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Tuas Power considers Laos hydropower deal lasting up to 15 years

The proposed imports would start at 100 MW in the first contract year and reach 500 MW annually from the third year.

By Arif Rahman

Hydroelectric dam and electricity transmission lines
Photo: The Business Times

Singapore’s Tuas Power is examining a proposal to import hydropower from Laos under a contract lasting five to 15 years. On October 30, 2026, it signed a memorandum of understanding with Electricite du Laos (EDL) and Phongsupthavy Group (PSTG) to explore the arrangement.

The proposed schedule starts with 100 megawatts (MW) during the first contract year, followed by 300 MW during year two. Annual imports would then reach 500 MW. Customers could also be offered electricity bundled with Renewable Energy Certificates, market-based instruments for offsetting consumption of fossil-fuel-generated electricity.

PSTG chairman Phongsavath Senaphuan noted that hydropower availability is seasonal. He said PSTG would seek a transparent supply profile that it could deliver if the proposal goes ahead.

Michael Wong, Tuas Power’s chief operating officer, said the potential collaboration would support customers’ decarbonisation plans and could help integrate clean energy across the region under the Asean Power Grid vision.

The signing took place alongside Singapore International Energy Week. Tuas Power belongs to China’s state-owned China Huaneng Group. EDL is Laos’ state operator, while PSTG privately develops renewable power generation projects.

According to Singapore’s Energy Market Authority, the country’s current peak electricity demand is around 8.6 gigawatts (GW), or 8,600 MW, and could reach 13 GW by 2031.

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