Laos Wind Farm Begins Energy Exports to Vietnam in Regional First

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The 600-megawatt Monsoon Wind Energy Venture started delivering electrical energy to Vietnam’s nationwide grid on August 22, marking the primary cross-border renewable vitality mission in Asia.

The wind farm, positioned throughout mountainous terrain in southern Laos, will provide energy to Vietnam beneath a 25-year settlement with state utility Electrical energy of Vietnam (EVN). The mission represents a $950 million funding and took 14 years to develop from preliminary conception in 2011.

The power spans 68,000 hectares throughout Dak Cheung District in Sekong Province and Sanxay District in Attapeu Province. Its 133 wind generators connect with Vietnam’s energy grid by means of a 71-kilometer transmission line system that crosses the Lao–Vietnam border.

Energy from the generators is collected at 4 115-kilovolt substations earlier than being stepped as much as 500 kilovolts for transmission. The electrical energy travels 27 kilometers to the border, then continues one other 44 kilometers by means of Vietnam’s transmission system to EVN’s Thanh My substation.

Financing and growth

The mission is operated by Monsoon Wind Energy Firm Restricted, a Lao-incorporated entity backed by shareholders from a number of international locations. Impression Electrons Siam (IES) serves because the lead developer and controlling shareholder, with different stakeholders together with ACEN from the Philippines, Thailand’s BCPG Public Firm Restricted and STP&I Public Firm Restricted, Japan’s Mitsubishi Company and its subsidiary Diamond Producing Asia Restricted, and Lao PDR’s SMP Session Sole Firm Restricted.

Financing got here from a consortium led by the Asian Improvement Financial institution, with participation from the Asian Infrastructure Funding Financial institution, Japan Worldwide Cooperation Company, Export–Import Financial institution of Thailand, Hong Kong Mortgage Company, Sumitomo Mitsui Banking Company, Kasikornbank, and Siam Business Financial institution.

Chinese language state-owned PowerChina led building, whereas Envision Power equipped the wind generators.

Financial and social affect

The mission created roughly 1,600 jobs throughout building, which started in March 2023. Greater than 1,000 positions had been stuffed by Lao nationals, based on mission builders. Additionally, authorities reviews confirm that there have been no resettlements or displacements because of the huge infrastructure building.

The corporate has established a $1.1 million annual group growth fund to assist training, healthcare, agriculture, and infrastructure enhancements in surrounding villages. Preliminary applications embody scholarships for native college students and cell well being providers for distant communities.

Regional vitality context

The mission helps ASEAN’s energy grid connectivity targets by demonstrating cross-border electrical energy commerce between member nations. Laos, which generates most of its electrical energy from hydropower, features vitality diversification, whereas Vietnam secures extra renewable energy capability.

The wind farm is predicted to generate sufficient electrical energy yearly to keep away from roughly 1.3 million tonnes of carbon dioxide emissions, based on mission estimates.

The 25-year energy buy settlement with EVN runs alongside a 28-year concession settlement with the Lao authorities. Greater than a decade of wind measurement research knowledgeable turbine placement throughout the mountainous terrain.

The mission’s completion follows rising regional give attention to renewable vitality growth and cross-border energy commerce as Southeast Asian nations work to fulfill local weather commitments and vitality safety targets.