A ceremony to mark the launch of the Laos-China 500 kV Power Interconnection Project was held in Vientiane, the capital of Laos, on Wednesday.

(KPL) The Laos-China 500-kV Interconnection Project, a key initiative under the China-Laos Community with a Shared Future Action Plan, is set to be completed and operational by 2026.

The power transmission grid will enable a two-way electricity exchange capacity of 1.5 million kilowatts, delivering approximately 3 billion kilowatt hours of clean electricity annually.

Lao Minister of Energy and Mines Phoxay Sayasone

This project will expand bilateral power exchanges and deepen strategic energy cooperation between the two countries.

Prime Minister Sonexay Siphandone attended the launching ceremony alongside Chinese Ambassador to Laos Fang Hong, Lao Minister of Energy and Mines Phoxay Sayasone, and Vice President of China Southern Power Grid (CSG) Liu Wei.

Also present were senior officials from the Ministry of Finance, Ministry of Natural Resources and Environment, Prime Minister’s Office, Ministry of Energy and Mines, as well as representatives from Luang Namtha and Oudomxay provinces and the Laos-China Cooperation Committee.

Chinese Ambassador to Laos Fang Hong

Ambassador Fang Hong highlighted that the Laos-China 500 kV Interconnection Project represents another significant milestone in deepening practical cooperation between the two nations, following the success of the Laos-China Railway.

She emphasized that electricity is a cornerstone of economic and social development, playing a vital role in improving livelihoods and fostering regional prosperity. Ambassador Fang also stressed the importance of implementing the consensus reached by the leaders of both countries and leveraging power grid interconnection to enhance bilateral energy cooperation, with the China-Laos Economic Corridor serving as the central axis.

Minister Phoxay Sayasone noted that the project is a strategic component of Laos’s Five-Year Energy and Mines Development Plan (2021-25). It will bolster the country’s economic growth, expand grid interconnections and electricity exchanges between Laos and southern China, and support Laos’s goal of becoming a regional hub for energy connectivity and a major energy trading centre in ASEAN.

CSG Vice President Liu Wei stated that the company will utilize advanced technologies, equipment, and standards to strengthen regional power interconnection. He expressed CSG’s commitment to promoting cross-regional energy exchanges and setting a benchmark for power cooperation, thereby contributing to the construction of a China-Laos community with a shared future.

The Lao section of the project is being developed by Electricité du Laos Transmission (EDL-T), while the Chinese section is managed by CSG. The project includes the construction of a new 500-kV substation in Laos, a 183.5-km cross-border transmission line linking Namor in Oudomxay, Laos, with Xishuangbanna in Yunnan, China, and two 230-kV lines connecting the northern Laos power grid.

Once operational, the project is expected to position Laos as a regional hub for clean energy interconnection in the Lancang-Mekong area.

In addition, CSG has donated power equipment and materials to Electricité du Laos (EDL) to enhance the latter’s operational and maintenance capabilities for the power grid in Laos.

KPL