Druk Green Energy Trading

Druk Green Energy Trading (DGET) was set up as a power trading centre to support the implementation of the existing power purchase agreements (PPA) and explore the sale of power in the Indian energy markets in the short term and ultimately expand to the sub-regional and regional energy markets.

To ensure that the benefits to Bhutan are maximised from the hydropower sector, DGPC has already started to play a more active role in the tariff-setting processes and tariff negotiations for the hydropower projects. Competencies would however have to be built in the trading of power so that Bhutan can start harnessing the benefits that could accrue from the Indian energy markets and exchanges and eventually gain access to energy markets beyond India. To a limited extent, Dagachhu plant is already being hand-held by Tata Power Trading Company for the sale of power into India’s short- and medium-term energy markets. There is also a need to keep informed of the developments taking place in the Indian and sub-regional energy markets. Bhutan should be ready to take advantage of these emerging opportunities.

In doing so, DGET focuses mainly on the following aspects of trading and exchange:

  • Explore the regional market, especially BBIN, and the short-term market in India
  • Track tariff and market developments
  • Manage long-term PPAs
  • Manage domestic PPAs and file the domestic tariff with BEA
  • Review and support export tariff negotiations and PPAs
  • Facilitate import of power in lean months
  • Energy billing for domestic sales and export