After almost five years of delays, a Malaysian company is finally set to begin construction on a new power plant in Kompong Cham city that will provide electricity to more than 8,000 people, officials said Tuesday.
Global Technologies Support Ltd, a private Malaysian company, first signed an agreement with the Cambodian government in 1996 to build a 20 megawatt power plant that will supply electricity to Kompong Cham city. But the company couldn’t secure the $33 million needed to start the project, said Ty Norin, chairman of the newly created Electricity Authority of Cambodia.
At a meeting last Thursday in Kuala Lumpur, however, officials from Global Technologies, the Malaysian and Cambodian governments and Exim Bank—a private Malaysian bank—finalized the financing for the power plant. Exim bank promised to fund $4.4 million for the first phase of construction, with Global Technologies paying for the remainder.
Building a 4.4 megawatt plant and rehabilitating the electricity distribution networks in Kompong Cham city is the first phase of the $33 million project. Within 20 years, a 20-megawatt power plant is expected to be built.
The first step of construction will begin next month, Ty Norin said. That stage is set to be completed in 18 months. When the power plant is finished, Global Technologies will sell electricity to Electricite Du Cambodge (EdC), who in turn will supply it to some 8,000 customers in Kompong Cham city, Ty Norin said.
This power plant will be part of the national grid in Cambodia that will supply the country and its neighbors with electricity. The role of this power plant in the grid is not yet known, Ty Norin said.
“People in Kompong Cham city will benefit by receiving more reliable electricity,” Ty Norin said. “Eventually, people in the surrounding area will benefit too.”
