AYALA-led ACEN Corp. on Tuesday said its subsidiary ACEN Renewables International Pte. Ltd. recently signed financing documents for its wind power project in Lao People’s Democratic Republic (PDR).
Monsoon Wind—the first wind power project in Lao PDR—will be the “largest renewable energy platform for regional connectivity and decarbonization in Southeast Asia,” the energy company told the stock exchange.
The project is a collaboration involving ACEN, BCPG Public Company Ltd., Impact Electrons Siam Ltd., Mitsubishi Corp., and SMP Consultation and STP&I Public Co. Ltd.
Monsoon Wind will construct, own, and operate the 600-megawatt wind power plant, as well as its 500-kiloVolt transmission line in the provinces of Sekong and Attapeu in Laos.
ACEN said the power output of the project will then be sold to Vietnam’s state-owned electric utility, Vietnam Electricity, making it the first cross-border wind project in Southeast Asia.
ACEN said the Asian Development Bank (ADB) will co-finance the project as lead arranger.
On its website, ADB said it will provide a $692.55 million non-recourse financing package to the project.
The other lenders are Asia Infrastructure Investment Bank, Japan International Corp. Agency, the Export-Import Bank of Thailand, Hong Kong Mortgage Corporation Ltd., Sumitomo Mitsui Banking Corp., Kasikornbank, and Siam Commercial Bank.
“We are happy to be working with our partners for the Monsoon Wind project, and deliver the first cross-border wind project and largest renewable energy platform in Southeast Asia,” Patrice R. Clausse, chief executive officer of ACEN International, told the stock exchange.
According to the Ayala group’s energy company, this project is considered to be a crucial undertaking in Vietnam’s power development plan, as it is anticipated to help address the country’s supply-demand challenges.
“Vietnam has significantly scaled up solar and wind over the last few years which made it an ideal place for sustainable investments. Power demand in the country is recovering strong post-COVID,” Mr. Clausse said.
To date, ACEN owns a total of 637 MW of attributable capacity in Vietnam since it started building solar and wind projects in 2017 in the country.
At the local bourse on Tuesday, shares in the company gained 22 centavos or 3.53% to end at P6.02 per share. — Ashley Erika O. Jose
