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.

25 November 2025
Warsaw, Poland
Large Scale Solar Central and Eastern Europe continues to be the place to leverage a network that has been made over more than 10 years, to build critical partnerships to develop solar projects throughout the region.

Read Next

October 16, 2025
Masdar and Turkey have entered the final stage of US$1 billion agreement to develop the 1.1GW plant in Bor, Niğde Province, central Turkey.
October 16, 2025
US utility-scale solar additions grew by 56% in 2024, reaching 30GW from 2023’s 19GW and representing over 54% of all new electricity generation capacity added in the country last year.
October 16, 2025
Jakson Green and Blueleaf Energy have reached financial close for the 840MWp Bikaner solar projects in Rajasthan, western India. 
October 16, 2025
Off-grid solar company Sun King has revealed plans to set up manufacturing operations in Kenya and Nigeria.
October 15, 2025
The average price of a solar PPA signed in North America increased 4% between the second and third quarters of 2025, according to LevelTen.
October 15, 2025
A report by IRENA and others has highlighted the need for yearly renewable energy deployments to almost double between now and 2030.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
October 21, 2025
New York, USA
Solar Media Events
November 25, 2025
Warsaw, Poland
Solar Media Events
December 2, 2025
Málaga, Spain
Solar Media Events
February 3, 2026
London, UK