The Asian Development Bank is working the Lao People’s Democratic Republic to build the Nam Theun 2 Hydroelectric Project (NT2). The project is seeting the standard for the construction of "good dams" - those that address environmental and social impacts, and steer revenue toward the country's neediest people.
|Project Name||GMS Nam Theun 2 Hydroelectric Project|
|Country||Lao People's Democratic Republic|
|Project Type / Modality of Assistance||Loan
|Source of Funding / Amount||
|Strategic Agendas||Environmentally sustainable growth
|Drivers of Change||Private sector development
|Sector / Subsector||
Energy - Large hydropower generation
|Gender Equity and Mainstreaming||No gender elements|
|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.|
Sustainable economic growth
Poverty reduction in Lao PDR
|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|
|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.|
Summary of Environmental and Social Aspects
|Stakeholder Communication, Participation, and Consultation|
|During Project Design|
|During Project Implementation|
|Consulting Services||not applicable|
ADB loan is used as equity of GOL in the project company.
No specific procurement is needed.
|Responsible ADB Officer||Bui, Duy-Thanh|
|Responsible ADB Department||Southeast Asia Department|
|Responsible ADB Division||Energy Division, SERD|
Ministry of Industry and Handicrafts
Dr. Somboune Manolom
Lao People's Democratic Republic Nam Theun 2 Power Company Limited (NTPC)
Mr. Jean Pierre Katz
26 Khun Boulom Road
P.O. Box 5862,
Vientiane, LAO PDR
|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|
|Approval||Signing Date||Effectivity Date||Closing|
|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||98.50||Cumulative Contract Awards|
|ADB||20.00||04 Apr 2005||15.50||0.00||84%|
|Cofinancing||78.50||04 Apr 2005||18.43||0.00||100%|
|Status of Covenants|
Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.
The Public Communications Policy (PCP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.
The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.
In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.
|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|
|Nam Theun 2 Annual Update: Project Progress as of July 2009||Progress Reports||Jul 2009|
|Nam Theun 2 Annual Update: Project Progress as of July 2008||Progress Reports||Jul 2008|
|Nam Theun 2 Annual Update: Project Progress as of May 2007||Progress Reports||May 2007|
|Nam Theun 2 Annual Update: Project Progress as of October 2006||Progress Reports||Oct 2006|
|Nam Theun 2 Annual Update: Project Progress as of July 2005||Progress Reports||Jul 2005|
|Greater Mekong Subregion: Nam Theun 2 Hydroelectric Project||Reports and Recommendations of the President||Mar 2005|
Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.
Evaluation Documents See also: Independent Evaluation
None currently available.
|Title||Document Type||Document Date|
|Poverty Impacts of Government Expenditure from Natural Resource Revenues||Papers and Briefs||Jun 2010|
The Public Communications Policy (PCP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.
Requests for information may also be directed to the InfoUnit.
Statement on the Release of the NT2 Panel of Experts 24th ReportThe Nam Theun 2 Multipurpose Hydropower Project (NT2) in Lao PDR represents a long-term commitment and concerted effort by all stakeholders to develop a socially and environmentally responsible hydropower project—one that generates power while also protecting the environment and reducing poverty in one of the world’s poorest countries. We welcome the 24th Report of the International Environmental and Social Panel of Experts (PoE) for Project.
Life Beyond the DamThough 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."
Hydropower Helps Lift Rural CommunitiesIn Lao PDR, a hydroelectric project builds dams that address environmental and social problems and steer revenue toward the country's poorest people.