The Asian Development Bank (ADB) on May 24 approved a $7.64 million loan to support the construction of a 100-megawatt (MW) solar power park in Cambodia to help in a contribute to the development of renewable energy and diversify the power supply that can improve the country’s competitiveness.
ADB Principal Climate Change Specialist Mr. Pradeep Tharakan said that ADB’s assistance will not only help diversify Cambodia’s energy mix through solar power development, but also help the country meet its greenhouse gas emissions reductions target, as per the Paris climate agreement.
“Having reliable, sustainable, and affordable energy sources are crucial for the economic development of a rapidly expanding country such as Cambodia,” said Mr.Tharakan.
In addition to ADB’s loan, the financing package for the National Solar Park Project includes an $11 million loan and a $3 million grant from the Strategic Climate Fund, specifically through the Scaling Up Renewable Energy Program. Also included is a $500,000 technical assistance grant provided by the Republic of Korea e-Asia and Knowledge Partnership Fund to support the capacity development of Electricite du Cambodge (EDC), Cambodia’s national electricity utility, as well as the Electricity Authority of Cambodia, the national electricity regulator, in solar photovoltaic technology and solar park planning. ADB will administer these resources. The project was prepared with grants from the governments of Canada and Singapore.