Renewables
Cross-border wind power expands in Southeast Asia
Cross-border wind energy projects are gaining traction in Southeast Asia as nations seek alternatives to hydropower during dry seasons.
Key points
- Laos operates the 600-megawatt Monsoon Wind Power Project, supplying electricity to Vietnam.
- The 700 million US dollar project is Asia's first cross-border wind initiative.
- Vietnam relies on cross-border power imports to meet rising domestic demand and emissions targets.
What happened
Cross-border renewable energy initiatives are advancing in Southeast Asia, with wind power emerging as a vital supplement to traditional hydropower. According to the Taipei Times, the 600-megawatt Monsoon Wind Power Project in southern Laos began commercial operations last year, providing electricity exclusively to neighbouring Vietnam through dedicated transmission lines.
The 700 million US dollar development spans an area comparable to the size of Singapore and ranks as the largest wind farm in Southeast Asia. The facility is owned by a Thai-led consortium and constructed by a Chinese state firm. While Laos has historically relied on a vast network of hydropower dams, dry season output drops and ecological concerns have prompted a diversification into wind assets.
What comes next
Developers behind the Monsoon project are planning to expand capacity by an additional 1,000 megawatts, with ongoing efforts to integrate a portion of the extra generation into the domestic Laotian grid. Vietnam continues to face growing electricity demand and potential supply constraints resulting from delays in domestic power infrastructure.
According to industry analysts cited by the Taipei Times, state utility Electricity Vietnam procures power from the wind farm at rates lower than local generation costs. Furthermore, cross-border energy imports from Laos are projected to account for a substantial share of Vietnam's total installed capacity by the end of the decade, supporting national net-zero carbon objectives.
Why it matters
The cross-border energy trade between Laos and Vietnam offers a relevant case study for African regional power pools, such as the West African Power Pool. Integrating electricity grids across national borders allows resource-rich countries to monetise surplus generation while helping fast-growing industrial economies meet rising demand. For energy investors and policymakers across the African continent, such frameworks demonstrate how international cooperation can enhance grid stability and accelerate the deployment of large-scale renewable infrastructure.
Original reporting
This article draws on the following reports. Read them in full on the publishers’ sites.
Context from CEII
Renewables are the fastest-growing part of the world’s energy system. The COP28 goal is to triple capacity by 2030, and solar mini-grids are the fastest route to power for millions of people without electricity.
63.3% of electricity in Laos was renewable in 2021Countries in this story
Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.
