Pyidaungsu Hluttaw Discusses Loans for Ministry of Electricity and Energy

25 March 2020

On the 28th day of Second Pyidaungsu Hluttaw’s 15th regular session, which was held on Tuesday, Hluttaw representatives discussed about the loans for the Ministry of Electricity and Energy from the Japan International Cooperation Agency (JICA) and the International Development Association of World Bank.

For the issue to get a loan of 7.339 billion yen from JICA, eight Hluttaw representatives discussed by presenting suggestions. 

The loan is to be spent in the project of infrastructure development in Thilawa area Phase 3. The two single cycle gas turbines producing 50 Megawatts are to be constructed as a combined-cycle gas turbine. The combined-cycle gas turbine does not utilize extra fuel but the stream turbine of the original single plants will be used to produce extra power. The produced electricity will be increased from 50 Megawatts to 75 Megawatts.

The Hluttaw representatives highlighted the technical aspect, financial aspect and economic aspect concerning getting loan for the project. It was presented how to support the necessary electricity to the companies within the Thilawa Special Economic Zone as well as the new-coming companies. Moreover, it was mentioned to use the budget effectively.

“The main challenge for our country to invite more investment is the provision of enough electricity. Unless providing the enough electricity, there will be losses in many aspects. At present, more and more investments are to be carried out soon in the Thilawa Special Economic Zone. Providing the enough electricity for the investors will help the country’s economy improve. So, I agree to get loan from JICA.”, said U Aung Thike of Seikphyu Constituency.

This is the 5-year project and the total cost is calculated as 9.103 billion yen. It is proposed to get loan of 7.339 billion yen from JICA with 0.01% annual interest.  

Another proposal is to get loan of 350 million USD from the International Development Association of World Bank to establish new combined-cycle gas turbine and to upgrade the power system efficiency in Ywama Thermal Power Plant.

“The project can produce 300 Megawatts electricity more, which can be distributed to 300,000 households. It can solve the problems of electricity shortage in summer. Although the cost rate is to be raised, there will be stable electricity providing system, so, it is supportive for the country’s economy.”, said Daw Cho Cho of Oaktwin Constituency.

Since Yangon Region has high electricity consumption, it is mentioned to support the power plant in the South part of the country to reduce the long distance of transferring the electricity.

Ywama Thermal Power Plant is contributing electricity to Hlinethaya Industrial Zone, Shwe Lin Ban Industrial and Ayeyawady Region through Hlinethaya Main Electric Substation.

Pyidaungsu Hluttaw announced to carry out the rest procedures for the loans in the upcoming regular session, which is to be held on 26th March.

Thaw Tar Swe Zin
Photo Credit - Pyidaungsu Hluttaw