According to a senior official at the Ministry of Mines and Energy, three solar farms with a total 120MW of installed capacities are on track to be connected to the national grid by this year’s end. This is in line to help keep pace with growing demand and slash electricity prices.
Victor Jona who is the director-general of the ministry’s General Department of Energy listed the projects as a 60MW solar farm in Battambang province, a 30MW project in Pursat province and another 30MW facility in Banteay Meanchey province. He pointed out that Cambodia plans to expand its clean-energy portfolio to 450MW by the end of next year.
Electricity prices are still high compared to neighbouring countries, pushing production costs up and affecting everyone involved in the supply chain ecosystem in Cambodia. These plants will provide the needed supply of electricity.
Manufacturers require a reasonable electricity pricing strategy that provides the most affordable electricity to boost output, lower production costs, increase sales domestically and internationally and better compete with neighbouring countries’ products. The increase in power supply capacity would further improve energy security for SMEs in Cambodia. This will prove beneficial for business people.
Increasing the power supply enough will stabilise electricity, as well as the production capacities. And lower prices will help us producers all the more by trimming production costs.
Recently, the Council for the Development of Cambodia (CDC) approved a 60MW solar farm in Kampong Chhnang province’s Teuk Phos district with a capital investment of $37.4 million and developed by a special purpose vehicle named Prime Road Alternative (Cambodia) Co Ltd.