Monsoon Wind Farm Project: A Step Towards Sustainable Energy in Vietnam and Laos

Vietnam Electricity (EVN) recently announced the successful energization of the 500kV Monsoon – Thanh My power line project, marking a significant milestone in the country’s energy landscape. This project is a crucial part of a larger initiative to import wind power from the Monsoon Wind Farm in Laos, adding 600MW of much-needed electricity to Vietnam’s national grid during 2024-2025.

With a total investment of over VND 1,100 billion, the project involved constructing a double-circuit power line spanning approximately 44.71 km in Nam Giang District, Quang Nam Province. This line will connect the Monsoon Wind Farm cluster to the 500 kV Thanh My substation in Quang Nam, enhancing the resilience and capacity of Vietnam’s power infrastructure.

Despite facing challenges related to forest conversion, land clearance, and rugged terrain, EVN and its dedicated team managed to complete the project ahead of schedule. The construction commenced on September 30, 2023, and despite the tight timeline and harsh weather conditions, all 90 concrete foundation and steel tower structures were successfully erected.

The successful energization of the 500kV Monsoon – Thanh My power line project marks a significant milestone.

“The completion of this project is a testament to the hard work and determination of our construction units, coupled with the strong leadership of EVN and the Project Management Unit,” said a representative from EVN. “We are proud to have overcome numerous obstacles and even finished the Vietnamese section of the project 40 days ahead of the scheduled energization of the Monsoon Wind Farm in Laos, which is expected to be completed in early March.”

According to EVN, the new power line has a maximum transmission capacity of 2,500 MW, significantly bolstering the operational capabilities of Vietnam’s national grid and facilitating the import of electricity from Laos.

Once the Monsoon Wind Farm is fully operational, the project is expected to receive 600 MW of imported electricity from Laos, resulting in an annual average output of approximately 1.7 billion kWh.

As per the Ministry of Industry and Trade’s report at the end of 2023, the total approved capacity of electricity imports from Laos, mainly from hydropower projects, stood at 1,977 MW. However, the actual capacity that Vietnam can purchase is estimated to be around 1,300 MW, prompting considerations to expand import sources to include wind power.

Laos: A Leading Electricity Exporter

Electricity exports play a crucial role in Laos’ economy, generating significant foreign exchange earnings. In 2024, Laos aims to surpass a total electricity output of 51,134 million kWh, valued at approximately 41,321 billion kip. Of this, electricity exports are projected to reach 40,446 million kWh, earning over $2.453 million, while domestic consumption is estimated at 10,248 million kWh, valued at over $700 million.

Laos has established itself as a significant electricity exporter, with electricity as its top export commodity.

In 2022, Laos exported $2.38 billion worth of electricity, ranking 17th globally in electricity exports, according to OEC. That year, electricity surpassed other commodities as Laos’ top export. The primary importers of Laos’ electricity were Thailand ($2.03 billion), Cambodia ($188 million), Vietnam ($134 million), Singapore ($24 million), and China ($3.69 million).

From 2021 to 2022, Laos experienced rapid growth in electricity exports to its neighboring countries and ASEAN partners, with the most significant increases seen in Thailand ($235 million), Cambodia ($79.6 million), and Vietnam ($66.2 million).

Laos’ electricity exports to its neighboring countries and ASEAN members are projected to reach approximately 20,000 megawatts (MW) during the 2020-2030 period. Electricity has become a significant source of revenue for Laos, particularly through exports to Thailand, Vietnam, Cambodia, Malaysia, Myanmar, and Singapore, as reported by Vientiane Times.

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