Total and Siemens to scale back $2.1 B LNG project in Tanintharyi
The European consortium behind a 1,230 MW power project in Tanintharyi Region has proposed scaling back its plans amid stalled talks with the government over financial terms.
Myanmar: The European consortium behind a 1,230 MW power project in Tanintharyi Region has proposed scaling back its plans amid stalled talks with the government over financial terms.
The initial proposal, worth $2.1 B, included a liquefied natural gas floating storage regasification unit, the power plant and 450 km of 500 kV transmission lines linking Kanbauk in Tanintharyi’s Yebyu Township with Payagyi in Bago Region.
But the consortium has proposed reducing the capacity of the first phase of the plant from 615 MW to 400 MW and removing the transmission line component, several sources said.
Under the new plan, power would instead be transmitted to Yangon via a 230 kV line to be built using a soft loan from the Asian Development Bank – an alternative that would likely reduce the required investment by hundreds of millions of dollars.
A spokesperson for Siemens confirmed that a revised plan had been discussed with the government.
“The project is being considered now under a different scheme and size with several phases in order to leverage the future 230 kV transmission line planned by the Ministry of Electricity and Energy in the south of Myanmar,” said the spokesperson.
Source: Frontier Myanmar