The Cambodia Ministry of Mines and Energy (MME), Singapore Ministry of Trade and Industry (MTI), and Lao PDR Ministry of Energy and Mines (MEM) have established a work group to facilitate cross-border electricity trade to drive the ASEAN Power Grid vision.
The Lao Electric Power Company is heavily in debt, but the managers are living well-Radio Free Asia
Electricite du Laos, a Lao power supplier, is heavily in debt, owing at least US$2 billion to foreign creditors, mainly Chinese and Thais. Sources said that at the same time, EDL managers are still doing well and in some cases have accumulated a lot of personal wealth.
An official of the Ministry of Energy and Mines of the Lao Government told the “Lao Government” on condition of anonymity: “Laos owes foreigners approximately US$2 billion in electricity, excluding interest.”
A source close to a senior EDL official said that the power company’s debt “now exceeds $2 billion.”
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Lao electric power provider Electricite du Laos is deep in debt, owing at least $2 billion to foreign creditors, mainly Chinese and Thai. Meanwhile, EDL managers still live well, in some cases amassing large personal fortunes, sources say.
“Electricite du Laos owes foreigners around $2 billion, not including payments on interest,” an official of the Lao government’s Ministry of Energy and Mines told RFA’s Lao Service, speaking on condition of anonymity.
Another source close to a high-ranking official at EDL said however that the power company’s debt “is much more than $2 billion now.”
According to sources familiar with the problem, no transparency or checks or balances exist in EDL’s bidding process, resulting in higher-than-usual project costs and unmanageable levels of interest and debt.