1. India and Bhutan share an exemplary bilateral relationship characterized by trust, goodwill and mutual understanding at all levels, strong bonds of friendship and close people-to-people contacts. Prime Minister Shri Narendra Modi and Prime Minister Dasho Tshering Tobgay had fruitful and wide ranging discussions in Thimphu wherein the two leaders reaffirmed their commitment to taking this extraordinary bilateral partnership to new heights, looking into the future.2. The two leaders noted the stellar contribution of clean energy partnership in the development of hydro-power sector of Bhutan, and in providing energy security to the region. Prime Minister Modi appreciated growing domestic capacity of Bhutanese firms and technical agencies in implementation of energy projects. Prime Minister Tobgay congratulated Prime Minister Modi for the remarkable growth of India’s renewable energy sector in recent years, and for his leadership in fostering initiatives such as International Solar Alliance and National Green Hydrogen Mission of India.
3. Both the Prime Ministers reviewed all aspects of bilateral energy cooperation and expressed satisfaction that projects, which have been jointly implemented, are functioning well and contributing to economic development in Bhutan. Building on the success of the 720 MW Mangdechhu Hydro-electric Project, the two leaders look forward to commissioning the 1020 MW Punatsangchhu-II Hydro-electric Project this year. Both sides welcomed the positive expert-level discussions on a technically sound and cost – effective way forward for 1200 MW Punatsangchhu – I HEP.
4. Both the Prime Ministers agreed:
(i) That the India-Bhutan energy partnership has the potential to benefit both the countries by enhancing energy security, strengthening their economies, generating employment, enhancing export earnings, and contributing to further development of industrial and financial capacities.
(ii) That there are unprecedented opportunities to further strengthening this mutually beneficial bilateral clean energy partnership, including through development of new energy projects and trade in electricity.
(iii) To engage in the development of new energy projects in the fields of hydro-power, solar and green hydrogen, including through the participation of Indian entities as strategic partners.
(iv) That both Governments will review and finalize project - specific implementation modalities for new projects, including reservoir hydro projects.
(v) That the Government of India will facilitate necessary access to financing from financial institutions in India as well as market for power sale for new and upcoming hydro-power projects in Bhutan.
(vi) Power exchange between the two countries shall continue to play an important role in ensuring energy security in the region. In this regard, market access to Bhutanese power producers will be facilitated in accordance with applicable domestic regulations and procedures, through mutually agreed arrangements and delivery points.
(vii) In view of the evolving energy markets, to hold regular consultations for enabling investments in energy projects of Bhutan, and for ensuring seamless cross-border trade in electricity.
(viii) To work towards greater sub-regional energy cooperation, which would lead to increased inter-linkages between the economies for mutual benefit of all stakeholders.
(ix) To strengthen energy cooperation in the field of energy efficiency and energy conservation through capacity development, information exchange on policies and technologies, and research and development on energy efficient technologies.
5. Both the Prime Ministers agreed to expedite movement on projects and initiatives on the basis of the Joint Vision Statement for mutual benefit.
MoUs/Agreement/Plan of Action
Sr. No. | Name of MoUs/Agreement/Plan of Action | Description | Representative from Bhutanese side | Representative from Indian side |
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1 | MoU on general supply of Petroleum, Oil, Lubricants (POL) and related products from India to Bhutan | This MoU provides for a list of Petroleum, Oil, Lubricants related items. GoI would facilitate its supply to Bhutan through agreed entry/exit points. | Ms Tashi Wangmo, Secretary, Ministry of Industry Commerce, and Employment, RGoB
| Shri Sudhakar Dalela, Ambassador of India to the Kingdom of Bhutan |
2 | Agreement for recognition of official control exercised by Bhutan Food And Drug Authority (BFDA) by Food Safety and Standards Authority Of India (FSSAI) | The agreement will facilitate the trade between India and Bhutan by promoting ease of doing business and reducing compliance cost on both sides. The MoU will make the export inspection certificate issued by BFDA acceptable by FSSAI for compliance with requirements prescribed by FSSAI, while exporting the products to India. | Mr. Pemba Wangchuk, Secretary, Ministry of Health, RGoB | Shri Sudhakar Dalela, Ambassador of India to the Kingdom of Bhutan |
3 | MoU on cooperation in the field of Energy Efficiency and Energy Conservation measures | This MoU aims to assist Bhutan to enhance energy efficiency in the household sector by promoting star labeling programme developed by Bureau of Energy Efficiency. The MoU covers facilitating the formulation of building codes based on India's experience, creation of a pool of energy professionals at Bhutan by institutionalizing training of energy auditors etc. | Mr. Karma Tshering, Secretary, Ministry of Economic and Natural Resources, RGoB | Shri Sudhakar Dalela, Ambassador of India to the Kingdom of Bhutan |
4 | MoU on cooperation in Sports and Youth | This MoU would help further people to people linkages between India and Bhutan by advancing linkages between sports agencies of both sides and conduct sports activities/programmes. | Ms. Pema Choden, Secretary, Ministry of Foreign Affairs and External Trade, RGoB | Shri Sudhakar Dalela, Ambassador of India to the Kingdom of Bhutan |
5 | MoU on cooperation concerning sharing reference standard, pharmacopoeia, vigilance and testing of medicinal products | This MoU would help further developing our close cooperation and exchanging information in the field of the regulation of medicines in accordance with the respective laws and regulations of each side. The MoU would allow for acceptance of Indian Pharmacopoeia by Bhutan as a book of standards for medicines and supply of generic medicines at affordable price. | Mr. Pemba Wangchuk, Secretary, Ministry of Health, RGoB | Shri Sudhakar Dalela, Ambassador of India to the Kingdom of Bhutan |
6 | Joint Plan of Action (JPOA) on Space Cooperation< | The Joint Action Plan provides a concrete roadmap for further developing our space cooperation through exchange programmes, training etc. | Mr. Jigme Tenzing, Secretary, Government Technology Agency, RGoB | Shri Sudhakar Dalela, Ambassador of India to the Kingdom of Bhutan |
7 | Renewal of MoU on Peering Arrangement between National Knowledge Network of India (NKN) and Druk Research And Education Network of Bhutan | This MoU is between the National Knowledge Network (NKN) of India and Druk Research and Education Network (DrukREN) of Bhutan to renew the peering agreement between NKN and DrukREN, The MoU will enhance digital connectivity between India and Bhutan and will benefit the scholars and research institutions of Bhutan. | Mr. Jigme Tenzing, Secretary, Government Technology Agency, RGoB | Shri Sudhakar Dalela, Ambassador of India to the Kingdom of Bhutan |
In addition, both sides have also agreed on and initialled the text of the MoU on Establishment of Rail Links between India and Bhutan.- The MoU provides for establishment of two proposed rail links between India and Bhutan, including the Kokrajhar-Gelephu rail link and Banarhat-Samtse rail link and their implementation modalities.
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