Arya News - The surge highlights the growing reliance on seasonal imports, even though electricity trade balances remain in surplus overall.
THIMPHU – The country’s electricity imports more than doubled during the 2025–2026 winter lean season as rising domestic demand continued to outpace hydropower generation.
The surge highlights the growing reliance on seasonal imports, even though electricity trade balances remain in surplus overall.
With electricity demand projected to exceed domestic supply for much of the next decade, Bhutan is expected to remain dependent on winter imports until new hydropower and renewable energy projects come online after 2032.
The government initially planned to import electricity for seven months, from November 2025 to May 2026. However, officials from the Druk Green Power Corporation (DGPC) said that favourable pre-monsoon showers and higher-than-expected rainfall increased hydropower generation, allowing Bhutan to stop importing electricity earlier than planned, on May 14, 2026.
Bhutan imported electricity through the Indian Energy Exchange until that date.
According to DGPC figures, Bhutan imported 2,118.08 million units (MU) of electricity from India during the 2025–2026 winter lean season, at a cost of INR 7.09 billion. This was more than double the 998.85 MU imported during the 2024–2025 lean season, representing an increase of more than 112 percent in just one year.
Import costs also more than doubled, rising from INR 3.40 billion to INR 7.09 billion.
According to a DGPC official, pre-monsoon rainfall between January and May 2026 was slightly higher than projected, increasing hydropower generation by 10 to 15 percent. While the additional generation shortened the import period, it was insufficient to offset the sharp rise in domestic electricity demand.
Electricity consumption has been increasing steadily, driven by industrial expansion, urbanisation, the growing adoption of electric vehicles, electric cooking and heating, and rising demand from digital infrastructure.
At the same time, hydropower generation declines significantly during the dry winter months because of reduced river flows, forcing the country to import electricity to meet domestic demand.
Despite the sharp increase in imports, Bhutan remains a net exporter of electricity.
Energy experts say the long-term challenge is not simply producing more electricity, but using more domestically generated hydropower to replace imported fossil fuels in transport, cooking, and heating. Achieving this transition will require electricity tariffs that remain affordable while encouraging greater electrification.
The country’s growing dependence on winter electricity imports has become increasingly evident over the past three years.
According to trade statistics, in 2023, Bhutan exported 5,072.53 MU of electricity worth Nu 16.67 billion, while importing 367.17 MU worth Nu 1.87 billion. During the same year, the country spent Nu 13.35 billion on fossil fuel imports.
In 2024, electricity exports increased slightly to 5,353.54 MU, generating Nu 19.12 billion. However, electricity imports rose sharply to 1,458.16 MU, costing Nu 5.92 billion, while fossil fuel imports increased to Nu 15.11 billion.
In 2025, Bhutan exported 7,712 MU of electricity, earning approximately Nu 24.7 billion, mainly through exports to India. During the same period, the country spent nearly Nu 19 billion on importing diesel, petrol, and jet fuel.
According to the latest energy outlook, Bhutan’s electricity export earnings, the he country’s largest single source of revenue are expected to continue declining until new hydropower projects begin commercial operation after 2032.
Electricity exports are projected to account for only 32 percent of total generation in 2025, down from 63 percent in 2016 and a peak of 81 percent in 2017. The decline reflects rapidly increasing domestic electricity consumption driven by industrial expansion, transport electrification, heating demand, and the country’s digital transformation.
Although Bhutan continues to export surplus electricity during the monsoon season, recurring winter shortages are placing increasing pressure on the country’s balance of payments. Electricity imported during winter is largely sourced from India’s grid, where fossil fuel-based generation accounts for a significant share, raising concerns about maintaining Bhutan’s carbon-negative status.
The energy outlook warns that the next eight to ten years will be the most challenging period for Bhutan’s energy security, as domestic demand is expected to grow faster than generation capacity. A turnaround is expected only after 2032, when several hydropower and renewable energy projects are scheduled to come online, which will reduce the country’s dependence on seasonal electricity imports.