BCPG expects Laos plants to start supplying Vietnam in 2022
BCPG expects its 114-megawatt Laos hydropower operation to start selling electricity to Vietnam in 2022 under a deal lasting 25 years.
BCPG’s Nam San 3A and Nam San 3B plants are under a power purchase agreement with the state-owned Laos supplier, Electricite du Laos.
Company president and CEO Bundit Sapianchai said BCPG is now building a 220-kilovolt transmission line to transmit electricity from Nam San 3A, Nam San 3B and other nearby power projects.
BCPG will sell electricity from Nam San 3A and Nam San 3B to Vietnam in US dollars via a “take-or-pay” scheme.
The 220-kV transmission line should boost BCPG's business opportunities as a transmission line service and help drive Laos' ambition to be the “battery of Asia”, said the company.
"We see Laos as a strategic area of power production for Asia, and we are also aware of an increase in electricity demand in Vietnam as the country is growing fast. The company's investments in hydropower plants in Laos and a transmission line to sell electricity generated in Laos to Vietnam could boost financial performance and competitive returns in the long run,” said Bundit.
