India and Bhutan have signed a landmark hydropower cooperation agreement, which includes joint development of the 1,200 MW Dorjilung project and upgrading existing dams. The deal also ensures long-term power purchase from Bhutan by Indian grid operators.
Bhutan, heavily reliant on hydropower for exports and national income, sees this as a major step to strengthen its green economy and energy diplomacy.
For India, especially eastern states like West Bengal and Assam, this means a cleaner and more stable energy import pipeline in the near future.