan's Lhuentse district, according to Enerdata. The driver behind the deal is to help the future export of electricity from Bhutan to Bangladesh and India.

The project construction is expected to start soon while the costs are expected to reach US$1.25bn, of which US$1bn will be provided by Bangladesh.

"Bhutan's hydropower generating capacity is operated by the state-held Druk Green Power Corporation (DGPC), which notably owns the 126 MW Dagachhu hydro power plant under the framework of a joint venture with Tata Power," Enerdata said in a report.

This story was originally published by Enerdata.