Bhutan: Renewable Energy for Climate Resilience Project

Energy / Renewable energy generation - solar

The power generation subsector almost exclusively relies on hydropower, with an installed capacity of 2,326 megawatts (MW) and 2,938 MW under construction. More than 80% of annual precipitation in the central-eastern part of the Himalayas is delivered by the summer monsoon. Long-term future precipitation trends for the area are subject to considerable uncertainty, and several patterns have emerged. Based on the most recent global climate modeling experiments, summer monsoon rainfall is predicted to increase by the mid to late 21st century, while winter precipitation is projected to decline.

The power generation of run-of-river hydropower plants directly correlates with the water flow in rivers. Glaciers have a strong modulating and buffering effect on flows, ensuring uninterrupted water supply during droughts. Glaciers in Bhutan are retreating rapidly, with area loss between 1980 and 2010 of 20%-25%. It is projected that glaciers and snow-covered areas will decrease within the region over the coming decades in response to increasing temperatures. The hydrological system will shift to a more rainfall-dominated pattern. This can imply more frequent droughts and periods of low flows outside of the monsoon season, as well as more frequent extreme high flows during the monsoon season. The loss of the buffering capacity of glaciers and snow-covered areas increases susceptibility to extreme runoff because of extreme rainfall events, and prolonged low flows.

Solar photovoltaic systems can complement hydropower in forming a more diversified electricity generation system, which, in a healthy mix, creates resilience to the impacts of changes in seasonal weather patterns and weather extremes. Bhutan's run-of-river hydropower generation drastically drops during the winter dry season (December-March) because of low precipitation, almost falling short of meeting peak demand. In the future, climate change could amplify this effect. Solar photovoltaic energy in Bhutan has an annual generation profile that complements hydropower, producing most power during the dry season. The estimate for the technical potential of solar photovoltaic generation in the country is 12,000 MW.

Carbon neutrality, climate, and disaster resilience improved (National Key Result Area 6, Twelfth Five Year Plan 2018-2023, National Key Result Area 6)

Clean energy generation system diversified to non-hydro resources

Utility scale non-hydro renewable energy generation assets established

Knowledge in climate resilient renewable energy systems improved

DRE capacity for GESI enhanced

The DRE will serve as the executing agency and will implement all activities under the ADB loan.

1 consulting firm package (QCBS), 45.5 person-months, internationally advertised and 1 international, individual consultant, 2.5 person-months.

The DRE will serve as the executing agency and will implement all activities under the ADB loan and grant.

1 Design-Built contract package for the design, supply and installation of the solar power plant. Open competitive bidding, internationally advertised. 4 small contract packages (RFQ).