EIB loans €150 million for Bhutan solar and hydro projects

April 19, 2024
Facebook
Twitter
LinkedIn
Reddit
Email
The deal – the EIB’s first loan to Bhutan – was signed this week. Image: European Investment Bank

The European Investment Bank (EIB) has signed a €150 million (US$159 million) loan to support the development of solar PV and hydropower plants in Bhutan.

The loan – the first investment support the EIB has signed with Bhutan – will stand for 30 years and support Bhutan’s Nationally Determined Contribution target. Bhutan is one of three net carbon-negative nations on earth, aided by the forests that cover around 71% of its land mass and store large volumes of carbon emissions.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

The EIB said the money would support “an estimated 310MW of new renewable energy generation to serve communities in remote regions”, expected to generate around 670GWh of power annually. The new solar capacity will help to account for shortages in hydropower generation during Bhutan’s dry season.

Lyonpo Lekey Dorji, finance minister of the Kingdom of Bhutan, said: “As Bhutan strives to maintain its carbon-negative status amidst rising global challenges, this partnership not only strengthens Bhutan’s renewable energy sector, but also contributes to the broader regional and global effort in combating climate change.”

Bhutan began construction on its first utility-scale solar PV project in July 2023. The 17.38MW site is being constructed by Bhutanese construction firm M/S Rigsar and Indian engineering company PES and is expected to be completed by the end of 2024. Upon completion, responsibility for the plant’s operation will pass to the Bhutanese electricity utility Druk Green Power Corporation.

Druk Green Power will also implement the new projects supported by the EIB loan.

Read Next

December 5, 2025
Origis Energy has raised US$265 million in finance from Advantage Capital to support the development of a 305MW solar PV portfolio in the US.
December 4, 2025
Nextpower, formerly Nextracker, will double its steel solar tracker manufacturing capacity in Tennessee and has established a new “regional hub” in the Southeast US.
December 4, 2025
Australia generated 5,271GWh of utility-scale solar PV and wind power in November 2025, a 28% increase from the same period last year.
December 3, 2025
The Asian Development Bank has approved a US$650 million loan to accelerate rooftop solar PV deployment in India.
December 3, 2025
Terra-Gen has closed financing for its 205MW Lockhart III & IV solar PV project in San Bernadino County, California.
December 3, 2025
Buyers should prepare for increases in the price of vital solar module components, such as polysilicon, wafers and cells, but “remain cautious” of accepting new contractual terms from Chinese suppliers until formal market policies are agreed.

Upcoming Events

Upcoming Webinars
December 17, 2025
2pm GMT / 3pm CET
Solar Media Events
February 3, 2026
London, UK
Solar Media Events
March 24, 2026
Dallas, Texas
Solar Media Events
April 15, 2026
Milan, Italy
Solar Media Events
June 16, 2026
Napa, USA