Picture 1. Project Agreements Signing Ceremony

Picture 2. Reconnaissance Trip

Picture 3. Effect Drawing of the Upper Stung Tatay Hydropower Project

After multi-round negotiations among CHMC and Cambodian authorities related, and discussion as well as approval by the Cabinet of Cambodian Government, recently, CHMC, Cambodian Ministry of Mines and Energy, and Electricité du Cambodge（EDC), officially signed the Implementation Agreement, the Lease Agreement and the Power Purchase Agreement of the Upper Stung Tatay Hydropower BOT Investment Project.

Based on the three Agreements, CHMC would invest nearly 400 million USD, to build the Upper Stung Tatay Hydropower Project, which is about 20 km upstream of Tatay Hydropower Station. The Upper Stung Tatay Hydropower Project is designed to install 150MW（2×75MW）, with an average annual energy output of 530 million kW·h. It is an annual regulation reservoir, and an upstream cascade power station of Tatay Hydropower Station, lying in the key reservoir location in the drainage area of Tatay River.

CHMC would invest and build the Project by BOT mode. The construction period is scheduled to be 4 years, and then CHMC would operate the station for 35 years in the franchise period, collect the electric charge and obtain the income from electricity sales, with the rate defined in the Agreement.

After the signature of the three Agreements, CHMC would speed up related decision-making processes, and approval procedures of relevant departments and agencies at home and abroad, creating conditions for the Project implementation.

In Year 2010, CHMC invested 540 million USD, built and operated Cambodian Tatay Hydropower Station(the average annual power output is 858 million kW·h). Till now, the Cambodian Tatay Hydropower Station has over-fulfilled power generation tasks for 6 consecutive years, became the main power point of Cambodia State Grid with supporting function, played a significant role in the development of clean energy, reducing electricity prices, the promotion of national economic and development in Cambodia, which proves to be a cooperation model between China and Cambodia in the 'Belt and Road'.

The Upper Stung Tatay Hydropower Project is the cascade extension of Tatay Hydropower Station. After the construction completion, the joint dispatching of the upper reservoir and the lower reservoir could be realized, which could significantly increase the total power generation and the power generation in the dry season of Tatay Hydropower Station, upgrade the business transformation of CHMC, and further enhance the  overall profitability and operating benefits of CHMC.

As an important construction project in the 'Belt and Road', the Upper Stung Tatay Hydropower Project would bring great economic and social benefits to Cambodia. On one side, it would meet the urgent demand for electricity supply in Cambodia's rapid economic growth and provide stronger energy security for Cambodia's economic construction and development; on the other side, through the joint dispatching of the upper reservoir and the lower reservoir, as well as by reasonably adjusting the rapid and huge incoming water in the rainy season, it would effectively control and reduce flood, eliminate and stagger flood peaks, act on the flood prevention and disaster reduction.