Myanmar power shortages
U Lin Tun, managing director of local energy firm Quasar Resources, believes that many officials in the energy ministry see LNG only as a temporary solution for the next five to 10 years.
Neither the ministry nor VPower has any experience in LNG power plants, he highlighted.
The current government still sets its sights on hydropower and coal with the energy master plan targetting a mix of 57pc hydropower, 30pc coal, 8pc natural gas and 5pc solar and wind by 2030.
However, hydro and coal plants have “very long lead time for development given the environment and social impacts, cost of projects, and lumpy nature of investment,” said U Lin Tun.
As the country braces for the COVID-19 economic fallout, blackouts could add to the disruption by affecting those who are now working remotely and all depends on how soon the emergency plants could go into operation.
“This [delay] has huge implications to the development and stability of the country and political implications for the NLD,” U Lin Tun warned.
“It may be wise to bring in third parties to assess each of the projects in light of these delays. The NLD government needs to have a non-biased picture of the state of these projects so it can make wise decisions.” (Read More)
24th PFI FEPA Conference Singapore
Myanmar side was represented by Lin Tun (Quasar Resources), Jessica Farmer (IFC), Edwin Vanderbruggen (VDB Loi). Although, we are the smallest market, there was much interest on the country and the development potential. Some disappointment of lack of execution on recent power deals were shared. There was big disappointment on failure to seize the opportunity to reform and develop the energy market further. I shared what I know about coming summer and we are headed for tough power outages in recent history. I shared my viewed that rooftop solar can help the grid and help with power supply situation and it was received well by the audience. (Read More)
The ministry has invited production bids of 20MW in Kyun Chaung in Irrawaddy Region and 120MW in Ahlone Township in Yangon Region with natural gas. Bids for production with LNG of 150MW in Kyaukphyu Township in Rakhine State, 350MW in Thanlyin Township and 400MW in Thaketa Township in Yangon Region are being invited.
“My biggest concern is that the state budget will be wasted,” said managing director U Lin Tun of Quasar Resources LLC, a US-based company developing energy infrastructure in Myanmar.
“I heard that one unit of energy produced with LNG will cost 12 or 13 cents [145-199 kyats]. There are many cheaper options. For example, a unit of solar power will only cost 7 or 8 cents. This is 40 percent cheaper, and it can be installed and operated more quickly,” he told The Irrawaddy. (Read More)
PwC MyanmarWeekly Business Intelligence
Minbu solar power project commences in time for summer 2019 (Read More)
Renewable Integration from Financial and System Perspective (Read More)