Tata Power targets Bhutan hydel projects

Tata Power wants to undertake co-development of large hydel projects in Bhutan and sell power to India for domestic electricity market.

The company has written to B. K. Chaturvedi, member, Planning Commission, to examine the possibility of private sector participation. Tata Power claims this idea has gained favor with the Bhutanese government.

So far, only public sector undertakings such as NHPC have been given the exclusive right to develop hydro electric projects in Bhutan.

At present, Tata Power is the co-developer of the 125 MW Dacachu HEP in Bhutan and has 26% share of equity in the project that brings 100% of the generated electricity to India. The project is at an advanced stage of development and is likely to be commissioned in 2013-14.

The long-distance 400 kV power evacuation systems to transmit power from the Tala HEP to India have also been constructed and are operated by Tata Power under a joint venture arrangement with Powergrid.

NCC Infrastrcture Holdings Limited,another private sectordeveloper, has also expressed keen interest in developing hydel projects in Bhutan.