A Chinese company plans to invest around US$ 70 million in the construction of a mini hydropower plants in Oudomxay province. China National Electrical Equipment Corporation President, Mr. Zhao Rou Lin, unveiled his company’s investment plan in Laos on Wednesday after reaching an agreement to develop the Nam Baeng hydropower plant, some 130 km outside Oudomxay provincial capital. The project Development Agreement was signed in Vientiane between Mr Rou Lin and Deputy Minister of Planning and Investment, Mr. Thongmy Phomvisay. A number of senior government officials also attended the event. The Chinese company still has to reach a power purchasing agreement with Electricite du Laos to secure a market share of electricity, and a concession agreement with the Lao government before it can begin construction of the plant. But officials from the Ministry of Energy and Mines said the Chinese company would be able to start construction before 2012. The government also wants to increase access to electricity from around 60 percent of Lao households at percent to 90 percent by 2020. There are currently 17 power plants in the planning stage, including a 1.260 MW hydropower plant in Luang Prabang and Xayaboury provinces. Another 45 hydropower plants are undergoing feasibility studies.
Source: Vientiane Times
