Laos has officially launched its first large-scale solar photovoltaic project, spearheaded by the China General Nuclear Power Group (CGN). This significant initiative aims to bolster the country’s energy efficiency and economic growth, officially commencing on Wednesday at CGN's clean energy base located in Oudomxay province.
With an installed capacity of 1 million kilowatts, the solar project is expected to generate approximately 1.7 billion kilowatt-hours of electricity every year, fulfilling the energy needs of about 10 million households. This output is not just remarkable but also poised to have substantial environmental benefits, as it is projected to save 510,000 tons of standard coal and reduce carbon dioxide emissions by 1.4 million tons annually.
The collaboration involves over 70 Chinese and Laotian enterprises, aimed at establishing this solar venture as a benchmark for electricity cooperation under the Lancang-Mekong Cooperation framework. By facilitating cross-border electricity transmission, the project will strengthen power interconnection between China and Laos, transforming the latter's natural advantages—primarily its solar potential—into tangible economic benefits.
Once operational, the project promises to accelerate Laos' transition to renewable energy and assist its industrial upgrading. The solar power generated will be transmitted to Yunnan Province, located just across the border in Southwest China, thereby supporting the area’s need for sustainable energy.
Leading the execution of this ambitious solar initiative, CGN has pledged to work with more than 40 Chinese companies alongside local firms, ensuring the project not only integrates advanced renewable energy technologies but also maximizes local involvement. This collaboration is expected to create at least 1,000 new jobs, significantly boosting local investments to over CNY150 million (USD20.6 million).
To cultivate local expertise, CGN is actively involved in training programs alongside Laotian universities. Through these efforts, the company has successfully trained 50 Lao engineers, who are now playing integral roles within the country’s burgeoning clean energy sector. The implication of such workforce development initiatives extends far beyond immediate economic gains and speaks to the long-term sustainability of the energy transformation.
The solar photovoltaic project is merely the first phase of CGN and the Lao government's broader vision, which includes the comprehensive clean energy complex aiming to expand renewable energy sources throughout several Laotian provinces. Construction is underway for additional projects, which will incorporate wind, hydrogen, and solar power generation, along with energy storage solutions.
Last year, CGN formalized its commitment by signing agreements with the Lao government to develop these extensive energy solutions. A subsequent agreement followed this September for the second phase of their complex, which will see the addition of another 580,000 kilowatts of solar capacity and additional projects initiated within Laos.
Beyond the numbers, this project symbolizes broader aspirations for economic cooperation within the region. It aims at promoting resource sharing, market complementarity, and fostering industrial collaboration, aspects which are pivotal for the sustainable development of both countries.
This ambitious project reinforces CGN's established position as a leader within the renewable energy sector, currently operating over 100 million kilowatts of installed clean energy capacity across 30 provincial-level regions and 16 nations. Laos is positioned to reap significant benefits as it enhances its energy infrastructure and pursues greener energy solutions.
Indeed, CGN's solar photovoltaic project is not only pivotal for reducing reliance on fossil fuels but is also set to generate transformative economic benefits for Laos, demonstrating its potential as a model for future energy projects across Southeast Asia.