Impact Energy Asia Development Limited (IEAD) and Vietnam Electricity (EVN) have signed a 25-year power purchase agreement (PPA) for the 600 MW Monsoon Wind Project in Laos. This is ASEAN’s first cross-border wind energy project. The wind farm will be located in Southern Laos and a 500 kV transmission line will transfer the wind energy generated to Central Vietnam. Construction is scheduled to begin in 2022, with commercial operations expected to start during 2025.
The Monsoon Wind Project will contribute in reducing Vietnam’s carbon footprint reduction efforts while also enhancing grid stability. This is because most of the wind plant’s output will be produced during the dry season, and is expected to cover gaps in Vietnam’s hydropower electricity supply, which is largely generated during the rainy season.