Construction of 400 MW power plants in Kandal province faces suspension

• 25 March 2020
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Two power plants with a total power capacity of 400 MW fueled by heavy fuel oil which was under construction in Lvea Em district, Kandal province may fail to come online as scheduled because contracted construction firms from China have been affected by the COVID-19 pandemic.

According to the plan, when construction started in October 2019 the power plants, were scheduled to generate power and be connected to the grid in May or June, within the first semester this year.

Unfortunately, because of construction firms contracted from China having difficulties in travelling and being required to be in quarantine for COVID-19 prevention, the process of construction work faces suspension.

Victor Jona, director-general of General Department of Energy and spokesperson of the Ministry of Mines and Energy, reported that “The suspension of commencing the power plants will be up to 6 months if the situation of COVID-19 gets better.”

Given the threat of the pandemic on the energy development sector, some people raised concerns over economic downturns especially in the power sector, as there might be some withdrawal of energy investment and delay in project implementation.

However, addressing these concerns, Mr Jona made it clear that “although the power plant commencement is suspended, it dost not negatively affect supplying power to Phnom Penh because other power sources – hydropower dams, coal-fired power plants, solar, and biomass power plants – have been put on the front lines to supply power in the dry season.”

For the 400 MW power plants, the government spent US$380 MW to import generators from Finland and Germany in mid-2019, aiming to increase power supplies to Phnom Penh.

Notably, two Chinese firms were constructing the power plants: CGGC-UN Power Co and China National Heavy Machinery Corporation. The plants are under the control of Electricite Du Cambodge (EDC). (Read more) and (Read more)

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