Thukten Zangpo

The members of Parliament questioned the Minister of Energy and Natural Resources, Gem Tshering, on the government plans to develop hydropower projects, export minerals, and harvest of non-wood forest products during the National Assembly session yesterday. 

The Radhi-Sakteng MP, Tashi Tenzin, asked the minister about the government plans to upscale the export of minerals and mineral products to reap the benefits. 

He said that Bhutan was endowed with industrial minerals such as dolomite, limestone, marble, quartzite, gypsum, construction materials (and stones and aggregates) that are projected to last for several hundreds of years. 

Lyonpo Gem Tshering said that the government had plans to review and streamline the procedures for export and revise the Mines and Minerals Management Act of Bhutan 1995 in the next fiscal year 2025-26.

Lyonpo said that mining, after hydropower, agriculture and tourism, was one of the highest income-generating sectors, contributing almost 10 percent of the country’s gross domestic product. 

Bumdeling-Jamkhar MP, Wangdi, asked about the commencement of the Kholongchhu Hydropower Project. Lyonpo said that the government was in discussion with India’s Tata. “The Druk Green Power Corporation and the Tata are expected to sign the agreement in July this year.” 

MP Wangdi also asked about the government’s plans to address cost escalation of the project as the given initial cost was Nu 54.4 billion, and the contingency plans of solar and wind energy if the hydro projects face challenges due to climate change. 

Lyonpo said that climate change led to decrease in hydropower generation during the winter and Bhutan imported hydropower from India. However, he added that it also shows signs of development with many emerging industries in the southern part of the country. 

He updated the House on seven hydro-projects that are under construction; the government has also identified several upcoming hydro projects phase-wise.

 These projects include 1,200MW Punatshangchhu-I, 1,020MW Punatshangchhu-II, 600MW kholongchhu, and small hydro projects like 18MW Suchhu, 54MW Burgangchhu, 32MW Yungichhu, and 23MW Sephu. 

 Lyonpo said that the two units of 1, 020MW Punatsangchhu-II were expected to be completed by August 15 this year. 

 He added that the government would discuss with the Adani Group in India on construction plans of the 180MW Bunakha project; the 1,125MW Dorjilung’s detailed project report has been completed and the government is looking for funding support from the World Bank. 

He added that 2,800MW Kuri-Gongri’s detailed project report would start soon.

 Lyonpo said that to harness alternative renewable energy, a study found that Bhutan has the feasibility of harnessing 12,000MW of solar energy and that the government aims for the production of 500MW. 

The Bongo-Chapcha MP, Pemba, asked the minister about the government’s plans to address Bongo and Getana gewogs facing inadequate electricity services due to several issues, such as single-phase transformers, a shortage of linemen, and aging, weak poles. 

The Minister said that the Bhutan Power Corporation was aware of the issue and was planning to consider distributing three-phase transformers, substitute old poles and the and carry out maintenance every year. 

Bji Katso Uesu MP, Lhendup Wangdi, asked the minister about the inconsistency regarding the permits for collecting of non-wood forest products as per the Forest and Nature Conservation Act 2023. 

He said that the non-forest products (nardostachys/pangpoi) listed in Schedule 2 of the Forest and Nature Conservation Act 2023 were permitted to be collected by paying tax but, on the other hand, the department had also declared that items listed in schedule 2 as illegal.

“The two clauses in the Act and the declaration are not compatible,” he said.

Minister said that the ministry was in the process of reviewing the guidelines.