Electricity in Bhutan in 2023

Bhutan stands out with a remarkable achievement in its electricity sector, as more than 93% of its electricity is sourced from low-carbon energy, specifically hydropower. This reliance on hydropower places Bhutan among the leading nations committed to clean energy, effectively reducing its carbon footprint from electricity generation. However, with a small but notable portion of electricity—almost 7%—still reliant on net imports, the country faces the opportunity and challenge of further expanding its domestic clean energy capacity. Looking ahead, Bhutan must extend this clean energy success to other sectors such as transport, heating, and industry, which require significantly more electricity. Transitioning these sectors to low-carbon electricity will be essential for developing a sustainable energy future and reducing reliance on fossil fuels.

Suggestions

To boost its low-carbon electricity generation, Bhutan can begin exploring the integration of other clean energy sources alongside its dominant hydropower. While hydropower remains a reliable cornerstone, diversifying the energy mix with investments in solar and wind energy can enhance energy security and stability, especially during varying hydrological conditions. Additionally, Bhutan could consider the inception of nuclear energy, a prominent source of sustainable energy, offering consistent and clean power. Harnessing solar and wind energy alongside potential future developments in nuclear could provide Bhutan the resources needed to meet rising electricity demand and ensure that new sectors are electrified with green energy.

History

Bhutan's journey toward its present hydropower-driven success began making notable strides in the late 1990s. This period was marked by modest increases in hydropower output, with observable growth in the early 2000s. The years 2006 to 2007 marked significant milestones with sharp increases in electricity generation, indicating substantial developments in infrastructure and capacity. Although occasional declines occurred, the overall trajectory remained positive, with the most substantial surge between 2019 and 2020 when an impressive 4.5 TWh was added to the grid over two years. While minor fluctuations have appeared in recent years, such as the reduction in 2021 offset by a growth in 2023, Bhutan's steadfast investment in hydropower underscores an enduring commitment to clean electricity and provides a foundation upon which further low-carbon advancements might be built.

Electricity Imports and Exports

Balance of Trade

Data Sources