South Asia Subregional Economic Cooperation Green Power Investment Program (ADB-48489-003)

  • Bhutan
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • Asian Development Bank (ADB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
  • Climate and Environment
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 227.94 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Primary Source

Original disclosure @ ADB website

Updated in EWS Jun 26, 2020

Disclosed by Bank Sep 1, 2016

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.


The proposed multitranche financing facility totaling of $320 million will support the development of run-of-river hydropower plant and transmission system facilities in the eastern region of Bhutan. The power generated from the plant can be supplied through the eastern grid network system for dual purposes of export and domestic consumption.


The proposed investment program is a multitranche financing facility (MFF) to support development of the Nyera Amari run-of-river hydropower plant and a transmission system. The power generated from the plant can be supplied through the eastern grid network system for dual purposes of export and domestic consumption. This approach will make a geographical balance in development support from the Asian Development Bank (ADB), following the Dagachhu hydropower plant (126 MW) in the western region, and the Nikachhu hydropower plant (118 MW) in the central region. While the eastern region has the highest population among the regions, it has been less developed in overall infrastructure, and is more likely to be poor than other regions. The government of Bhutan aims for balanced regional development, which is to ensure that inclusive development is equitably spread across the country.

The government regards its continued hydropower development as the country's economic key driver that will help maximize local, national, and regional development impacts. Hydropower generation contributes to one-fifth of the country's gross domestic product. Out of Bhutan's installed generation capacity (1,614 MW), about 75% is exported to India after meeting domestic electricity demand. The hydropower exports account for one-third of government revenue; they are primary source for government spending on socioeconomic development for social services such as health, education, and rural development. Hydropower development forms the foundation of the economy and social system in Bhutan.


Cross-border power trading expanded.


Clean hydropower supply for power export and domestic consumption increased.


It is unknown whether any project implementation consultants would be hired under this loan.


The Nyera Amari hydropower plant will be developed with two stages by a project's special purpose company to be established by DGPC. Therefore, DGPC is the executing agency, and the project company will be the implementing agency. For the transmission, BPC will be the executing and implementing agency. Procurement packages will come later.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

F Facility Concept: South Asia Subregional Economic Cooperation Green Power Investment Program
Ordinary capital resources US$ 227.94 million
Concessional ordinary capital resources / Asian Development Fund US$ 92.06 million
Commercial Bank - International US$ 280.00 million

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.


The Accountability Mechanism is an independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an Asian Development Bank-financed project. If you submit a complaint to the Accountability Mechanism, they may investigate to assess whether the Asian Development Bank is following its own policies and procedures for preventing harm to people or the environment. You can learn more about the Accountability Mechanism and how to file a complaint at:


Responsible ADB Officer Ogino, Kaoru
Responsible ADB Department South Asia Department
Responsible ADB Division Energy Division, SARD
Executing Agencies
Bhutan Power Corporation
PO Box 589
Thimpu, Bhutan
Druk Green Power Corporation

How it works

How it works