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EEP Mekong Programme supports the implementation of six new clean energy projects in the Mekong Region, with a total grant of about 2.4 million euros. The combined value of the projects is about 20.5 million euros.  

After launching the Call for Proposals in July 2015, EEP Mekong Programme’s received 71 concept notes. The majority was from Vietnam (24), followed by Thailand (13), Cambodia (11), Lao PDR (10) and Myanmar (9). Four Concept Notes aimed at implementing projects at regional level.

Projects related to the application of solar energy were the majority (28 projects), followed by biomass (14), Biogas (12), energy efficiency (6), waste-to-energy (3), wind (3) and mini-hydropower (3).

After evaluation of the Concept Notes and subsequently the Full-Project Proposals, the following projects have been endorsed by the Programme’s Steering Committee and signed funding contract with the Ministry for Foreign Affairs of Finland: 

 

  1. Biomass steam for production project, by Nam Thai Nguyen, Vietnam
  2. Panawat wastewater treatment and biogas utilisation project, by Panawat Energy Co. Ltd., Thailand
  3. Rural development by clean access to electricity of 7,000 households via mini-grid, by Parami Energy, Myanmar
  4. Commercialising solar home systems distribution in Myanmar through innovative pay-as-you-go solutions, by Brighterlite, Myanmar
  5. Sra Em bio energy power plant project, by IED Invest Co. Ltd., Cambodia
  6. Lease-purchase loan scheme for solar-roof systems to increase competitiveness of SME’s and reduce carbon emissions project, by Solar Partners, Cambodia

 

Implementation of six projects has started in mid-May 2016. Each project will have different implementation timeframes. However, the maximum period is up to 30 months, or until mid-2018.

Disbursement of funds is based on the result-based financing approach, which requires projects to demonstrate that agreed results and/or milestones have been achieved. Funds are released only after verification of achievement of these results/milestones by the EEP Mekong programme.

Adherence to the human rights-based approach during project implementation will safeguard that the project developers pay attention to achieve benefits for the target groups at their project sites, besides from making their project economically feasible.

Impacts from the funded projects will include improved access to clean energy, employment creation, increased competitiveness of local industry and improved livelihoods for participating communities.

One of the Finland’s development policies is to promote access to sustainable energy for all. The stimulation of private sector investment in the clean energy market in the Mekong region has been done through EEP Mekong Programme. The support aims at enhancing the companies’ ability to overcome the barriers they are facing. Once they are settled, they can develop the business on their own. In the end, the benefits will not only be reaped by selected companies, but also by energy consumers, especially those from minorities, by improving their access to clean energy and livelihoods.

The funded projects will also contribute to greenhouse gas emission reduction. It is estimated that about 1.5 million tons CO2 will be avoided during the lifetime of the projects. This is approximately the amount of CO2 emitted by 275,000 cars in 10 years, running 10 km every day.

One of the Finland’s development policies is to promote access to sustainable energy for all. The stimulation of private sector investment in the clean energy market in the Mekong region has been done through EEP Mekong Programme. The support aims at enhancing the companies’ ability to overcome the barriers they are facing. Once they are settled, they can develop the business on their own. In the end, the benefits will not only be reaped by selected companies, but also by energy consumers, especially those from minorities, by improving their access to clean energy and livelihoods.

The Ministry for Foreign Affairs of Finland funds EEP Mekong since 2009.  Implementation of Phase II started in November 2014 for a period of four years until December 2018. Total budget of EEP Mekong phase II is 9.1 million Euros. EEP Mekong’s governmental partners include Cambodia’s Ministry of Mines and Energy, Lao PDR’s Ministry of Energy and Mines, Myanmar’s Ministry of Science and Technology and Ministry of Industry, Thailand’s Ministry of Energy and Vietnam’s Ministry of Industry and Trade.

 

Read relevant article: The SC endorse projects for funding.