Khorlochhu Hydro Power Limited (KHPL) has inked a term loan agreement with Power Finance Corporation (PFC) worth Rs 48.29 billion. The agreement also provides for a further standby credit facility of Rs 9.50 billion.
Furthermore, KHPL is developing the 600 MW Khorlochhu hydropower project in Bhutan, with an estimated cost of around Rs 69 billion. The cost is inclusive of financing charges. Additionally, the project is anticipated to be commissioned in 2029-2030.
Moreover, the hydropower project is projected to produce 2,524 million units of electricity per annum. It will cater to Bhutan’s winter power needs while allowing surplus generation to be exported to India in the summer.
Construction of the project is already in progress, with civil contracts awarded and work ongoing since January 2025. For power evacuation, a 145 km, 400 kV double-circuit transmission line will be laid from the project to the Goling pooling station. The transmission line will be constructed by Bhutan Power Corporation Limited.
KHPL is a joint venture (JV) of Druk Green Power Corporation Limited (DGPC) and Tata Power Company Limited. DGPC holds 60 per cent shares in the JV while Tata Power holds the remaining 40 per cent shares.
