- The Asian Development Bank (ADB) has announced support for 100 MW Solar Power Park Program of Cambodia
- Program will be developed in two phases of 30 MW and 70 MW for local utility Electricite Du Cambodge (EDC)
- ADB will prepare a feasibility study for the project, develop a PPP structure that will also be useful as a template for future solar PPPs in Cambodia and elsewhere in Southeast Asia
- ADB will provide concessional funds to the EDC for common infrastructure of the park
Cambodia is preparing to implement its 100 MW Solar Power Park Program with the help of Asian Development Bank (ADB). A transaction advisory agreement was signed between ADB and Cambodia’s utility Electricite Du Cambodge (EDC).
For the Cambodia project, ADB’s Office of Public Private Partnership will develop a feasibility study, develop a bankable PPP structure and organize a competitive tender process to select a suitable private sector sponsor for the power generation. As part of the project, ADB will be developing a template for solar PPPs in the country, and ‘potentially, in other parts of neighboring Southeast Asia’.
The bank will also provide concessional funds to the EDC to set up common infrastructure for the park.
The first program phase will involve setting up 30 MW, which will be followed by 70 MW in a second phase.
“Cambodia is blessed with excellent solar irradiation and this program will help Cambodia bring renewable, affordable, and indigenously-sourced power to meet its growing energy needs,” said Ryuichi Kaga, Head of ADB’s Office of Public-Private Partnership. Adding, “ADB will be advising on the structuring of a national solar park program and a competitive process of procuring power, which is expected to drive solar power prices lower and bring access to affordable power to its people.”
The news follows recent announcement from ADB wherein it has approved a new Pacific Renewable Energy Investment Facility to support renewable energy projects in 11 Pacific island nations. Cumulative financing of $200 million will support the Cook Islands, the Federated States of Micronesia, Kiribati, Nauru, Palau, the Republic of Marshall Islands, Samoa, the Solomon Islands, Tonga, Tuvalu, and Vanuatu transform their diesel based power systems to sustainable renewable energy generation sources.
In April 2017, Singapore based Sunseap Group bagged $9.2 million debt financing package from ADB to develop Cambodia’s first large scale solar power project of 10 MW (see ADB Support For Cambodia PV Project). This project is scheduled to begin operations in August 2017.