Under the MoU, Naseng-Wayo and UPC Renewables will be allowed to explore the possibility of developing wind energy projects in Phine, Vilabuli and Atsaphone districts of Savannakhet province and develop 500 kV transformer stations along with power transmission line connecting to neighbouring countries for selling electricity abroad.
This is one of some renewable energy projects signed by the Lao government and partners to exploit clean energy, aiming to promoting sustainable economic development and meeting the target of reducing the country's greenhouse gas emissions to zero by 2050.
In a related move, Prime Minister Sonexay Siphandone attended a ceremony to mark the installation of the first turbine of the 600 MW Monsoon Wind Power Project, in Dakcheung district, the southern province of Xekong, last week.
It will be the largest wind farm in Southeast Asia, with 133 turbines. Its total construction cost is estimated at 900 million USD.
Hydropower currently accounts for about 70% of total electricity production in Laos and the country has about 10 wind power projects with a total design capacity of 3.6 GW in the planning stage. Around 80% of the power generated in Laos is sold to neighbouring Thailand and Vietnam.