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the Prime Minister of the Lao PDR, and his delegation visited Nam Ngiep 1 Hydropower Project

H.E. Dr. Thongloun Sisoulith, the Prime Minister of the Lao PDR, and his delegation visited Nam Ngiep 1 Hydropower Project (NNP1) on 1st February 2017 to see the progress of the construction and environmental and social aspects of the Project.

The visit took place at the NNP1 project site in Hat Ngiun Village, Bolikhan District, Bolikhamxay Province and was also attended by ministers and vice ministers from relevant ministries, and some other high-ranking government official from central and provincial levels, and representatives of shareholders.

Speaking at the reception at the NNP1 Site Office and Village, Mr. Yoshihiro Yamabayashi, Managing Director of Nam Ngiep 1 Power Company Limited, expressed it as his greatest honour to welcome the Prime Minister and his delegation to NNP1, and reported on the progress of the construction of the Project.

Nam Ngiep 1 is a 290-megawatt hydropower project under construction in the Bolikhamxay and Xaysomboun Provinces.  The Project consists of the construction of two dams and two powerhouses along the Ngiep River in Bolikhamxay Province.

The construction of the Project started in late 2014 and by the end of January 2017 the overall construction progress by work value was almost 60.30% complete and is expected to be approximately 90% by the end of 2017.

Approximately 520 households from Hatsaykham Village, Bolikhan District, Bolikhamxay Province, and four other villages in Hom District, Xaysomboun Province, will be relocated to make way for the construction of the Project.

The relocation of villagers of Hatsaykham was completed in November 2016 and the resettlement of the remaining of the households of Hom District is expected to be finalized by the end of the first half of 2017.

During the site visit, the Prime Minister visited the main dam and main powerhouse under construction, and agricultural land and houses in the Houay Soup Resettlement Area (HSRA).

Located in Bolikhan District and situated immediately to the south of the NNP1 re-regulation dam, HSRA is an area of 6,100 ha that has been allocated to accommodate the Project Affected People. At the end of January 2017, an additional 62 households from Hom District, Xaysomboun Province, chose to relocate here. The remaining chose full compensation and voluntarily will relocate elsewhere by themselves, and some will make their final choice soon.

The NNP1 Project is being built and will be operated by the Nam Ngiep 1 Power Company whose shareholders are Kansai Electric Power of Japan, EGAT International Company Limited, and Lao Holding State Enterprise.

On the 2nd February 2017, NNP1 also welcomes Mr. Kornrasit Pakchotanon, the Chairman of the EGAT International Company Limited Board of Directors and also the Governor of EGAT, and his 21-member delegation.

The Project will start to generate electricity in January 2019 and approximately 95% of this power will be sold to Thailand and the remaining will be used for domestic consumption.

The Project expects to generate more than USD 600 million in direct revenue and other indirect benefits to the Lao Government during its 27-year concession period, after which ownership will be transferred to the Lao Government.