InfraCo Asia, the infrastructure development arm of the Private Infrastructure Development Group, has signed a memorandum of understanding with a local government to study the technical and commercial viability of wind power in Myanmar.
The Singapore-based firm’s goal is to develop medium-scale wind power projects under a PPP model.
InfraCo Asia said a pre-feasibility analysis, supported by grant funding from the Technical Assistance Facility (a sister PIDG facility), has been completed with positive findings. The firm is now “keen to embark on the next stage of project development with the support of the Magwe region government”.
The feasibility study will collect bankable wind data in a bid to unlock private sector participation in the sector and help the government make informed decisions about the development of Myanmar wind power. The firm expects to build government capacity and resource around renewable projects, as well as create a template of documents for other similar projects in the future.
“We believe there is a strong potential for wind power to be part of the holistic energy mix of the country,” said Allard Nooy, chief executive of InfraCo Asia.
InfraCo Asia has invested in several projects in Myanmar across the power generation, electricity transmission and agricultural sectors. The firm has experience in the wind sector, having developed and run two wind farms of 50MW each in Pakistan.
Funded by the governments of Australia, Switzerland and the UK, InfraCo Asia is mandated to finance high-risk infrastructure projects in south and Southeast Asia. It does that by providing equity to support projects’ early stage development. It then aims to exit projects through the sale of its stake to the private sector.