Sembcorp Industries said on Wednesday that its 225-megawatt gas-fired power plant in Myanmar has begun full commercial operation after its first phase operation in May.
The facility will supply around 1,500 gigawatt hours of power to Myanmar’s Electric Power Generation Enterprise (EPGE) to provide power to around 5.3 million people, it said in a filing to SGX after the market close on Wednesday.
“This will help to ease the country’s severe power deficit,” the statement said.
Neil McGregor, Sembcorp’s group president and CEO, said the company was “honored” to help support Myanmar’s economic development by providing critical infrastructure.
“It is our hope Sembcorp Myingyan Independent Power Plant (IPP) will serve Myanmar for decades to come, providing power to support the country’s continued development, and thereby enhancing living standards there,” McGregor said in the statement.
The around US$300 million Sembcorp Myingyan Independent Power Plant (IPP) in Mandalay uses advanced combined-cycle gas turbine technology, which aims to maximize power output while minimizing emissions, Sembcorp Industries said.
That was in line with Sembcorp’s goal of reducing carbon intensity by around 25 percent by 2022, it said.
The project completion followed the signing of a long-term power purchase agreement and a build-operate-transfer agreement with Myanmar’s Ministry of Electricity and Energy, it said.
The agreements call for Sembcorp Myingyan Power to build and operate the plant for 22 years and then transfer the facility to the Myanmar government, it said.
The project funding was supported by the Asian Development Bank, the Asian Infrastructure Investment Bank, Clifford Capital, Development Bank of Singapore, DZ Bank, International Finance Corp., and OCBC, it said.
Sembcorp also plans to help the Myingyan community living near the plant improve their living standard by assisting in flood relief work, creating training opportunities, refurbishing schools and repairing infrastructure, the statement said.