Dorjilung Hydroelectric Power Project (WB-P501271)

Regions
  • South Asia
Geographic location where the impacts of the investment may be experienced.
Countries
  • Bhutan
Geographic location where the impacts of the investment may be experienced.
Specific Location
Mongar and Lhuentse districts
Whenever identified, the area within countries where the impacts of the investment may be experienced. Exact locations of projects may not be identified fully or at all in project documents. Please review updated project documents and community-led assessments.
Financial Institutions
  • World Bank (WB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
A
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."
Voting Date
Jan 22, 2026
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
Government of Bhutan
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Energy
  • Hydropower
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Grant, Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 515.00 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.
Loan Amount (USD)
$ 365.00 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.
Grant Amount (USD)
$ 150.00 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.
Project Cost (USD)
$ 1,715.00 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.
Bank Documents
Primary Source

Original disclosure @ WB website

Updated in EWS Oct 5, 2026

Disclosed by Bank Mar 3, 2025

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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.

Dorjilung Hydroelectric Power Project for Bhutan has the development objective to increase hydropower capacity through private investments. The project comprises:

  • Component A - Preparatory Works, which includes Sub-components for preparatory works and Community and Local Development (CLD) tailored investments. The preparatory works Sub-component covers construction and strengthening of about twenty kilometers of access roads and bridges, establishment of site offices and on-site housing, development of construction power infrastructure, and early diversion works such as two diversion tunnels to enable concrete dam construction and adits to accelerate main works mobilization. The CLD Sub-component supports Mongar and Lhuentse districts through skilling and tailored training, enterprise development support, and finance for nano and micro enterprises without using financial intermediaries, along with community-prioritized last-mile infrastructure to improve local amenities and services, including actions that promote women's labor-force participation.
  • Component B - Dam, Powerhouse, and Electromechanical Works includes Sub-components for construction of main hydraulic structures and for the power generation facility. The construction of main hydraulic structures Sub-component covers civil and hydromechanical works for a roller-compacted concrete dam of approximately one hundred thirty-nine point five meters height and two hundred forty-one meters crest length, a single headrace tunnel of about fifteen kilometers, an underground powerhouse complex, and installation of hydromechanical equipment, with dam safety planning and geohazard-informed design integrated throughout. The power generation facility Sub-component provides electrical and electromechanical works, including design, supply, and installation of six Francis turbine-generating units of one hundred eighty-seven point five megawatt each, underground switchyard equipment, centralized control systems, and auxiliary electrical and mechanical systems to deliver climate-resilient, peaking run-of-river generation for domestic supply in winter and exports under long-term power purchase agreements.
Investment Description
Here you can find a list of individual development financial institutions that finance the project.
Private Actors Description
A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.

As stated on the company's website, the Dorjilung Hydroelectric Power Project (DHPP) is one of Bhutan's most important national infrastructure initiatives. It is envisioned as a transformational 1,125 MW run-of-river project that will significantly strengthen the country's long-term energy security, economic development, and commitment to low-carbon growth. Recognized as a national priority by His Majesty the King, DHPP represents a modern approach to hydropower development, one that emphasizes strong environmental and social safeguards, adherence to international best practices, and a transparent Public-Private Partnership model between Druk Green Power Corporation Limited (DGPC) and Tata Power Company Limited of India. Supported by the financial and technical expertise of the World Bank Group, the project is expected to become a leading example of sustainable hydropower development in South Asia. 

Private Actor 1 Private Actor 1 Role Private Actor 1 Sector Relation Private Actor 2 Private Actor 2 Role Private Actor 2 Sector
Tata Power Co Ltd Client Energy contracts with DRUK GREEN POWER CORPORATION LTD Client Hydropower

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.

World Bank Team Leader:

Sunil Kumar Khosla - Lead Energy Specialist
Email: Skhosla1@worldbank.org 

ACCESS TO INFORMATION

To submit an information request for project information, you will have to create an account to access the Access to Information request form. You can learn more about this process at: https://www.worldbank.org/en/access-to-information/request-submission

ACCOUNTABILITY MECHANISM OF THE WORLD BANK

The World Bank Inspection Panel is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by a World Bank-financed project. If you submit a complaint to the Inspection Panel, they may investigate to assess whether the World Bank is following its own policies and procedures for preventing harm to people or the environment. You can contact the Inspection Panel or submit a complaint by emailing ipanel@worldbank.org. Information on how to file a complaint and a complaint request form are available at: https://www.inspectionpanel.org/how-to-file-complaint

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How it works