On 11 September, Électricité du Laos (EDL) and Chinese energy company Shenzhen Yichu Smart Energy Group Co., Ltd. exchanged an agreement to study battery energy storage systems in Laos.
The agreement was one of three signed or exchanged at the Laos–Hong Kong Business Forum in Hong Kong, which brought together more than 120 business representatives from Laos, Hong Kong and neighboring Chinese provinces.
The feasibility study will examine how Battery Energy Storage Systems (BESS) could help Laos store electricity and manage its power supply as the country expands solar and wind generation.
BESS can store electricity when there is more power available than needed and release it when demand rises. The technology can also store electricity generated by solar and wind when production is high, allowing it to be used later.
According to state media, the study will assess how battery storage could be developed and used in Laos’ future electricity system. Details on potential locations, storage capacity, investment costs and construction timelines have not yet been disclosed.
Hydropower Energy
The study comes as Laos continues to rely heavily on hydropower, which accounts for about 70 percent of the country’s electricity output, according to the most recent publicly available data from 2024, according to the MInistry of Industry and Commerce.
These concerns come as Laos seeks to expand variable renewable energy. The country’s power development strategy targets increasing solar and wind power to 11 percent of the energy mix by 2030.
