**Executive Summary**
On April 10, 2026, the Union Minister of Power and Housing & Urban Affairs, Shri Manohar Lal, visited the Punatsangchhu-I and Punatsangchhu-II Hydropower Project sites in Bhutan. The visit centered on a milestone concrete pouring ceremony at Punatsangchhu-I and an operational review of Punatsangchhu-II, which was inaugurated in November 2025. These activities underscore the ongoing bilateral energy partnership, focusing on financial assistance, technical collaboration, and the export of clean power to India.
**Key Points / Main Content**
**Punatsangchhu-I Hydropower Project**
* **Significant Milestone:** The Union Minister participated in the ceremony for the pour of concrete of the dam, a critical step in the project’s development.
* **Scale and Impact:** As the largest joint hydropower venture between India and Bhutan, the project is intended to substantially enhance Bhutan’s hydropower capacity upon completion.
* **Status Review:** The Minister inspected the powerhouse and received briefings on implementation status and achieved milestones.
**Punatsangchhu-II Hydropower Project**
* **Operational Performance:** Since its joint inauguration on November 11, 2025, the project has become a major contributor to Bhutan’s energy sector, generating significant electricity and revenue.
* **Clean Energy Export:** The facility enables the export of clean power to India, contributing to the regional energy grid.
* **Economic Contribution:** The project is recognized as a driver of Bhutan’s economic growth and an example of successful operational efficiency.
**Bilateral Energy Cooperation**
* **Strategic Partnership:** The visit highlighted a long-standing partnership characterized by India’s continued financial assistance and technical expertise.
* **Collaborative Effort:** The Minister commended the coordinated efforts of engineers and experts from both nations in advancing projects safely and efficiently.
* **Sustainability Commitment:** India reaffirmed its dedication to supporting Bhutan in sustainable energy development.
**Impact Analysis**
**Stakeholder: Royal Government of Bhutan**
**Impact**
The government benefits from increased national energy capacity, substantial revenue generation, and economic growth driven by the successful execution of hydropower projects.
**Action Required**
Continue coordination with Indian counterparts to ensure the timely completion of Punatsangchhu-I and maintain the operational efficiency of Punatsangchhu-II.
**Stakeholder: Government of India (Ministry of Power)**
**Impact**
India strengthens its diplomatic ties with Bhutan and secures a reliable source of clean energy imports to meet domestic demand.
**Action Required**
Maintain the provision of financial assistance and technical collaboration as part of the long-term commitment to Bhutan’s energy sector.
**Stakeholder: Project Engineers and Technical Experts**
**Impact**
Technical teams from both countries are responsible for the safe and efficient advancement of complex infrastructure milestones.
**Action Required**
Must continue coordinated efforts to meet development targets, such as the ongoing dam construction at the Punatsangchhu-I site.
Key Entities Referenced
Punatsangchhu-I Hydropower Project: The largest joint hydropower venture between India and Bhutan, currently undergoing dam construction to enhance regional energy capacity.
Punatsangchhu-II Hydropower Project: An operational joint venture project that generates electricity and revenue for Bhutan while exporting clean power to India.
Ministry of Power: The primary Indian government department responsible for overseeing the development and implementation of bilateral hydropower projects.
Manohar Lal: Union Minister of Power and Housing & Urban Affairs who conducted the official visit to review project milestones and energy cooperation.
Bhutan: The host nation and strategic partner for these joint hydropower ventures, central to the bilateral energy development relationship.
Ministry of Power
Union Minister Shri Manohar Lal Visits
Punatsangchhu Hydropower Projects;
Participates in Key Milestone Ceremony
Posted On: 10 APR 2026 4:21PM by PIB Delhi
The Union Minister of Power and Housing & Urban Affairs, Shri Manohar Lal, on the second day of his
visit to Bhutan, visited to the Punatsangchhu-I and Punatsangchhu-II Hydropower Project sites.
At the Punatsangchhu-I project site, the Union Minister attended the ceremony for pour of concrete of the
dam, marking a significant milestone in the development of the project. The project, the largest joint
hydropower venture between the two countries, is expected to enhance Bhutan’s hydropower capacity
substantially upon completion.During the visit, Shri Manohar Lal emphasized the long-standing partnership in the energy sector, noted
India’s continued support including financial assistance and technical collaboration, and commended the
coordinated efforts of engineers and experts from both sides in advancing the project safely and
efficiently. He also inspected the powerhouse and was briefed on the status of implementation and key
milestones achieved.
Shri Manohar Lal then visited the Punatsangchhu-II project, which was jointly inaugurated on 11
November 2025 by Shri Narendra Modi, the Prime Minister of India, and His Majesty Jigme Khesar
Namgyel Wangchuck, has since emerged as a significant contributor to Bhutan’s energy sector.
The Union Minister reviewed the operational performance of the project, noting that it has already
generated substantial electricity and revenue while enabling exports of clean power to India. He
appreciated the successful execution and operational efficiency of the project, acknowledged its
contribution to Bhutan’s economic growth, and reaffirmed India’s continued commitment to supporting
Bhutan in sustainable energy development. The visit included inspection of the powerhouse and dam site,
where he was apprised of ongoing operations.Shri Manohar Lal also visited the Wangdue Phodrang Dzong, which is a repository of Bhutan’s rich
historical and cultural heritage.
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NR/AP
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