Electricite du Laos state enterprise and China Southern Power Grid have signed an agreement to jointly establish a new venture to operate the country’s power grid.
The new company, Electricite du Laos Transmission Company Limited (EDLT), will be created that would work under Lao government control but would take advantage of China Southern’s expertise in constructing, running, and maintaining power grids in addition to its financial resources.
According to a report in Xinhua, Lao Minister of Energy and Mines, Mr. Khammany Inthirath, said that the EDLT would become a key project in the industrialization process for Laos, and would help provide a self-sufficient and stable power supply to support the country’s development, as well as reinforcing infrastructure connectivity with neighboring countries.
The Lao minister said that he believed CSG’s advantages in experience, technology, and human resources would help bring rejuvenate the Lao power industry.
Chinese Ambassador to Laos, Jiang Ziadong, said that the founding of the EDLT is the first step in implementing an important consensus reached at the recent Lancang-Mekong Cooperation leader’s meeting, which called for strengthened power connectivity among Mekong countries.
The newly formed EDLT is to provide a safe, reliable, and efficient power transmission service for EDL, driving social and economic development and improving standards of living in Laos.
The company will also assist Laos in enhancing power grid interconnection with neighboring countries, helping Laos to become the “battery” of clean energy in Southeast Asia.
The signing ceremony was attended by Deputy Minister of Energy and Mines, Dr. Daovong Phonekeo, Deputy Minister of Finance, Dr. Bounleua Sinxayvoravong, Economic and Commercial Counselor of the Chinese Embassy to Laos, Mr. Wang Qihui, Acting Managing Director of EDL, Mr. Chanthaboun Soukaloun, and President of China Southern Power Grid Yunnan International, Mr. Zhu Danwei.