India, Bhutan Unite on Connectivity and Renewable Energy to Boost Himalayan Country's Growth

Image Source: Internet

New Delhi: Prime Minister Narendra Modi and Bhutan's King Jigme Khesar Namgyel Wangchuck on Tuesday inaugurated the 1,020-MW Punatsanchchhu-II hydropower project, a symbol of 'enduring friendship' between the two nations. The project, built with Indian assistance, enhances Bhutan's power generation capacity by 40% and will supply electricity to both countries. The energy partnership between India and Bhutan has been a key pillar of their bilateral relations, with the latter becoming the world's first carbon-negative country. To further strengthen ties, the two leaders discussed ways to bolster connectivity and border infrastructure, including the development of rail and road links. Modi announced that India will build an immigration checkpoint near Gelephu to facilitate visitors and investors, and will also provide a concessional credit line of ₹4,000 crore to fund energy projects in Bhutan. The Indian government has already made a contribution of ₹10,000 crore for Bhutan's current five-year plan, which is being used in sectors such as roads, agriculture, and healthcare. The two nations are also working together on regional and global issues, including renewable energy, healthcare, and mental health services. Three memorandums of understanding were finalised during the visit, covering cooperation in these areas. The Punatsangchhu-II project is one of five mega hydropower projects developed by India in Bhutan, and is expected to supply electricity to both countries. The project has already started supplying electricity to India, and the two sides have reached an understanding on tariff that is currently being formalised. India's support for Bhutan's five-year plan also covers 570 high-impact community development projects, and the two nations are cooperating in sectors such as education, innovation, skill development, sports, space, and culture. The friendship between India and Bhutan continues to flourish on the foundation laid by Bhutan's former king Jigme Singye, who introduced the concept of 'Gross National Happiness' that has become a key parameter for defining growth across the world.