The Ministry of Electricity and Energy (MOEE) has signed an agreement to purchase electricity generated by the 135 MW gas-fired Kyaukphyu Power Plant that will be built by independent power producer Kyauk Phyu Electric Power Co.
According to a statement from the MOEE, the power purchase agreement (PPA) was signed last Tuesday.
Kyauk Phyu Electric Power Co is a joint venture between Myanmar’s Supreme Group and Chinese state-owned firm Power China.
The gas-fired power plant in Kyaukphyu, Rakhine State, is one of four projects expected to generate a total of 3111MW approved by the government last January.
The PPA is expected to help address Myanmar’s growing need for electricity, which is rising by about 1000MW a year, said the MOEE.
The power plantwill be located on the grounds of the 230 KV Main Power Sub-Station in Kyaukphyu Township in Rakhine State and will be built by under the build-operate-transfer (BOT) system.
Once completed the power plant will have an installed capacity of 146MW, although it will operate at 135MW.
The plant is being counted on to supply 1.05 billion units of electricity a year that is greatly needed in Rakhine and the rest of the country.
As the Kyaukphyu power plant project will take at least three years to come online, seven other PPAs expected to provide 1166MW of electricity have been approved as a short-term measure to meet power demand for next year, said Minister of Electricity and Energy U Win Khaing.
To meet projected demand of 1000MW of electricity for 2021, short-term PPAs will be continued to be implemented, U Win Khaing added.
Starting from 2022, the Kyaukphyu power plant project will add 135MW to the national grid and another two projects will produce 961MW, said U Win Khaing. – Translated