Construction has begun on the USD1 billion Upper Tatay pumped-storage hydropower project in Koh Kong, marking a major Chinese-backed renewable energy investment in Cambodia. The project, developed by China National Heavy Machinery Corporation, will have an installed capacity of 1 GW and is expected to be completed by 2029.
Designed as a pumped-storage facility, the plant will function as a large-scale energy storage system, pumping water to an upper reservoir during low demand and releasing it to generate electricity during peak periods. This will support the integration of intermittent renewable sources such as solar and wind into Cambodia’s national grid.
The project comes amid rising energy concerns linked to global fuel supply disruptions and aims to strengthen Cambodia’s energy security while advancing its clean energy transition. It is also expected to support the country’s target of achieving around 70 percent clean energy by 2030.
Chinese investments have played a significant role in expanding Cambodia’s energy and infrastructure capacity, contributing to improved electricity access nationwide. The Upper Tatay project is positioned as a key step in enhancing grid stability and reducing reliance on imported fossil fuels.
