Recently, after an energy meeting in Bangkok, Laotian Minister of Industry and Trade Malaiton and Thai Minister of Energy Akana walked out of the conference room side by side. In the cooperation direction agreed upon by both parties, cross-border electricity trade is placed in the most prominent position. When the current from the Nam Tun 2 hydropower station in Laos continues to flow southward, the energy link between the two banks of the Mekong River is shifting from a single transaction to a system co construction.

Annual electricity trade volume exceeds 2.3 billion US dollars

By 2025, Laos will export over 2.34 billion US dollars of electricity to Thailand, while Thailand will export approximately 1.5 billion to 1.8 billion US dollars of fuel products to Laos. Thailand is the largest electricity buyer in Laos, and hydropower exports have become a pillar of the country's economy. Energy officials from both sides have made it clear that, against the backdrop of sustained growth in regional electricity and fuel demand, the energy sector is a key driving force for economic ties between the two countries, and expanding cooperation is imperative.

Thai capital deeply embedded in Laos' power construction

Thai investors are currently involved in 6 power projects under construction in Laos, with a total installed capacity of 3613.2 megawatts. There are also 16 operational projects with a total installed capacity of 7688.9 megawatts, with a cumulative investment of over 14.7 billion US dollars. These projects cover hydropower, solar energy, and wind power, forming the production capacity base for Laos' electricity exports. Laos is relying on foreign investment to continuously expand its power generation capacity and transform its natural resource endowment into stable cross-border electricity revenue.

ASEAN Energy Interconnection Accelerates Progress

The talks between the two sides also involve long-term energy security and regional power integration issues, and it is clear that cross-border power trade cooperation will be deepened under the ASEAN Energy Interconnection Program. Multiple transmission lines have been built between Laos and Thailand, and in the future, higher voltage level interconnection channels will be explored to provide a physical foundation for power transfer in third countries such as Singapore and Malaysia. As the turbine units of the hydropower stations on the Mekong River continue to rotate, the power network in the Indochinese Peninsula is moving from a national isolated network to a regional coordinated one. The energy handshake between Laos and Thailand is laying the most solid foundation for the unified electricity market of ASEAN. Editor/Gao Xue