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

November 7, 2025
Apple has signed a power purchase agreement (PPA) with Danish developer European Energy for renewable electricity from the 108MW Lancaster solar park in Victoria, Australia.
November 7, 2025
Australian energy retailer Flow Power has secured an offtake agreement from the 400MW Stubbo Solar project in New South Wales to underpin the launch of its Flow Home residential energy service in the state.
November 6, 2025
The French and Italian solar markets have both moved forward in their latest public tender process for solar capacity.
November 5, 2025
IPP Sol Systems has selected Solv Energy as the EPC services provider for a 209MW solar PV plant in Texas, US. 
November 4, 2025
GCL Intelligent Energy, a subsidiary of Chinese polysilicon producer GCL Technology, has signed shareholder agreements for two clean energy projects in Indonesia with a combined capacity of 200MW.
November 4, 2025
Israel-headquartered IPP Enlight has secured US$150 million in financing to support a solar-plus-storage project in the US.

Subscribe to Newsletter

Upcoming Events

Upcoming Webinars
November 12, 2025
10am PST / 1pm EST
Solar Media Events
November 25, 2025
Warsaw, Poland
Solar Media Events
December 2, 2025
Málaga, Spain
Solar Media Events
February 3, 2026
London, UK
Solar Media Events
March 10, 2026
Frankfurt, Germany