India-Bhutan development & economic partnership set to enter a new era

Prime Minister Narendra Modi and Bhutan King Jigme Khesar Namgyel Wangchuck met in New Delhi on Tuesday. Among other issues, the two leaders discussed the economic and development partnership, sustainable trade facilitation measures, and new paradigms on energy cooperation. In a special media briefing after the meeting, Foreign Secretary Vinay Mohan Kwatra provided details about discussions during the meeting. Here are 10 key takeaways from the meeting: 1. Prime Minister Modi reiterated India's continued and full support to the socio-economic development in Bhutan in keeping with the country’s transformation initiatives and reform process. 2. It was agreed that India would step up its support to Bhutan's upcoming 13th Five Year Plan. The specifics of the support and its distribution into different projects will be worked out going forward. 3. At Bhutan's request, India will work to extend an additional standby credit facility. This would be over and above the two existing standby credit facilities that are operating between the two countries. 4. The two countries will work to shape long-term sustainable arrangements for export of agricultural commodities from Bhutan. 5. The leaders agreed to develop long-term bilateral arrangements for a short supply of critical commodities to Bhutan, which would include petroleum, fertilizers, and coal. 6. The two countries are examining and considering setting up the first Integrated Check Post (ICP) along India-Bhutan border, which would be somewhere near Jaigaon. 7. The Kokrajhar-Gelephu rail link project will be the first rail link between the two countries. Efforts will be made to expedite the proposed project through Government of India support. 8. India has agreed to an upward revision of tariff of the Chhukha hydro-electric project, the oldest hydro-electric project with Bhutan. India will also consider "positively" Bhutan’s request to sell power from its Basochhu hydro-electric project. 9. The two sides would try and expedite the finalization of modalities for new hydroelectric projects, hydropower projects, including the Sankosh hydroelectric project. 10. Additionally, the two sides are looking to expand their energy partnership to include non-hydro-renewables particularly in the field of solar, and also explore how the bilateral cooperation between the two countries in the field of e-mobility could be expanded.