200 MW Solar Project To Be Developed By Hong Lai Huat Group Ltd and China Machinery Engineering Corp (CMEC) In Cambodia

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Recently, in a joint statement, the real estate developer Hong Lai Huat Group Ltd and China Machinery Engineering Corp (CMEC) announced a solar project of 200MW backed by a $200 million investment. It will be built by the two large companies in Oral Eco-City, Cambodia.


The two companies have signed a non-legally binding memorandum of understanding (MoU) to form a special purpose vehicle (SPV) and work together for at least 20 years, with an option to renew the deal for an additional 20-year period. This project will include the construction of Cambodia’s largest solar farm, according to Hong Lai Huat Group general manager and executive director Ong Jia Jing.


Aoral Eco-City is a “mega integrated agriculture eco-city” project currently in development by Hong Lai Huat in Kampong Speu province’s Oral district. As per the MoU, CMEC will provide one-stop, complete solar-plant solutions for the project, including preliminary planning, engineering, procurement and construction (EPC), financing, operation and maintenance.

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After completion, the solar farm will sell power to state-owned utility Electricite du Cambodge (EdC), and Hong Lai Huat will be granted the first right to purchase electricity at the same price as EdC. The revenue from the sale of electricity under the power purchase agreement (PPA) will be shared between the companies. 

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