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Monday, June 18, 2007

Cambodia gets grant for hydro expansion in Mekong power trade

The World Bank has announced the award of a US$18.5M grant to Cambodia to help develop power trade projects in the Greater Mekong, which will involve a hydro project and a transmission line to import surplus hydroelectricity.

In approving the grant, which is being issued via the International Development Association (IDA), the bank noted that the projects aim to expand power trade in the region and also bring more affordable grid-based electricity to selected provinces in Cambodia.

The key hydro related features of the projects approved by the bank are:

* Component C-5: A detailed feasibility study for a hydro power plant that is selected jointly by IDA and Cambodia’ Ministry of Industries, Mines and energy (MIME). Potential projects, capacities and timelines were not disclosed.

* Component C-2: a 115kV transmission system from south Lao PDR to Stung Treng province, Cambodia, to allow for the import of surplus hydroelectricity.

However, the bank also noted that a separate 115kV line approved under the grant, to run from Tai Ninh in Veitnam to Kampong Cham, Cambodia, may in future allow for the export of hydro from Cambodia to Vietnam.

The total cost of the power trade projects is US$20M with US$1.5M contributed by Cambodia.

The power trade studies will be implemented on behalf of the government by Electricite de Cambodge (EDC).

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