Developing International Power Markets in East Asia
Author: Enrique Crousillat Date: 5/1/1998 (PDF, 200KB)
There is significant potential for international power trade in the Greater Mekong subregion, which comprises Cambodia, Lao PDR, Myanmar, Thailand, Vietnam, and the Yunnan province of China. The subregion faces big increases in demand for power over the next few decades. The opportunity for trade arises out of the mismatch of supply and demand among countries in close proximity. Initial interest in this market is being spearheaded by private developers negotiating bilateral cross-border trade agreements. But experience from other power trade zones in Europe and North America shows that to achieve the benefits from fully fledged trade, the countries in the subregion need to closely coordinate electricity sector policy, operations protocols, and network development. This Note sets out the market development options, reviews sector reforms so far, assesses the obstacles to full power trade, and outlines multilateral efforts to support international trade.