Electricité du Laos (EDL) and Nam Theun 2 Power Company Limited (NTPC) signed a Memorandum of Understanding (MoU) on 12 September to increase electricity production from the Nam Theun 2 hydropower project.
The agreement marks a key step in amending the existing Power Purchase Agreement (PPA) between the two companies.
The MoU was signed by Souliya Manivong, Deputy Managing Director of EDL, and Marc-Antoine Rupp, CEO of NTPC. Laos’ Vice-Minister of Industry and Commerce, Chanthaboun Soukaloun, Akhomdeth Vongsay, PhD, Managing Director of EDL, and senior NTPC officials attended the ceremony.
Under the proposed PPA amendment, Nam Theun 2’s annual electricity production will increase from 300 gigawatt-hours (GWh) to 500 GWh.
The move aims to meet rising domestic demand as Laos’ economy grows and energy needs expand, particularly in central Khammouane province where the hydropower project is located.
Nam Theun 2 is one of Laos’ key renewable energy sources, known for its focus on environmental sustainability and community development. The increased output is expected to provide cleaner electricity, reduce reliance on imports, and help keep energy prices stable and competitive.
The MoU highlights the ongoing partnership between EDL and NTPC and their shared commitment to a sustainable energy future.
Both companies plan to finalize the PPA amendment within 2025, with the increase in production taking effect immediately to benefit domestic consumers and support national energy goals.