Lao People's Democratic Republic: GMS Nam Theun 2 Hydroelectric Project

Sovereign Project | 37734-013

Summary

The Project includes development, construction and operation of 1070 MW hydropower plant on Nam Theun reiver in Laos PDR. The project will export 5354 GWh electricity to Thailand and provides 300 GWh for domestic consumption. The project will promote enomic growth in the region. Project revenues will support the Government priority poverty reduction and environmental conservation programs as outlined in the National Growth and Poverty Eradication Strategy.

Latest Project Documents


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Project Name GMS Nam Theun 2 Hydroelectric Project
Project Number 37734-013
Country Lao People's Democratic Republic
Project Status Closed
Project Type / Modality of Assistance Loan
Source of Funding / Amount
Loan 2162-LAO: GMS Nam Theun 2 Hydroelectric Project
Ordinary capital resources US$ 20.00 million
Strategic Agendas Inclusive economic growth
Drivers of Change
Sector / Subsector

Energy - Large hydropower generation

Gender Equity and Mainstreaming
Description The Project includes development, construction and operation of 1070 MW hydropower plant on Nam Theun reiver in Laos PDR. The project will export 5354 GWh electricity to Thailand and provides 300 GWh for domestic consumption. The project will promote enomic growth in the region. Project revenues will support the Government priority poverty reduction and environmental conservation programs as outlined in the National Growth and Poverty Eradication Strategy.
Project Rationale and Linkage to Country/Regional Strategy The project aims to support two of the Lao PDR key national development objectives through the powe sector: (i) promote economic and social advancement by providing electricity supply and (ii) earn foreign exchange from electricity export. The project is an integral part of the government development framework.
Impact

Sustainable economic growth

Poverty reduction in Lao PDR

Environmental conservation

Project Outcome
Description of Outcome

Provide stable and affordable electricity to Thailand and the Lao PDR in an environmentally and socially sustainable way

Generate revenue for the Government through the Project for its poverty reduction and conservation programs

Protection of the NNT-NPA

Progress Toward Outcome
Implementation Progress
Description of Project Outputs

1. Physical infrastructure built for power generation

2. Physical infrastructure built for power transmission

3. Environmental measures implemented

4. Resettlement and ethnic minority development plans implemented

5. NNT-NPA protected from illegal logging

6. Strengthened public expenditure management system

Status of Implementation Progress (Outputs, Activities, and Issues)
Geographical Location Central provinces Khammuane & Bolikhamxay, SE of Vientiane.
Safeguard Categories
Environment A
Involuntary Resettlement A
Indigenous Peoples
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation
Business Opportunities
Consulting Services not applicable
Procurement

ADB loan is used as equity of GOL in the project company.

No specific procurement is needed.

Responsible ADB Officer Duy-Thanh Bui
Responsible ADB Department Southeast Asia Department
Responsible ADB Division Energy Division, SERD
Executing Agencies
Ministry of Industry and HandicraftsDr. Somboune ManolomVientiane
Lao People's Democratic Republic
Nam Theun 2 Power Company Limited (NTPC)Mr. Jean Pierre Katz26 Khun Boulom Road
P.O. Box 5862,
Vientiane, LAO PDR
Timetable
Concept Clearance 08 Mar 2003
Fact Finding 03 Aug 2004 to 06 Aug 2004
MRM 25 Nov 2004
Approval 04 Apr 2005
Last Review Mission -
PDS Creation Date 06 Dec 2006
Last PDS Update 16 Apr 2010

Loan 2162-LAO

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
04 Apr 2005 26 Apr 2005 30 May 2005 02 Feb 2011 - 02 Feb 2011
Financing Plan Loan Utilization
Total (Amount in US$ million) Date ADB Others Net Percentage
Project Cost 20.00 Cumulative Contract Awards
ADB 20.00 04 Apr 2005 18.43 0.00 100%
Counterpart 0.00 Cumulative Disbursements
Cofinancing 0.00 04 Apr 2005 18.43 0.00 100%
Status of Covenants
Category Sector Safeguards Social Financial Economic Others
Rating - Satisfactory - Satisfactory - Satisfactory
Title Document Type Document Date
Nam Theun 2 Annual Update: Project Progress During 2013 Progress Reports Sep 2014
Greater Mekong Subregion Nam Theun 2 Hydroelectric Project Update for 2012 Documents Produced Under Grant/Loans/TA Nov 2013
Greater Mekong Subregion: Nam Theun 2 Hydroelectric Project Reports and Recommendations of the President Mar 2005

Safeguard Documents

See also: Safeguards
Title Document Type Document Date
Nam Theun 2 Hydroelectric Project Environment and Social Impact Assessments Nov 2004

Evaluation Documents

See also: Independent Evaluation

No documents found.


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  • 17 Nov 2010 | Article

    Life Beyond the Dam

    Though a hydropower project relocated villagers, it also brought electricity, roads, and schools to a remote valley. Phon Sa-On Resettlement Village, Nakai Province - Kai Kensavaong will never again walk the muddy lanes of her birth village. Her old home is beneath a reservoir of caramel-brown water. "I'll never forget that place," said the 41-year-old villager, her lips dyed pink from chewing betel nut. "It was my home. I picked my first bamboo stalks there."
  • 31 Jan 2009 | Project Result / Case Study

    Hydropower Helps Lift Rural Communities

    The $1.25 billion Nam Theun 2 Hydroelectric Project in central Lao PDR is improving the economic landscape in one of Asia's poorest countries In the remote jungles of central Lao People's Democratic Republic (Lao PDR), a landmark experiment has been going on. A vast array of hard hats and heavy machinery has been working on a project that has been changing the lives of thousands of families and boosting the economy of one of Asia's poorest - yet most promising - countries.