Bhutan is exploring how artificial intelligence could help strengthen its energy sector by predicting equipment failures, anticipating changes in water availability and electricity demand, and improving the management of critical infrastructure. The possibilities were discussed at DrukSmart Talks 2026, where technology experts examined the potential of Industrial AI, Digital Twins and Predictive Intelligence for Bhutan’s power industry. Established in 2017, DrukSmart is a Bhutanese IT and IT-enabled services company. For Bhutan, the challenge extends beyond generating electricity. Maintaining hydropower equipment, managing fluctuating water resources and responding to changing demand require timely decisions to prevent disruptions and improve efficiency. AI-based systems could help shift the sector from reactive maintenance towards predictive decision-making. Instead of waiting for machinery to fail, such systems can analyse operational data, identify unusual patterns and alert operators to possible problems before they result in breakdowns. Pema Tshering, CEO and founding partner of DrukSmart, said the growing amount of data generated by industrial assets could be analysed to develop intelligence capable of supporting predictive maintenance. Such technology could be particularly useful for Bhutan’s hydropower sector, where water availability directly affects generation. Electricity demand also changes with the seasons, creating additional challenges for planning. During winter, domestic hydropower generation declines, increasing Bhutan’s dependence on electricity imports. AI-based monitoring and forecasting could help agencies plan generation and supply more effectively, potentially allowing them to anticipate shortages and make better use of available resources. The applications could extend beyond power plants to transmission lines, substations and distribution networks. By monitoring different parts of the electricity system, predictive technologies could provide operators with a broader understanding of infrastructure health and help identify potential problems earlier. Vikas Agrawal, CEO of Visionaize, said deployments of such technologies in heavy industries, critical infrastructure and the energy sector have helped operators reduce downtime and improve efficiency. However, experts stressed that adopting AI in Bhutan will require more than installing new technology. Organisations will first need to identify operational challenges where AI can provide measurable value, assess the availability and quality of relevant data, and test solutions through focused pilot projects. Developing local expertise is another important part of the process. Avinash Sanap, Chairman and Partner of DrukSmart, said the company sees a dual objective in bringing emerging technologies to Bhutan while also training local manpower to implement and manage them. The discussions highlighted that AI’s potential value for Bhutan’s energy sector lies not simply in adopting advanced technology, but in using data to identify problems earlier, improve planning, reduce avoidable disruptions and make more efficient use of existing energy resources. As the country continues exploring digital solutions, targeted implementation and local skills development could determine how effectively these technologies support the future of its power sector.
