Press Release
Agreement Signed over Project for Improvement of Power Utility Management of Electricite du Laos
September 22, 2021
TEPCO Power Grid, Inc.
Tokyo Electric Power Services Co., Ltd.
World Business Associates Co., Ltd.
TEPCO Power Grid, Inc. (President and Managing Executive Director: Yoshinori Kaneko) has formed a joint venture with three companies including Tokyo Electric Power Services Co., Ltd. (President: Yasuhiro Kubo) and World Business Associates Co., Ltd. (President: Jun Sugiura) that signed an agreement today with the Japan International Cooperation Agency (hereinafter referred to as, "JICA") over the Project for Improvement of Power Utility Management of Electricite du Laos.
In 2020, the government of Laos decided to break off the transmission division of Electricite Du Laos (hereinafter referred to as, "EDL") and establish the Electricite Du Laos Transmission Company, Ltd. (hereinafter referred to as, "EDL-T") for the purpose of handling power transmission both within and outside of Laos. In conjunction with the establishment of EDL-T, selling its high-voltage transmission division and creating company strategies and business plans in this new business environment have become pressing issues as it negotiates power sales contracts with neighboring countries, manages consigned transmission based upon transmission agreements and strengthens its distribution business.
Additionally, the company must also address such issues as the creation and implementation of financing/investment plans for optimally managing domestic supply and power interchange with neighboring countries within a new electric rate structure, the improvement of management efficiency, and the creation of structures to train human resources needed to accomplish these tasks.
Each of the companies in the joint enterprise shall leverage their strengths, such as consulting and experience in the electricity industry both within and outside of Japan, experience as financial advisors, and consulting experience pertaining to management and human resource development, etc., to help EDL strengthen its management structure and capabilities so that it can address on its own the various issues it faces.
The TEPCO Group will continue to cooperate as a JICA "Laos Power Policy Advisor" (2020~) and as part of the JICA "Project for Power Quality Improvement through Upgrading Grid Code and Strengthening its Enforcement System" (2021~) as we contribute to the development of Laos's power sector.
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