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VIENTIANE, Aug. 13 (Xinhua) -- A hydro-electric-powered energy revolution has been afoot in South-East Asia over recent years with the movement of fresh and fast-flowing waters increasingly fueling the consumption of larger amounts of energy resources to spur socio-economic development, poverty reduction and improvements in both urban and rural areas.
The region's most diminutive nation Laos has been at the center of this revolution, posting significant increases to generation capacity by harnessing the energy from the many rivers that run down from its mountainous regions before joining the Mekong that flanks the country to the west for most of passage from the country's north to south.
The lessons learnt among operators in Laos are now ready to be shared as fellow Mekong-side nation of Myanmar is progressing with its own aspirations for the development of its own vast hydropower potential.
The developments are parts of big plans for increased regional connectivity and cheaper, cleaner and more abundant energy for development that can benefit the majority of the millions of rural dwellers still living without stable electric power in their daily lives. The developments are expected to benefit up to 34 million (66 percent) of those living in Myanmar alone.
In mountainous and sparsely populated Laos, the increasing volume of power being generated not only goes to larger neighboring markets to produce much needed export revenue to support national expenditure, but also helps power the domestic market to support everything from the electrification of rural and remote Lao villages to the supply of affordable and stable power supplies to factories. Such factories are essential to powering increasingly regionally-focused manufacturing value chains that in turn create employment opportunities for more people within their own nation.
Like any grand undertaking, unlocking the potential of hydropower through development of a project requires a mix of technical skills and expertise, as well as ready access to a thorough understanding of the local and international legal, social, environmental and business landscapes, in order to deliver the socio-economic benefits promised by the projects safely and securely.
With its vast expertise and experience gathered in hydropower developments at home, Chinese operators have been well placed to be represented in the rapid development of the sector in Laos, and are already key stakeholders as operations in Myanmar move to a new stage in their development.
Also navigating this promising yet challenging terrain to contribute greatly to the success story of the rapid growth of the sector in these two countries is the International Finance Corporation-supported Hydropower Developers Working Group (HDWG), which is also backed by the government of Australia.
A member of the World Bank Group, the IFC has a long track record of investing in the hydropower sector, investing over 1 billion U.S. dollars in around 25 countries including Chile, Guatemala, Nepal, India, the Philippines, Uganda, Turkey, Georgia, and Pakistan since the early 1990s, a record that also includes a more recent equity investment of 125 million U.S. dollars to the China Three Gorges South Asia Investment Limited (CSAIL), the sponsor of several hydropower projects in Pakistan including the Karot (720MW).