Presented by:Sanhya SOMVICHITH - PowerPoint PPT Presentation

Title: Presented by:Sanhya SOMVICHITH


1
Executive Seminar on EDL Laos Hydro Power
Development Vientiane, 21st November 2008
Hydro Power in Lao PDR Power Development
Plan
Presented by Sanhya SOMVICHITH Deputy Chief of
Power Sector Planning Division Department of
Electricity, Ministry of Energy and Mines

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INTRODUCTION Hydropower in Lao PDR its History
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INTRODUCTION Hydropower in Lao PDR

• The Lao power sector is still in its infancy,
  with less than half of the population having
  access to electricity. The hydropower sector has
  the potential to play a pivotal role in achieving
  the social and economic development objectives of
  the Government by expanding the availability of
  low cost, reliable electricity within the country
  and earning revenue from export sales to the
  region.
• The Governments power policy facilitates these
  objectives by encouraging optimal use of the
  countrys natural resources, promoting efficiency
  in power sector institutions and creating and
  environment conductive to responsible
  infrastructure investment, both public and
  private.
• Lao PDR is classified as a Least Developed
  Country. It is a poor, mountainous and highly
  forested landlocked country with few options to
  secure a sustainable and environmentally sound
  economic and social development.

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INTRODUCTION Hydropower in Lao PDR (cont)

• With a population of about six million, its
  chances of developing labour intensive industries
  are limited, although in recent years its
  mineralogical resource base has become an
  important source of export revenues. Most of the
  population lives in the countryside and many
  survive on less than 2 US a day. Per capita GDP
  is not much more than 500 US.
• The Lao Government feels the development of
  hydroelectric power facilities represents a
  highly appropriate method of achieving
  sustainable social and economic development. With
  rich of water resource, this provides an
  opportunity for Laos to develop hydropower
  projects to meet its domestic electrification
  needs and also to export electricity to
  neighboring countries where demand for electric
  power has been steadily increasing.

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Power Development History

• Electricity generated from hydropower plants was
  not produced in Lao PDR until the late 1970s.
  Some small hydropower plants serving small
  isolated local grids were commissioned at the
  time.
• Before 1993 only three hydropower plants had been
  developed and brought into operation.
• The power sector was subsequently opened up to
  foreign investment. In June 1993, the Lao PDR and
  Thailand signed the first MOU to supply
  electricity of up to 1,500MW to Thailand.
• To meet the rapid increase of demand in Thailand
  the two Govts extended the MOU several times. In
  Dec 2007, the both Govts newly agreed to
  expended up to 7,000 MW of electricity supply to
  Thailand by 2020.
• In 1998, Lao PDR and Vietnam also signed MOU for
  exporting electricity 2,000MW to Vietnam.

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Power Development History (cont)

• First large hydro power plant Nam Ngum-1 (155 MW)
  was in operation 1971, supply electricity mainly
  to Vientiane area.
• In 1970, Nam Dong hydro power plant was built
  with installed capacity of 1 MW, supply electric
  power to Luangprabang town. Furthermore, at the
  same year Selabam (5 MW) was in operation,
  objectively supply electric power to Pakse town.
• In 1990, Xeset-1 (45 MW) was built in order to
  strengthen power supply in southern provinces. In
  1996, Nam Ko (1.2 MW) was built to supply
  electricity to Oudomxay town.
• In 1998, 1999, first IPP export projects Theun
  Hinboun (220 MW) and Houay Ho (150 MW) were in
  commission respectively, most of power production
  are exported to Thailand.
• In 2000, 2004, Nam Leuk (60 MW), Nam Mang-3 (40
  MW) were commissioned, electricity produced from
  both power plants are used mainly for domestic
  demand, surplus energy produced in rainy season
  are together with surplus from Nam Ngum-1
  exported to Thailand.

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Present Situation
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Potential Hydropower in the Country

• Hydropower potential (including Mekong
  Mainstream) 36,000 MW
• In Mekong tributaries 26,500 MW
• Technically exploitable 18,000 MW
• Less than 2 has been developed so far.
  Conversely, under present Government policy the
  rate of development will accelerate to supply
  electricity to the rapidly growing economies of
  the country and region.

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Country Electrification Background

• Total Installed capacity 671 Mw.
• Electricity export (360 Mw) representing 30
  of total countrys export revenues.
• Households electrified approx. 59.3(2007) or
  574,088 households.
• Industry growth of about 7 pa, while electricity
  consumption increased by 12 pa in the last 10
  years.
• Neighboring countries very high electricity
  demand growth in neighboring countries such as
  China (30,000MW/y), Thailand (1,500MW/y), and
  Vietnam (2,000MW/y).

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Present Electric Power Supply Areas
At the present, due to the transmission line has
not yet been connected in whole country, EDL has
divided their T.L system into 4 areas such as

• -Northern area Phongsaly, Luangnamtha, Borkeo,
  Oudomxay and Huaphanh
• Central-1 area Luangprabang, Xiengkhuang,
  xayabury, Vientiane,
• Vientiane Cap. and Borikhamxay.
• Central-2 area Khammuane, Savannakhet
• Southern area Saravan, Champasak, Xekong,
  Attapeu

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Present Electric Power Facilities
Hydro Power Plants owned by EDL 308.7 MW Nam
Ngum 1 155 MW Nam Leuk 60 MW Xeset 1
45 MW Nam Mang 3 40 MW Selabam
5 MW Nam Ko 1.5 MW Nam
Dong 1 MW Nam Ngai 1.2 MW Hydro Power
Plants co-owned with private investors (IPP
export) 360 MW Houay Ho 150MW Nam
Theun-Hinboun 210MW And some renewable Energy
(Mini/Pico Hydro Plants, Solar), and Diesel cover
approx. 0.4 (2.5 MW) of total power generation
in the Country.
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Present Electric Power Facilities (IPP export)

• Total Installed Capacity (360 MW)
• Theun Hinboun HPP (210MW) COD in 1998
• Nordic Hydropower of Norway/Sweden 20
• MDX/GMS Power of Thailand 20
• EdL of Laos 60
• Houay Ho HPP (150 MW) COD in 1999
• Suez Energy of Belgium 60
• HHTC of Thailand/Belgium 20
• EdL of Laos 20

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Total Installed Capacity
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Present Electric Power Facilities

• Generation 671 MW
• EDL Gen. 308.7 MW
• IPP export 360 MW
• Provincial owned Gen. 2.5 MW
• Transmission Lines
• 230 kV (IPP) 246 km
• 115 kV 1,463 km
• 35 kV 176 km
• 22 kV 10,490 km
• 0.4 kV 10,012 km
• Other Shieldwire, SWER of 34.5kV, 25kV, 12.7kV,
  0.4kV, 0.22kV 791 km
• Sub-stations
• 115/22 kV 27
• 35/22 kV 3
• Transformers
• Transfo. 8,090 units
• Total capacity 1,532,380 kVA

Owned by EDL 5 - HPPs 3 - SHPPs Owned by IPP 2
- HPPs
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Situation of Power Generation Supply
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Electricity Consumption by Categories
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Electricity Consumption by Provinces
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Electricity Import-Export
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Maximum Daily Load
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Daily Load Curve
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Power Transmission Distribution Losses
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Country Electrification Rate
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Government Target on Electrification Extension

• 50 Electrified by the year 2005
• 70 Electrified by the year 2010
• 90 Electrified by the year 2020

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Power Development Plan ( PDP )
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Objective target of PDP
To fulfill the Government target on
electrification rate 70 by 2010, and 90 by 2020
To efficiently strengthen electric power supply
to the country
To adequately supply electric power to an
anticipated rapid demand growth in the future
To forecast future electric power demand of the
country
Planning stages Short-term (5 ys) Medium-term
(10 ys) Long-term (15-20 ys)
To plan power generation in order to meet
anticipated demand forecast in future
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Methodology of PDP
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Demand Forecast

• Factors considered in the demand forecast
  planning
• - Annual population growth anticipation
  (estimate annual ave. energy consumption per
  capita)
• - Consideration of country economic growth (GDP
  growth)
• - Country industrial planning, especially in
  mining sector (Maximum power needed in MW)
• Method
• - Forecast provincial energy demand (GWh)
  population growth, industrial sector growth
  (indicate type of industry, energy pattern
  needed, peak load, etc.)
• - Estimate energy loss in the system (GWh, )
• - Peak Load (MW)
• - Load factor ()
• These calculated data will be represented year
  by year until the planning year end.

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Demand Forecast for Whole Country
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Demand Forecast Graph
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Power Generation Planning for Domestic Use

• Policy
• Projects invested by EDL
• Purchase from IPP domestic projects
• Purchase partly from IPP export projects
• Exchange power with neighboring countries in
  order to secure power supply in the country
• Encouraging SPP projects to strengthen power
  system network (voltage improvement, reduction of
  power loss in the system, improve system
  stability)
• Encourage rural electrification program
  (off-grid) such as SHS, Mini hydro, Pico hydro
  where transmission line are not access.

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Power Generation Planning for Domestic Use
Projects invested and to be invested by EDL
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Power Generation Planning for Domestic Use
SPP IPP domestic projects
33
Power Generation Planning for Domestic Use
IPP export projects
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Demand and Supply Balance
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Power Transmission Development Plan
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Rural Electrification Plan

• Present Situation
• 88.7 of District towns are accessed to
  electricity
• 40.3 of Villages are accessed to electricity
• 59.3 of HHs are accessed to electricity
• Of which 50 under responsibility of EDL, 4
  under provincial authorities and other agencies.
• Target Plan in 2020
• 8,453 Villages 80
• 1,108,609 HHs 90

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Hydropower Projects Under-Construction

• Under Construction (1,953 MW)
• Nam Theun 2 (1,088MW) scheduled COD in 2009
• EDFI of France 35
• EGCO of Thailand 25
• ITD of Thailand 15
• LHSE of Laos 25
• World Bank, Asian Development Bank and MIGA
  providing PRG
• 17 private banks lending 70 of project cost
• 75 MW for domestic market
• Nam Ngum 2 (615MW) scheduled COD in 2011
• C. Kanchang of Thailand 28.5
• EdL of Laos 25
• Ratchaburi of Thailand 25
• Bangkok Express Way of Thailand 12.5
• Shlapak Group of USA 4
• PT Construction of Laos 4
• TEAM of Thailand 1
• All financing from Thailand

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Hydropower Projects Under-Construction

• PPA/ CA completed and construction started (500
  MW)
• Nam Ngum 5 (120MW) scheduled COD in 2011 for
  domestic market
• - Sinohydro Corporation of China 95
• - EDL of Laos 5
• Possible MIGA providing PRG
• Nam Lik 1-2 (100MW) scheduled COD in 2011 for
  domestic market
• CWE Corporation of China 90
• EDL of Laos 10
• All financing from PR of China
• THPP-Expansion ( 280 MW ) scheduled COD in 2012
• - Nordic Hydropower of Sweden/Norway20
• - MDX/GMS of Thailand 20
• - EDL of Laos 60
• 60 MW will be for domestic market
• Possibly no PRG required

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Hydropower Projects Under-Development

• Tariff MOU concluded (3,883 MW)
• Hong Sa Lignite ( 1,800 MW ) scheduled COD in
  2014
• - Ban Pu of Thailand 45
• - Ratchaburi of Thailand 35
• - LHSE of Laos 20
• Nam Ngiep 1 (260 MW) scheduled COD in 2014
• Ratchaburi of Thailand 25
• LHSE of Laos 20
• Kansai Electric of Japan 55
• Nam Theun 1 (520 MW) scheduled COD in 2014
• Gamuda Berhad of Malaysia 45
• EGCO of Thailand 35
• LHSE of Laos 20
• Nam Ngum 3 (460MW) scheduled COD in 2014
• MDX/GMS Power of Thailand 27
• LHSE of Laos 23
• Ratchaburi of Thailand 25

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Hydropower Projects Under-Development

• Feasibility studies completed/ Tariff
  negotiation on-going (1,874 MW)
• Xe Kong 4 (528 MW) scheduled COD in 2014
• Regional Oil of Russia 85
• EDL/LHSE of Laos 15
• Xe Kong 5 (250 MW) scheduled COD in 2015
• Regional Oil of Russia 85
• EDL/LHSE of Laos 15
• Nam Kong 1 (238 MW) scheduled COD in 2016
• Regional Oil of Russia 85
• EdL/LHSE of Laos 15
• XePian-XeNamNoy( 390 MW ) scheduled COD in 2013
• - SK Eng Const. of Korea 85
• - LHSE of Laos 15
• XeKaman 1 (468 MW) scheduled COD in 2014

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Hydropower Projects on Mekong Under F/S Study

• MOU signed FS to be completed in 30 mts
• (9,800 MW)
• 1,320 MW on the Mekong river at Pakbeng
• 1,410 MW on the Mekong river at Luangprabang
• 1,260 MW on the Mekong river at Sayaburi
• 1,320 MW on the Mekong river at Paklay
• 1,000 MW on the Mekong river at Sanakham
• 2,330 MW on the Mekong river at Bankoum (Lao-Thai
  border)
• 800 MW on the Mekong river at Ladseua
• 360 MW on the Mekong river at Done Sahong

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Challenges, Problems Facing to be faced

• System power losses, both technical and
  non-technical (illegal connection).
• Power system stability, due to long transmission
  line, voltage drops, and shortage of generation
  especially in dry season.
• Power shortage where transmission lines are not
  reached.
• Import tariff is still higher than export tariff.
• In PDP, demand forecast needs to be revised many
  time due to uncertainty of industrial planning
  particularly mining sector.
• Rapid anticipated demand growth influences power
  generation planning.
• Huge future investment in power generation and
  power transmission are needed in order to meet
  rapid demand growth in the future.
• Challenges for EDL in system management when
  their system become bigger in the future.

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Lesson Learned in Hydropower Development

• Long term project development.
• Initial development cost is high.
• Long construction period.
• High risk of cost overruns during construction.
• Uncertainty of estimated water flow cause
  generation less.
• Social-environmental impact issues.
• Small hydropower high energy cost, high
  operation cost compared to big scale.
• Domestic power supply fully rely on hydro, future
  best mix power supply is needed.
• .

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Thank you for your kind attention