India and Bhutan have agreed to expedite work on hydro-power generation in the Himalayan nation, which has set a target of 10,000 MW by 2020. New Delhi also assured assistance to Thimpu in developing its IT and e-governance projects.

The next meeting of the Empowered Joint Group to fast-track implementation of hydropower projects will be held in August ‘09, the joint statement said. The first meeting was held in New Delhi in March ‘09 after signing of the Protocol to the 2006 Agreement on Cooperation in Hydropower.

Meanwhile, visiting Bhutanese PM Jigmi Y Thinley apprised Prime Minister Manmohan Singh of the preparations for the 16th SAARC summit to be held in Thimpu next April. Thinley, who is on a goodwill visit to India till July 3, is the first head of government to visit India after the new UPA government took over.

The meetings were “very friendly, warm and cordial”, reflecting the spirit of trust, cooperation and deep understanding that mark the bilateral relations between India and Bhutan, the statement said.