Current Development of Power Sector in Lao PDR

Current Development of Power Sector in Lao PDR Presented by Lao Delegation Study tour to Power Pooling in Europe November 24 -28, 2003 1

Contents Power sector structure l Current situation l Power policy l Progress of Nam. Theun-2 project l Power grid interconnection l 2

I. INTRODUCTION • Lao PDR is a mountainous country without direct access to the sea. • Area: 236, 800 km 2 • Population: about 5. 5 mio. (est. 2002), over 80% lives in rural areas and is engaged in rice-based agriculture and harvesting of forest products. • Per capita Gross National Product of US$ 326 per annum (est. 2002). • Exploitable hydro potential=18, 000 MW, less than 2% has been harnessed. 3

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Northern Area: 2002: 7. 8 MW peak, 18 GWh 2010: 35 MW peak, 184 GWh Central-1 Area: 2002: 140 MW peak, 681 GWh 2010: 256 MW peak, 1, 345 GWh Central-2 Area: 2002: 32 MW peak, 153 GWh 2010: 168 MW peak, 885 GWh Southern Area: 2002: 24 MW peak, 104 GWh 2010: 83 MW peak, 360 GWh 6

Nam Ko (1. 5 MW) Nam Dong Generation Plants in 2002 (1 MW) Nam Ngum 1 (150 MW) Theun Hinboun (210 MW) Nam Leuk (60 MW) Xeset 1 (45 MW) Selabam (5 MW) Houay Ho (150 MW) 7

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Share of total installed capacity Year 2002 9

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Objectives of the power development policy ~ Provide a source of foreign exchange to fund economic and social development and alleviate poverty; ~ Meet the commitments specified in intergovernmental MOUs with Thailand, Vietnam and Cambodia; ~ Expand the customer base through grid extensions and satisfy growth in domestic demand; 11

Objectives of the power development policy (Con’t) ~ Explore and exploit mutually beneficial cross border exchanges of electricity with neighbouring countries of the sub-region. ~ Extend off-grid rural electrification to promote better socio-economic conditions within isolated communication. 12

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Transmission Network by 2012 14

Share of total installed capacity Year 2002 Year 2007 15 Year 2010

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Project Structure 18

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Thank you for your attention 20