Kasikornthai Bank supports syndicated loan to EDL
Kasikornthai Bank supports syndicated loan to EDL
Kasikornthai Bank has released a syndicated loan to Electricite du Laos (EDL) for development and expansion of the electricity network to supply the nation's remote areas and export.
The loan agreement was signed in Vientiane yesterday by Managing Director of EDL, Mr Bounoum Syvanhpheng and Senior Executive Vice President of Kasikornthai, Mr Patchara Samalapa.
The ceremony was attended by the Minister of Energy and Mines, Dr Khammany Inthirath along with Kasikornthai Bank senior officials, the bank's local representatives and relevant government officials.
�The government, especially the energy and mines sector, has formulated a strategy for the generation, transmission and sale of electricity to ensure sufficient domestic supply and exports,� Mr Bounoum said at the ceremony.
�By 2020, the government plans to increase the nation's installed capacity to more than 10,000MW with investment from the public and private sectors, up from the current 6,500MW of electricity,� he said.
About 95 percent of total families within the country would be able to access electricity by then compared to the current 91 percent, Mr Bounoum said.
The loan agreement was part of EDL's development plan for more transmission lines and substations to ensure sufficient local supply and for export, he added.
Mr Patchara believed the loan would help the Lao energy and mines sector to develop so it could achieve its targets.
The loan is also an important part of boosting relations and cooperation between the two countries and especially between EDL and Kasikorn Bank, he said.
We released this loan to EDL because we see the potential and have confidence in the Lao energy sector with its strategic vision and plan along with the government's support, said Mr Patchara.
The large loan will come from Kasikornthai Bank with additional funds from its subsidiary in Laos.
Last year, Thailand agreed to increase its purchases of Lao electricity from 7,000 to 9,000 megawatts to ensure sufficient supply and meet rising demand.
Thailand, as the largest energy market for Laos, has imported significant amounts of electricity from its northern neighbour since the first hydropower plants began operations here. Laos is also the main electricity exporter to Thailand.
Hydropower is seen as a cost-effective energy source in Laos according to the Ministry of Energy and Mines.
vientiane times
