VIENTIANE: Laos has strong potential for wind power development, but reliable grid infrastructure, attractive power prices and clear policies will be crucial to attracting investment, a Chinese wind farm developer has said.
Assistant President and General Manager of the International Marketing Business Centre of Ming Yang Smart Energy Group Limited, Mark Lou, observed that Laos has good wind resources and is at the early stages of wind farm development.
Lou made the comments during an interview with the Vientiane Times on September 4, when an Asia-Pacific media delegation visited Ming Yang Smart Energy in Zhongshan City, Guangdong Province, China.
He said the company was eager to explore opportunities with the Lao government and energy developers to support the growth of renewable energy.
The terms for selling electricity would be an important consideration for Laos in attracting more international energy companies, he added.
“In preparing to develop wind farms, the Power Purchase Agreement, especially the price of power, will be very important,” he said.
A Power Purchase Agreement is a long-term arrangement between an electricity producer and a buyer, giving developers greater certainty over how their electricity will be sold and at what price.
Lou also stressed the need for a strong electricity grid to absorb the power generated by new wind farms.
“After a wind farm has been built, it has to be connected to the grid,” he said, adding that stronger transmission infrastructure would allow Laos to use more electricity provided by renewable energy projects.
This issue is increasingly important for Laos as the country seeks to expand renewable energy and make better use of its natural resources. Building new generation capacity alone is not enough if electricity cannot be transmitted efficiently to areas where it is needed, or to export markets.
Lou also pointed to renewable energy policies and localisation measures as other factors that could influence investment decisions.
Clear and predictable policies would help create a better environment for international companies considering projects in Laos, he added.
Although Ming Yang is widely recognised for its offshore wind technology, Mr Lou said the company also had strong experience in onshore wind power.
“Ming Yang is number one, especially in offshore innovation and annual new installations, but we also have very strong onshore technology,” he said.
The company can provide customised wind turbines for different conditions, covering both onshore and offshore applications, he added.
This could be particularly relevant to Laos, which has no coastline but has mountainous areas and other locations with potential for onshore wind development.
Founded in 1993 and headquartered in Zhongshan, Ming Yang Smart Energy has more than 25,000 employees worldwide. The company focuses on wind power but has expanded into solar power, hydrogen, energy storage and smart energy systems.
According to company data, Ming Yang has delivered more than 131 gigawatts of clean energy generation capacity through more than 1,900 projects in over 40 countries.
The company says its projects help cut about 220 million tonnes of carbon dioxide emissions each year. - Vientiane Times/ANN
