ACEN, the Ayala group’s listed energy platform, announced the signing of financing documents for the Monsoon Wind project, Southeast Asia’s first cross-border wind energy initiative and the largest renewable energy platform for regional connectivity and decarbonization in the region.
Developed by Monsoon Wind Power Company Limited, the landmark project will construct, own, and operate a 600 MW wind power plant and a 500 kV transmission line across the Sekong and Attapeu provinces of the Lao People’s Democratic Republic (PDR). The electricity generated will be transmitted to Vietnam under a 25-year power purchase agreement (PPA) with Vietnam Electricity (EVN), reinforcing energy security and accelerating Vietnam’s clean energy transition.
With a total project cost of close to $1 billion, ACEN will hold an approximate 24% economic stake through its subsidiary, ACEN Renewables International Pte. Ltd. The project is being developed in partnership with BCPG Public Company Limited, Impact Electrons Siam Limited, Mitsubishi Corporation, SMP Consultation, and STP&I Public Company Limited.
The financing for Monsoon Wind is being led by the Asian Development Bank, with support from the Asia Infrastructure Investment Bank, Japan International Cooperation Agency (JICA), Export-Import Bank of Thailand, Hong Kong Mortgage Corporation Limited, Sumitomo Mitsui Banking Corporation, Kasikornbank, and Siam Commercial Bank.
Monsoon Wind plays a key role in Vietnam’s national electricity development plan and is expected to help ease the country’s electricity supply-demand gap. It also sets a precedent for regional energy collaboration, enabling cross-border electricity trading that supports ASEAN connectivity goals.
The Lao government will benefit from royalty fees and additional revenue streams as stipulated in the Concession Agreement. The project is expected to generate green jobs during both construction and operations and aims to achieve commercial operations before the end of 2025.
“Vietnam has significantly scaled up solar and wind over the last few years which made it an ideal place for sustainable investments,” said Patrice Clause, CEO of ACEN International. “Power demand in the country is recovering strong post-COVID, and the MOU between Laos and Vietnam unlocks a new avenue of providing more power to Vietnam while catalyzing more cross-border power sharing in the region. We are happy to be working with our partners for the Monsoon Wind project and deliver the first cross-border wind project and largest renewable energy platform in Southeast Asia.”
Since 2017, ACEN has been at the forefront of Vietnam’s renewable energy growth, now holding 637 MW of attributable solar and wind capacity. The Monsoon Wind project further cements ACEN’s role as a key player in advancing clean energy solutions across the region.
