(MENAFN) The Asian Development Bank (ADB) has joined hands with Monsoon Wind Power Company Limited (Monsoon) to build a 600-megawatt wind power plant in the Sekong and Attapeu provinces of the Lao People’s Democratic Republic (Lao PDR) in the southern region of Southeast Asia. The project, which is set to be the first of its kind in Lao PDR, is going to be the largest wind power plant in Southeast Asia, consisting of 133 wind turbines. The ultimate goal of the project is to export and sell the generated power to neighboring Vietnam, thus contributing to the energy security of the region.
The massive project requires a significant amount of funding, and the ADB has arranged, structured, and syndicated a financing package worth USD692.55 million, making it the largest syndicated renewable project financing transaction in the ASEAN region to date. The package includes a USD100 million A loan from ADB’s ordinary capital resources, a USD150 million syndicated B loan, USD50 million in concessional financing, USD382.55 million in parallel loans, and a USD10 million grant.
The plant is expected to have a significant impact on the economy of the Lao PDR, creating job opportunities and spurring economic development in the region. It is going to also contribute to reducing greenhouse gas emissions and promoting the use of renewable energy sources in the ASEAN region, which is a critical step towards achieving a more sustainable future.
The ADB has been actively supporting the development of renewable energy in Southeast Asia, as the region is highly vulnerable to climate change and increasingly dependent on imported fossil fuels. The organization aims to provide affordable, reliable, and sustainable energy to the region while promoting economic growth and reducing poverty. The financing of the Lao PDR wind power project is a crucial step towards achieving these goals and promoting the development of the renewable energy sector in Southeast Asia.
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