As a researcher with extensive experience in energy and power systems, I find the situation in Laos both intriguing and concerning. The country’s reputation as Southeast Asia’s battery due to its hydropower potential is being challenged by the surge in cryptocurrency mining and unpredictable rainfall patterns.
As a researcher examining the energy landscape in Laos, I’ve discovered that the country is grappling with electricity shortages caused by two primary factors: the increasing demand from cryptocurrency mining and erratic rainfall affecting hydropower capacity. According to Somboun Sangxayarath, an advisor at Electricite Du Laos (EDL), cryptocurrency mining now accounts for over a third of the power consumption in the country, while decreased hydropower output is due to below-average rainfall.
Laos, known for its significant hydropower resources in Southeast Asia, is experiencing power shortages due to increasing demands from cryptocurrency mining and unstable rainfall patterns. For over a decade, hydropower has accounted for 80% of Laos’ electricity production. However, the constraints on hydropower have forced the national utility EDL into becoming a net importer of electricity since 2021. This transition results in higher costs and a requirement for an additional 600 MW capacity during peak demand, according to Sangxayarath.
Laos is taking steps to alleviate power outages by increasing the capacity of hydropower projects, with plans to generate an additional 720 MW by the next year. The country prefers building solar-hydro and wind-hydro hybrid power plants instead of coal facilities due to environmental concerns and financial difficulties. This approach expands Laos’ energy options. Sangxayarath also mentioned that despite cutting off electricity to cryptocurrency businesses not yet in operation, the government remains open to receiving fresh investment proposals to enhance overall power supply.
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2024-05-17 05:56