• Reliance Group plans to develop solar and hydro power projects in Bhutan, marking its commitment to renewable energy.
• The new subsidiary will collaborate with Bhutan's Druk Holding and Investments to develop 1,270 megawatts of power projects.
• The investment amount for these projects has not been disclosed, but Reliance Power recently raised $183 million and plans to raise more funds.
• This project signifies Reliance Group's expansion into renewable energy and strengthens Bhutan's green energy landscape.

The Indian conglomerate, Reliance Group, led by Anil Ambani, has announced a significant move towards renewable energy. The group plans to develop solar and hydro power projects in Bhutan, a step that marks its commitment to green energy. The new subsidiary, equally owned by Mumbai-listed units Reliance Power and Reliance Infrastructure, will be at the helm of this venture. This subsidiary will collaborate with Bhutan's Druk Holding and Investments to develop 500 megawatts of solar power projects and 770 megawatts of hydro power projects.

The strategic partnership with Druk Holding and Investments Ltd (DHI), the commercial and investment arm of the Royal Government of Bhutan, is a significant step towards bolstering investment in the renewable and green energy landscape of Bhutan. The primary objective of this collaboration is to promote and invest in the clean and green energy sector in Bhutan. The partnership will focus on green energy generation, specifically solar and hydropower initiatives, while also exploring innovative green technologies.

The Reliance Group's foray into Bhutan's renewable energy sector is a monumental task, as it involves the construction of Bhutan's largest solar plant. The conglomerate's entry into the neighboring country for 1,270 megawatt solar and hydroelectric projects in the Himalayan Kingdom is a testament to its commitment to renewable energy.

Reliance Group's Investment and Funding Strategy

However, the conglomerate has not disclosed the investment amount for these projects. Reliance Power, which aims to expand in the renewable energy sector, raised $183 million last week and plans to raise more funds on Thursday. The Mumbai-headquartered company had last week stated that it had no debt from banks and financial institutions after settling dues of $461 million towards its unit. This indicates that part of the investment for these projects will come from the proceeds of this potential stake sale.

This move by the Reliance Group is not an isolated incident. In June, Indian billionaire Gautam Adani's ports-to-power conglomerate signed an agreement for a 570 megawatt green hydro project in Bhutan. This trend of Indian conglomerates investing in Bhutan's renewable energy sector is a positive sign for the country's green energy landscape.

The total capacity of the solar and hydro power projects that Reliance Group plans to develop in Bhutan is 1,270 megawatts, combining 500 MW of solar power projects and 770 MW of hydro power projects. This project signifies Reliance Group's expansion into renewable energy, particularly in Bhutan, and strengthens Bhutan's green energy landscape through a strategic partnership with Druk Holding and Investments. It contributes to both the company's and the country's renewable energy goals.

Impact of the Project on Bhutan's Green Energy Landscape

The partnership between Reliance Group and Druk Holding and Investments was announced on October 2, 2024. The largest solar plant under this project will be developed in Bhutan. This project is significant for Reliance Group and Bhutan as it signifies Reliance Group's expansion into renewable energy and strengthens Bhutan's green energy landscape.