4 AUGUST 2010 INTERNATIONAL WATER POWER & DAM CONSTRUCTION
WORLD NEWS
T
HE FIRST REVENUES FROM
the Nam Theun 2 hydropower
project in Laos have started to
ow into the country, with the money
being spent on education, health,
rural roads and electrification and
environmental programs, an annual
joint report to the boards of the World
Bank and the Asian Development
Bank has found.
The report also notes that the
project’s environment protection
and social development program in
Nakai Plateau, Nam Theun and Xe
Bang Fai Downstream Areas and the
NT2 Watershed are overcoming sev-
eral implementation challenges and
making good progress.
With the commencement of com-
mercial operations of the Nam Theun
2 facility in April, Laos received the
first revenues of US$600,000 in
June from the sale of electricity to
Thailand. By late September 2010,
this is expected to go up to around
$US6.5M in additional revenues
from the project to nance poverty
reduction and development pro-
grams in Laos – the central tenet
of the World Bank’s involvement in
the project. Over the 25-year conces-
sion period, the country will receive
nearly US$2B in revenues from the
project.
“With close to three quarters of
the population of Laos still living
on less than $2 a day, the money
generated by Nam Theun 2 is provid-
ing a signicant boost to the coun-
try’s economy and helping improve
people’s lives,” said John Roome,
World Bank Director for Sustainable
Development in the East Asia &
Pacic Region.
The World Bank’s recent l y
released Economic Monitor for Lao
PDR showed that over 3 percentage
points of the expected 7.8% growth
rate expected in 2010 comes from
Nam Theun 2.
In its Update on progress with
the Nam Theun 2 project, the World
Bank and ADB report that on the
Nakai Plateau – where resettlement
of around 6200 people was com-
pleted in 2008 – villagers greatly
appreciate their new surroundings,
with the majority (over 80%) report-
ing they are now “much better off”.
The report says people’s yearly
incomes have almost doubled,
rising from a baseline of about
US$140 a year in 1998 to about
US$260 a year. It says villagers in
the resettled area are taking advan-
tage of improved education, health
and transportation facilities. The
median value of household assets
increased from $US120 in August
2006 to $480 by May 2009.
Along with the successes how-
ever, a number of challenges remain,
the Update says. Chief among them
is safeguarding the area’s natural
resources for the benet of resettlers.
The report warns that pressure on nat-
ural resources has been growing as a
result of local population growth and
extraction of timber, mineral and sh
resources by outside commercial inter-
ests. These issues are receiving the
careful attention of the Government of
Lao PDR, the report says.
Over the past year, the Government
stepped up action to stop mining and
logging in the national protected area
– a conservation area on the Nakai
Plateau, nearly seven times the size
of Singapore – which was set aside
as a requirement for Nam Theun 2’s
approval. But, the report says, close
attention to outside encroachment
will need to continue.
In the downstream area on the
Xe Bang Fai river, the report says
most of the impacts from increased
water ow (such as erosion, chang-
es in water quality and loss of
some riverbank gardens) had been
anticipated well in advance and
mitigation measures put in place. A
downstream program which started
several years ago with strong com-
munity participation was acceler-
ated in 2008 and 2009. This has
resulted in good progress with fund-
ing for villages, compensation for
lost riverbank gardens, and water
sanitation and hygiene programs.
The monitoring program continues
to watch for unanticipated impacts
downstream.
The report says the project has
helped Laos put in place tools for
transparent and accountable manage-
ment of public resources. It has also
helped build the capacity of the govern-
ment to manage large infrastructure
projects and has helped to strengthen
the country’s investment climate.
First Revenues from Nam Theun 2
benefits communities, says report
OPT in new groundbreaking
agreement for Oregon wave project
O
CEAN POWER TECHNOLOGIES,
Inc (OPT) has signed a his-
toric settlement agreement
with 11 federal and state agen-
cies and three non-governmental
stakeholders for its utility-scale
wave power project at Reedsport,
Oregon, representing a major step
towards the granting of the first
ever license issued by the Federal
Energy Regulatory Commission
(FERC) for a commercial-scale wave
power project in the US.
The settlement agreement sup-
ports the phased development by OPT
of a 10-PowerBuoy, 1.5MW capacity
wave energy station. Manufacturing
of the rst 150kW PB150 PowerBuoy
is already underway at Oregon Iron
Works under its contract with OPT.
The 10-buoy wave farm is expected
to be connected to the grid after
receipt of the FERC license and addi-
tional funding.
This rst-ever wave energy settle-
ment agreement was reached after
extensive technical, policy, and
legal discussions regarding appro-
priate prevention, mitigation and
enhancement measures, and study
requirements. It covers a broad
array of resource areas including
aquatic resources, water quality,
recreation, public safety, crabbing
and shing, terrestrial resources,
and cultural resources.
The agreement includes an inno-
vative Adaptive Management Plan
that will be used to identify and
implement environmental studies
that may be required, and to provide
a blueprint for the application of this
new information as the wave power
station develops.
“The Settlement Agreement is a
groundbreaking document that dem-
onstrates the State’s commitment
to partnering with the private sector
and coastal communities to explore
how we can tap into the renewable
resource of ocean waves to power our
communities,” said Oregon Governor,
Ted Kulongoski. “The manufacture of
the first buoy has already created
dozens of green-energy jobs in Oregon
and when the 10-buoy wave power
project is built, a whole new industry
will be created to benet our coastal
communities.”
Dr. George W. Taylor, Executive
Chairman of OPT, added: “This
agreement shows how the private
sector can work together effectively
with federal, state, municipal and
local groups to attain important
common goals of sustainable devel-
opment. I commend the State of
Oregon, the City of Reedsport, and
all of the stakeholders for support-
ing the use of OPT’s innovative wave
power technology as it transitions to
a fully commercial product.”
Unit 4 online at
Russian plant
R
USHYDRO HAS ANNOUNCED
that the 640MW turbine unit
no 4 has begun operations at
the Sayano-Shushenskaya hydroelec-
tric project, almost a year after a fatal
accident caused extensive damage to
the plant.
Unit no 4 is the third unit to be con-
nected to the grid, with units 5 and 6
having been launched into operation
earlier this year, giving the project a
current capacity of 1920MW.
Turbine unit no 3 will be launched
at the end of the this year, giving
the project an installed capacity of
2560MW. This will enable the project
to operate during the 2010-2011 fall-
winter period without usage of the
operational spillway.
Restoration work is currently on
schedule and the project is expected
to be fully operational in 2014.
The plant was damaged during an
incident on 17 August 2009, in which
75 people were killed.