A groundbreaking ceremony for the China-Laos 500?kV Interconnection Project was held in the Lao capital of Vientiane on February 26, 2025.

A major initiative under the China-Laos Community with a Shared Future Action Plan, the project is scheduled for completion and operation in 2026. Once online, it will enable a two-way electricity exchange capacity of 1.5 million kilowatts and deliver approximately 3 billion kilowatt-hours of clean electricity annually, thereby expanding bilateral power exchanges and deepening strategic energy cooperation.

Lao Prime Minister Sonexay Siphandone attended the ceremony along with Chinese Ambassador to Laos Fang Hong, Lao Minister of Energy and Mines Phoxay Sayasone, and Liu Wei, vice-president of China Southern Power Grid Co Ltd (CSG). Also in attendance were senior officials from the Lao Ministry of Finance, Ministry of Natural Resources and Environment, Prime Minister’s Office, Ministry of Energy and Mines, as well as representatives from Luang Namtha and Oudomxay provinces and the Laos-China Cooperation Committee.

Ambassador Fang Hong said that the China-Laos 500 kV Interconnection Project marks yet another significant step forward – following the China-Laos Railway – in deepening pragmatic cooperation between the two nations and jointly advancing the Belt and Road Initiative. She noted that electricity, as the vanguard of economic and social development, is key to enhancing livelihoods and promoting regional prosperity. She also underscored the importance of implementing the consensus reached by the leaders of both countries and leveraging power grid interconnection to boost bilateral energy cooperation, with the China-Laos Economic Corridor serving as the central axis.

Minister Phoxay Sayasone stated that the project, as a strategic initiative in Laos’s Five-Year Energy and Mines Development Plan (2021-25), will better support the country’s economic development and further expand grid interconnections and electricity exchanges between Laos and southern China, helping Laos develop into a regional hub for energy connectivity and a major center for energy trading in ASEAN.

CSG Vice-President Liu Wei said that the company would seize the opportunity to employ advanced technologies, equipment and standards to bolster regional power interconnection. He said that CSG aims to promote cross-regional exchanges and set a benchmark for power cooperation, injecting fresh momentum into building a China-Laos community with a shared future.

The Laos and China sections of the project are being developed by Electricité du Laos Transmission Company (EDL-T) and CSG, respectively. The project includes constructing a new 500?kV substation in Laos, a 183.5-kilometer cross-border transmission line linking Namor in Oudomxay, Laos with Xishuangbanna in Yunnan, China, and two 230?kV lines connecting the northern Laos power grid. Once operational, it is expected to help Laos become a regional hub for clean energy interconnection in the Lancang-Mekong area.

CSG has also donated power equipment and materials to Electricité du Laos (EDL) to strengthen the operation and maintenance capabilities of Laos's power grid.