Lao Government Green Lights 1200 MW Wind Power Project, Largest to Date

Dr. Sthabandith Insisiengmay, Deputy Minister of Planning and Investment for the Lao government (right), and Mr. Sengsack Sayarath, Managing Director of SVARE (left).

In a major boost for renewable energy in Southeast Asia, the Lao government signed a Project Development Agreement (PDA) with Savan Vayu Renewable Energy Co., Ltd. (SVARE) in Vientiane Capital on 14 February.

The project, a 1,200 MW wind power project in the Lako Focus Area, Sepon District, Savannakhet Province, marks the largest wind power development in Laos to date and is expected to generate enough electricity to power both domestic needs and contribute to the region’s energy security.

The signing ceremony was attended by Dr. Sthabandith Insisiengmay, Deputy Minister of Planning and Investment for the Lao government, and Mr. Sengsack Sayarath, Managing Director of SVARE. This landmark agreement aligns with the existing Memorandum of Understanding (MOU) on energy cooperation between Laos and Vietnam, signed in 2016, and the Agreement in Power Cooperation, signed in 2019. The project has the potential to export excess electricity to Vietnam.

This project represents a major milestone in Laos’ journey toward clean energy and sustainable development. It will not only contribute to domestic energy needs but also strengthen Laos’ position as a reliable power exporter in the region, particularly to Vietnam, contributing to regional energy security and cooperation.

SVARE conducted extensive feasibility studies in Sepon District, Laos, identifying high wind resource potential with a total installed capacity of 1,200 MW. Requiring an estimated investment of USD 2 billion, the project will generate clean energy and contribute to regional economic and social development, creating significant job opportunities throughout construction and operation.

The wind farm is expected to be operational by early 2026, significantly boosting Laos’ renewable energy capacity and supporting its goal of achieving renewable energy targets by 2030.