Khammuan: Nam Theun 2 Power Company (NTPC) has transferred ownership of US$102 million worth of project related assets to the Lao government, following the start of commercial operations at the hydropower plant earlier this year.

The assets include roads, electricity transmission lines and community facilities such as schools, health centres, agricultural facilities and water supply systems built by the company as part of the project agreement, and which now belong to the Lao government and people.  A ceremony was held in Thakhek district, Khammuan province, on June 29 to mark the handover of the assets, built under the concession agreement between the government and NTPC.

Nam Theun 2 began commercial export of 1,000 MW of electricity in March this year, with an agreed official commercial operation start date of April 30 with its main customer, the Electricity Generating Authority of Thailand.

Speaking at the ceremony, Mr Jean Christophe Philbe, Chairman of the NTPC Board of Directors, said the 270km of roads built by the project had already made a huge difference to people's lives, linking Nakai district with the rest of Khammuan province and connecting its people to the nation. Mr Philbe said the ability to access markets and services had delivered an instant leap in quality of life in the area.

Earlier in the day a symbolic handover was held for a 1515/22 kV electricity substation in Gnommalath district. The substation and associated transmission lines were presented to Electricite du Laos to link the national grid to the 70 MW of domestic power generated by the Nam Theun 2 dam. NTPC has also built a 22 kV distribution system bringing electricity to villages on the Nakai Plateau.

Minister of Energy and Mines Soulivong Daravong called the Nam Theun 2 project one of Laos's development priorities, and said that in addition to huge financial benefits the project also marked the beginning of rural development in the area. “Nam Theun 2 has enhanced public services and infrastructure, thereby improving livelihoods, creating permanents jobs and raising the living standards of local people, which are becoming better every day,” said the minister.

Vice Governor of Khammuan province, Mr Odai Soudaphone, described Nam Theun 2 as a multi-purpose project which is alleviating poverty among the people of his province. He thanked NTPC for the facilities they have provided and promised the provincial authority would actively manage and use the assets with maximum efficiency. “Nam Theun 2 has already had a very positive effect on the whole country, as its development has created the conditions and opportunity for Laos to attract foreign investment by providing a model for other projects to follow,” said Mr Odai.

Nam Theun 2 Hydroelectric Project is an industrial and development investment owned by private shareholders and the Lao government, backed by commercial lenders and international financial institutions including the World Bank and the Asian Development Bank. The project has been built and managed by NTPC. The shareholders are Electricité de France, the Lao Holding State Enterprise owned by the Lao government, the Electricity Generating Public Company of Thailand, and the Italian-Thai Development Public Company of Thailand.

Vientiane Times, July 2, 2010