July 25, 2024
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Cambodia Shifts from Coal to Gas with Abandonment of $1.5 Billion Power Project

Cambodia has decided to abandon its $1.5 billion 700-megawatt coal-fired power project in a protected reserve along the southwestern coast. Instead, the country plans to build an 800 MW natural gas-fired plant, according to Energy Minister Keo Rottanak.

Cambodia is also exploring the construction of a liquefied natural gas (LNG) terminal to import and re-gasify LNG for power generation. This terminal, likely to be a fixed land-based facility, would be Cambodia’s first and position it as a new LNG import market in Southeast Asia.

“The Cambodian Prime Minister Hun Manet will announce on Nov. 30 the cancellation of the 700 MW coal power plant project in Koh Kong and the plan to replace it with an 800 MW LNG to be commissioned after 2030,” Rottanak told Reuters.

The decision comes amid concerns about the environmental impact of the Botum Sakor coal plant on Cambodia’s dense forests, which are home to endangered species. The decision aligns with Cambodia’s efforts to showcase its commitment to cleaner energy at the upcoming COP28 climate conference in Dubai.

The move reflects Cambodia’s commitment to cleaner power, with plans to increase the share of clean generation capacity to 70% by 2030. The country aims to achieve this by developing solar, wind, and hydro projects.

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