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Chinese to study Xayaboury hydropower plant
By Phonsavanh Vongsay
Vientiane Times. 13 June 2007.


Photo: manager online

The Lao government has approved a plan by two Chinese companies to
spend 30 months preparing a survey for the Paklay Hydroelectric Power
Project in Xayaboury province.

"It is one of several hydroelectricity development projects the
government plans to build to generate electricity to supply domestic
consumers and for export to neighbouring countries," said a press
release announcing the signing of the Memorandum of Understanding
(MoU) with the Lao government on Monday in Vientiane .

The overseas market includes Thailand , where demands were for about
1,500 megawatts (MW) in 1993; these increased to about 5,000MW at the
end of last year.

The companies are now preparing to conduct the survey, and will
include technical, economic, social, and environmental considerations.
The survey will be carried out by the Sinohydro Corporation Ltd and
the China National Electronics Import and Export Corporation.

The companies will move on to further project agreements involving the
development phase, and concession agreements for dam construction, if
the results are economically viable.

Managing Director of Sinohydro Corporation Ltd Mr Zeng Xingliang said
the new development had the potential to be an immense project with an
installation capacity of about 1,320MW. The companies may invest about
16.2 trillion kip (US$1,700 million).

If the project is found to be economically viable in the long term,
the company expects it will operate the venture for 30 years,
including the construction period.

At present, there is no dam in the province capable of generating
electricity; the main electricity supply for the province comes from
the Nam Ngum 1 hydropower plant in Vientiane province. The rest is
imported from Thailand

An official from Electricite du Laos in Xayaboury province said
recently the province imported about 6 million kWh (kilowatt hours)
from Thailand in 2002, but last year imports rose to more than 15
million kWh.

Electricite du Laos has to import electricity because it does not have
the funds to expand transmission lines in the province; it may be able
to reduce imports of power if lines carrying electricity generated in
Laos could reach every district in the province.

The province also has other proposed hydropower projects, such as the
one on the Nam Ham River and the Hongsa lignite-fired power plant.
Lignite is a soft brown coal that shows traces of plant material.

The survey of the Nam Ham hydroelectric power project was completed by
a local investor in Botaen district. The electricity generated by the
project will supply the needs of four districts in the province -
Botaen, Kaenthao, Paklai and Thongmixay - and enable the province to
reduce the electricity it imports from Thailand .

The Hongsa lignite-fired power plant project may make a concession
agreement with the government this year. The project plans to sell
power to Thailand from 2012.

Construction may start in late 2008 or early 2009 and is a joint
venture between the Lao government and a Thai investor.

It will have an installation capacity of 1,800MW, and most of the
power generated will be exported to Thailand . Only about 50MW will be
supplied to local users.

 
 

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