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COUNTRY BACKGROUND - Gross National Happiness Commission

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Energy Sector<br />

additional revenue of about Nu 24 m a year.<br />

Uniform Provision of ElectricityUniform Provision of Electricity<br />

20.28 Most of the population (90%) still do not have access to electricity. It is the long term goal of the<br />

Government to provide electricity to all the population through an efficient, safe and reliable system. To provide as<br />

much electrical energy as possible to all parts of Bhutan, the establishment of national grids will be important.<br />

Excess power can then be drawn through the national grid from areas of excess supply to areas where electricity<br />

can not be generated. In more remote areas, where supply of power is not viable through the national grid, solar<br />

panels and micro hydels will be provided.<br />

Balanced Regional GrowthBalanced Regional Growth<br />

20.29 Electrical energy is pre-requisite for industrial development. After roads, the availability of energy is<br />

considered to be a major stimulus to economic growth. Kurichu Hydel Project, Rangjung Hydel Project, Yonglachu<br />

Hydel Project, Tangsibji Hydel Project, will, apart from producing power for domestic uses, also support a large<br />

number of small industries and bring about balanced regional growth. The whole country will be covered by three<br />

inter-connected grid system: Western grid, Central grid and Eastern Grid. Electricity will be feed from both big and<br />

small power projects into the high voltage grids and transmitted into various parts of the country. The interconnection<br />

between different grid systems means that electricity produced in one region can be wheeled to another<br />

energy deficit area, though some loss will be sustained while transmitting over long distance.<br />

Sustainable Development of the Energy SectorSustainable Development of the Energy Sector<br />

20.30 Water is the most important resource in hydro-power generation and one of the main controlling factors in<br />

maintaining hydrological regimes is sustainable watershed utilization. The development of new power generation<br />

schemes will therefore place much emphasis on watershed management. In order to achieve this, deforestation in<br />

the watershed area and in general will be prevented. The provision of electricity will also encourage the rural<br />

population to reduce their fuelwood consumption, although these changes are likely to take several years as people<br />

will have to adapt to the use of new forms of energy. The socio economic implications of introducing electricity in<br />

rural areas is one of the issues being examined under the Power Master Plan. The harnessing of rivers for<br />

generation of hydro-power must also ensure that there are no significant environmental and ecological<br />

disturbances. Thus, environmental impact assessments will be included in the design of all new projects.<br />

B. Strategies for Achieving ObjectivesB. Strategies for Achieving Objectives<br />

20.31 The strategies for the achieving the above objectives will be dependent on the involvement of other<br />

Ministries. For instance, the sustainable use of hydro resources through minimising any negative impact on the<br />

environment will require collaboration with the Ministry of Agriculture, the Geotechnical Division of the<br />

Department of Geology and Mines, etc. The strategy for balanced regional growth will likewise depend on the<br />

programmes of other sectors notably the Department of Trade and Industry and the private sector. Although the<br />

Department of Power will be responsible for the supply of energy, the plans and strategies of user sectors will need<br />

to be coordinated with the Department's programmes.<br />

20.32 To move towards the objective of eventual provision of electricity to all parts of the country will require the<br />

establishment of a number of hydro electric plants and a network of distribution and transmission lines. The<br />

implementation of Tangsibi Hydel Project in Central Bhutan, Kurichu Hydel Project, Rangjung Hydel Project and<br />

Yonglachu Hydel Project in Eastern Bhutan would contribute towards regionally balanced growth. To ensure that<br />

the most economically, technically and environmentally sound projects are implemented, the Power System Master<br />

Plan will be used to guide the selection of sites for plants in future.<br />

20.33 The manpower requirements in all categories of skills in the power sector is considerable, particularly if all<br />

the projects are to be implemented. The requirements of additional staff including construction workers if all<br />

projects are implemented is shown in the table on manpower and financial analysis. Once funding is secured for<br />

projects, the next constraint in the implementation of projects would be a shortage of manpower. The current<br />

strength of the Department of Power is 600 and over 2,200 additional persons (staff on permanent basis) would<br />

need to be recruited during the 7FYP. To fulfil the demand for scientific and technical personnel, a substantial<br />

proportion of the Human Resource Development Programme is earmarked for the power sector manpower<br />

requirements. High school graduates will also be guided towards scientific and technical courses to minimize these<br />

6

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