Laos - Xekong set to see two new dams constructed

Over US$ 400 million will be invested in the construction of two hydropower dams in Xekong province, which once complete are expected to generate electricity to meet future demand in central and southern Laos.

Work will now commence on the Xekong 3 and Xekhaman 4 projects after the project development agreement was signed off by the Lao government and Vietnamese investors in Vientiane on Monday.

Director General of the Song Da Corporation Mr Duong Khanh Toan. Duong Khanh Toan said at the ceremony that the project was agreed to by the government of Laos in line with the economic cooperation agreements between the Lao and Vietnamese governments. Therefore, the projects are now proceeding to aid development in the province, he said.

According to the report, both projects are a joint venture between the Song Da Corporation and the Viet-Lao Power Joint Stock Company. Once complete, it is believed they will generate more than 1.1 billion kwh of electricity per year, which will shore up electricity supplies in central and southern Laos.

Mr Toan explained that Song Da Corporation established the Viet-Lao Power Joint Stock Company to study hydropower investment in Laos five years ago.

Since then they have worked hard conducting feasibility studies at various sites, and the first two projects the company completed were Xekhaman 1 and Xekhaman 3.

Laos plans to become the battery of Asean, as it has abundant water supplies and mountainous terrain suited to hydropower development. Asean member countries and the world community should support this policy as the move will not only help the regional community get clean, low carbon energy but also help Laos to liberate itself from poverty.

According to a study by the Ministry of Energy and Mines, the country has the potential to build more than 70 hydropower plants with a combined installed power generation capacity of about 28,000 MW. Today, Laos has built only 14 hydropower plants with an installed capacity of 2,500 MW.

One of the biggest dams which Laos plans to build is the Xayaboury dam, the first run-of-the- river dam on the lower Mekong.

The dam does not store a large amount of water and is designed to ensure a fish passage level of 85 percent, in accordance with MRC guidelines.

Souknilundon Southivongnorath

Source: Vientiane Times

Business & Investment Opportunities 
YourVietnamExpert is a division of Saigon Business Corporation Pte Ltd, Incorporated in Singapore since 1994. As Your Business Companion, we propose a range of services in Strategy, Investment and Management, focusing Healthcare and Life Science with expertise in ASEAN. We also propose Higher Education, as a bridge between educational structures and industries, by supporting international programmes. Many thanks for visiting www.yourvietnamexpert.com and/or contacting us at contact@yourvietnamexpert.com