Cambodia: Prospects bright for solar in Kep

Cambodia: Prospects bright for solar in Kep

The Ministry of Environment has announced its support for a new 10-megawatt
solar power development project in the coastal province of Kep to be
spearheaded by the Global Green Growth Institute (GGGI), a South Korea-based
organisation set up by the UN in 2012 to chart and promote
environment-friendly development.

Environment Minister Say Samal voiced his support for the project on Tuesday
after GGGI presented its pilot study of a 20-hectare solar power facility
that, if developed, would put a dent in the fossil fuel footprint of one of
the Kingdom's main tourist destinations.

Eang Sophallet, undersecretary of state for the Ministry of Environment,
said yesterday that after accepting the pilot project framework, GGGI will
now try to acquire the adequate funding to back the development.

"After we saw the pilot study, we decided that they are ready to try to
raise private sector funds as well as funds from developmental partners," he
said. "I think we are finally starting to see the environmental benefits of
solar, especially as the cost for renewable energy becomes cheaper."

While Sophallet could not provide a timeline for the project or the
investment capital needed, he said the move was in line with the ministry's
push to make Kep a model province by weaning it off the use of polluting
fossil fuels.

"Our strategy is that if we can use Kep to show the potential for how solar
can be introduced, it can serve as a model for the rest of the country," he
said. "If this programme is successful we could scale up from 10 megawatts
to power the whole of Kep City."

However, while Victor Jona, board chairman of the Electricite du Cambodge
(EdC), applauded the Ministry of Environment's efforts to promote renewable
solutions across the country, he said yesterday that the project has not yet
been presented to the necessary state agencies for their approvals to feed
power generated by the project into the national grid.

"I am not yet clear on this project, but I think that they [GGGI] are
probably trying to secure financing before they bring it to us for
consideration," he said. "The Ministry of Environment is doing a good job in
promoting solar, but I doubt they can push forward with this project until
they get a power purchasing agreement from the EdC."

Solar power projects are finally gaining traction in Cambodia, with a $12.5
million 10-megawatt facility in Bavet constructed by the Singapore-based
energy provider Sunseap Group and backed by the Asian Development Bank (ADB)
set to begin operations in August. In addition, the ADB announced last month
that it was collaborating with the EdC to develop a massive 100-megawatt
solar power park programme.

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John Diecker
APT Consulting Group Co., Ltd.

www.aptthailand.com