Ashoka Buildcon Secures $58.9 Million Contract to Develop 120 MW Solar Power Plant in Bhutan

Indian infrastructure and engineering company Ashoka Buildcon Limited has secured a contract worth US$58.9 million for the development of a 120 MWp solar photovoltaic power plant in Bhutan, marking a significant expansion of its international renewable energy project portfolio. The contract has been awarded by Druk Green Power Corporation Limited, Bhutan’s major power generation company.

Ashoka Buildcon announced the development on November 11, 2026, through a regulatory disclosure to the Bombay Stock Exchange and the National Stock Exchange of India. The company confirmed that it had received a Letter of Acceptance for the design, supply, installation, testing and commissioning of the Wobthang Solar PV Power Plant.

The contract, valued at US$58,900,976.45, will be executed under a design-build arrangement, with the project scheduled for completion within 18 months from the date of commencement. The award represents an important opportunity for an Indian infrastructure company to participate in Bhutan’s expanding renewable energy sector.

120 MWp Solar Power Plant to Be Developed at Wobthang

The proposed Wobthang Solar PV Power Plant will have an installed peak capacity of 120 megawatts, making it a substantial addition to Bhutan’s solar energy infrastructure.

Under the contract, Ashoka Buildcon will be responsible for the design and engineering of the facility, procurement and supply of the required equipment, installation of the solar photovoltaic systems, testing and final commissioning.

The design-build model places responsibility for major project delivery activities with the contractor, allowing engineering, procurement and construction processes to be coordinated within a single implementation framework.

The project is scheduled to be completed within 18 months from its commencement date. The agreement also provides for a defect liability period of 24 months, during which the contractor will remain responsible for addressing defects covered by the contractual provisions.

The Letter of Acceptance establishes the award of the project, although the company’s disclosure does not specify the commencement date or provide a detailed construction schedule.

Supporting Bhutan’s Renewable Energy Diversification

Bhutan’s electricity generation system has historically depended heavily on hydropower, supported by its mountainous geography and substantial river systems. Hydroelectric generation has also formed an important component of the country’s economic relationship with India through cross-border electricity trade.

The development of utility-scale solar photovoltaic facilities offers Bhutan an opportunity to diversify its renewable energy portfolio and complement its established hydropower resources.

Solar generation can provide additional electricity during daylight hours and help reduce dependence on hydrological conditions that influence seasonal hydroelectric output. The integration of solar and hydropower can also create opportunities for more flexible management of renewable electricity resources.

The 120 MWp Wobthang project represents a step towards expanding Bhutan’s renewable electricity generation capabilities beyond traditional hydropower.

The actual electricity output of the proposed facility will depend on site conditions, solar irradiation, equipment performance and operational arrangements. Its rated capacity of 120 MWp represents the peak output of the installed photovoltaic system under standard test conditions rather than its continuous electricity generation.

Expanding India’s Renewable Energy Engineering Presence Overseas

The contract demonstrates the growing participation of Indian infrastructure and engineering companies in international renewable energy projects.

Ashoka Buildcon has established capabilities in infrastructure development, particularly in roads, highways, bridges and engineering, procurement and construction activities. The Bhutan solar project provides an opportunity to apply its project execution capabilities to utility-scale renewable energy infrastructure.

The contract encompasses multiple stages of solar power plant development, from engineering and equipment procurement to installation and commissioning.

Successful execution would strengthen the company’s international project experience and create opportunities for further participation in renewable energy infrastructure development outside India.

The project also illustrates how Indian engineering and construction companies can participate in the global transition towards cleaner electricity generation by undertaking contracts in neighbouring countries.

Strengthening India–Bhutan Energy Cooperation

Energy cooperation has long been a central component of the relationship between India and Bhutan, particularly through jointly developed hydropower infrastructure and electricity trade.

India has played an important role in Bhutan’s hydropower development, while Bhutan has emerged as an important source of renewable electricity for the Indian power market.

The development of solar generation capacity introduces an additional dimension to Bhutan’s energy infrastructure and creates opportunities for broader participation by Indian companies.

Ashoka Buildcon’s contract with Druk Green Power Corporation represents a commercial engagement between an Indian infrastructure company and a Bhutanese power generation enterprise.

The project may contribute to the diversification of Bhutan’s electricity generation resources while reinforcing commercial and engineering linkages between the two countries.

However, the company’s disclosure does not indicate whether electricity generated by the Wobthang facility will be used entirely within Bhutan or whether any portion is intended for cross-border export.

Eighteen-Month Execution Period and Two-Year Defect Liability

According to Ashoka Buildcon’s regulatory disclosure, the project will be executed within 18 months from the date of commencement, followed by a 24-month defect liability period.

The scope includes design, supply, installation, testing and commissioning, making the company responsible for delivering an operational photovoltaic generation facility in accordance with the contractual specifications.

The company also clarified that the project was awarded by an international entity and that neither its promoters nor promoter group companies have any interest in the organisation awarding the contract.

The transaction has not been classified as a related-party transaction.

These disclosures were made under Regulation 30 of the Securities and Exchange Board of India’s Listing Obligations and Disclosure Requirements Regulations, which govern the reporting of material developments by listed companies.

Indian Engineering Capabilities Gain International Recognition

The Wobthang Solar PV Power Plant contract reflects the opportunities available to Indian infrastructure companies as neighbouring countries expand investments in renewable energy generation.

The development of utility-scale solar facilities requires coordinated expertise in civil engineering, electrical systems, project management, equipment installation and commissioning. These are areas in which Indian engineering and construction enterprises have developed considerable domestic experience.

International projects provide opportunities to apply these capabilities in new markets while building commercial relationships with overseas electricity utilities and infrastructure developers.

For Ashoka Buildcon, the US$58.9 million contract represents a significant international project award and an opportunity to strengthen its position in renewable energy infrastructure.

The proposed 120 MWp facility is also relevant to Bhutan’s efforts to diversify electricity generation and develop additional renewable energy resources.

With an 18-month execution period and a comprehensive design-build scope, the Wobthang project represents a new chapter in the participation of Indian infrastructure companies in Bhutan’s evolving energy sector.

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