The renewable energy sector has been growing at an astonishing rate over the past few years, with nations that previously relied on the conventional energy sector turning to the untapped power of the renewable energy market for the first time. Amid the sea of possibilities that the sector presents, solar power has emerged as the go-to energy resource that can efficiently transform any nation’s energy sector. Reliance Power has now revealed that it has partnered with the mysterious nation of Bhutan to build the nation’s largest solar project over the coming years.
Bhutan is turning to the renewable energy sector as energy demand increases
Bhutan is a small country that is mostly dominated by mountain ranges, making traditional energy generation methods a challenge. Up until now, the country has imported the vast majority of its energy from outside its borders; however, it has recently been revealed that Reliance Power, a major Indian renewable energy company, has signed a deal with Green Digital Private Limited, a company owned by Bhutan’s government, to build the nation’s largest solar project.
“The landmark solar investment in Bhutan underscores Reliance Group’s strategic focus on expanding its renewable energy portfolio, while reinforcing its long-term commitment to strengthening India-Bhutan economic cooperation. Reliance Power’s total clean energy pipeline stands at 2.5 GWp solar and >2.5 GWhr BESS, making it India’s largest player in the integrated Solar + BESS segment,” – Reliance Power statement
The new deal is a 50-50 joint venture between Bhutan’s Druk Holding and Investments (DHI) and Reliance Power. The new solar project will be the largest in Bhutan, with an estimated cost of around ₹2,000 crore. The deal benefits both nations as Bhutan aims to increase energy production, which it can then share with India.
The renewable energy sector has grown beyond expectations, marking a new era in the global energy market
Bhutan’s decision to increase renewable energy production comes amid the global energy sector’s diversification. Multiple nations that used to rely on the conventional energy sector are seeing increased investments in the renewable energy sector.
The power generated will enable Bhutan to become a player in the global energy sector for the first time. The electricity produced by the all-new solar farm will be sold through a long-term agreement with Green Digital. Reliance has already begun the search for funding for the project by holding discussions with several banks and lenders.
The new agreement establishes a long-term relationship between India and Bhutan
The agreement between Bhutan and Reliance Power includes the joint development of a 500 MW solar power project, not to mention the long-term execution and operation of the 770 MW Chamkharchhu-I hydroelectric project. The development in Bhutan points to the global energy market shifting to the renewable energy sector following years of stagnation.
India’s expertise in solar power projects has become evident in recent months, with the nation finally launching its first solar park integrated with battery storage, marking a new era for the industry as BESS becomes an essential tool to store the delicious solar power generated.
Solar power has become the belle of the renewable energy ball
Solar power has been with us in some form or another for decades now, with the first solar power systems being integrated in the early 80s. Since then, the world has slowly begun to understand and embrace the electricity-generating properties that solar power has stored away in abundance. Solar power has become so popular in some regions of the world that the government of Australia is set to offer citizens up to three hours of free electricity thanks to the astonishing embrace of the sector in the land down under. The time has come for the solar power sector to become the dominant force in the renewable sector.
