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Bhutan targets 5,000 MW solar capacity by 2040, starting with projects in Sephu and Jamjee by 2025. Image Credit/Source: Hoan Ngọc/Pexels
Bhutan’s renewable energy sector is expanding with new solar projects, including the 17.38 MW utility solar plant in Sephu, scheduled for completion by March 2025. An additional 5 MW capacity will increase its annual energy generation to 31 million units by September 2025. Funded by the Asian Development Bank at a cost of Nu 1.5 billion (~$17.4 million), the project is managed by the Department of Energy under the Ministry of Energy and Natural Resources. Druk Green Power Corporation (DGPC), headquartered in Thimphu, has also completed a feasibility study for a 120 MW solar plant in Jamjee, set to begin construction in 2025. Bhutan aims to generate 20 GW by 2040, including 5 GW from solar, addressing seasonal hydropower shortfalls. DGPC leads these initiatives, allowing up to 49% private sector ownership, supported by evolving policies and frameworks.