Yoma Strategic, Norfund to invest $2m in Myanmar rural power JV

Yoma Strategic, Norfund to invest $2m in Myanmar rural power JV

Singapore-listed Yoma Strategic Holdings announced today that it has teamed
up with the Norwegian Investment Fund (Norfund), a state-owned investment
fund, for a $2 million initial investment in micropower plants and mini
grids in Myanmar.

The power generation project aims to provide electricity to rural
communities with no access to the national power grid and telecommunications
towers to be operational in off-grid areas.

Yoma Strategic and Norfund have entered into a joint venture, Yoma Micro
Power (S) Pte Ltd, with each holding a 47.5 per cent stake. The rest 5 per
cent is held by Alakesh Chetia, former managing director of rural
electrification at global renewable energy development firm SunEdison Inc,
who will lead the initiative.

A pilot program will start in Sagaing Region, in which Yoma Strategic will
contribute $1 million out of the total initial investment committed.

"We hope a successful trial will support our unique proposition to provide
reliable and clean energy, in commercially attractive terms to our customers
and ourselves, that can be scaled to a large part of the country," said
Melvyn Pun, chief executive officer of Yoma Strategic.

The project will use insights and inputs from Yoma Strategic Holdings'
experience in the telecom tower business and Norfund's know-how in clean
energy.

Myanmar plans to address the electricity shortage issue with its National
Electrification Plan developed together with the World Bank and the UN. The
plan aims to extend electricity access to 50 per cent of the population by
2020 and 100 per cent by 2030. Only 16 per cent of rural households in
Myanmar are connected to the power grid, according to the World Bank.

Norfund had earlier made a 25 per cent equity investment in Myanmar Finance
International Ltd, a joint venture of AIM-listed Myanmar Investments
International limited.

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Link to Original Article:
http://www.dealstreetasia.com/stories/yoma-strategic-and-norfund-leads-2m-in
itial-investment-for-power-project-71651/

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John Diecker
APT Consulting Group Co., Ltd.

www.aptthailand.com