Theun Hinboun Hydropower


Project TBD
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Type Loan
Sector Energy
Country Lao PDR
Start 1994
End 1998
Status Closed
Last Edited 05 Jul 2021


US$('000) 240,500
Confinancing Source: The financial participation of the Government of Lao PDR, through Electricite du Laos (EdL) is as follows: Equity - $66.0 million; Debt - $8.5 million. $60 million of the Government's project equity was provided as a loan by ADB. Other financing sources for the project are as follows: Equity - Nordic Hydropower ($22.0 million), MDX Power ($22.0 million); Debt - Commercial Loan ($81.5 million), Export Credit ($70 million).

Project Description

The main objective of the Project was to support economic growth in the Lao People-s Democratic Republic (the Lao PDR) by enhancing foreign exchange earnings through the export of electric power to Thailand. The Project represented a new policy direction in the power subsector, which had been initiated through discussions with the Asian Development Bank (ADB). It was the first time that the Government of the Lao PDR formed a joint venture (JV) with the private sector for financing, constructing and operating a power plant.

Progress (as of March 2021)

Project closed


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News and Multimedia

  • The Project had a favorable impact on the Lao PDR economy through export of electricity to Thailand and through rural electrification in the surrounding areas. During the construction period, substantial employment opportunities were available and well used by the population. Some personnel reached a semiskilled level, which improved their opportunities for obtaining work in general. Some permanent jobs for local people in operating and maintaining the plant and other facilities were also created.
  • Lao PDR technical staff received theoretical and practical training within the country and in Sweden, and on-the-job training during implementation and commissioning of the Project.
  • The establishment of a modern school and medical service greatly improved the living conditions in the area.
  • Rural electrification, improved access roads, and the possibility to develop irrigation schemes will further improve the livelihood of a larger population.
  • With the substantial funds earned from Theun-Hinboun Power Company Ltd., Electricite du Laos subsidizes electricity tariffs for the poor population on a countrywide basis and supports its various power generation and distribution projects.