Where Will Myanmar's Energy Come From?

Aug 4, 2017 | Amara Thiha
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Myanmar’s high growth in electricity demand — rising by around 13 percent annually — is a challenge for the government. Demand is estimated to reach 4,500 MW by 2020 and 13,410 MW in 2030. Currently there is no plan to meet this high demand. High-level policy shifts and unclear policies within the cabinet and ministries have stalled even previously signed MoUs on power generation. The average interest rates on project loans are also increasing due to unstable policies and on-going armed clashes in proposed project areas. In addition, the proposed hydropower projects may take at least five years to begin supplying electricity. Other short-term solutions to Myanmar’s energy crisis have been proposed. Other ideas include importing energy from neighboring states and even chartering a power generator ship; however, high cost coupled with a lack of asset gain convinced the government to halt these initiatives. Plus, ongoing conflicts in northern and eastern Shan State make it impossible to construct a cross-border power grid to import energy from cheaper sources, such as China and Laos.