Cost of energy storage equipment for Cambodia power station

Renewable energy, particularly solar, holds great promise for Cambodia. However, the intermittent nature of solar energy benefits from robust storage solutions to store excess generation and provide power during low solar output periods, like the dry season.

Electricity prices in Cambodia are among the most expensive in the region due to a shortage of integrated high-voltage transmission systems and the high cost of imported diesel fuel. Power in provincial cities is more expensive and less reliable than the supply in Phnom Penh.

Cambodia's energy sector has been a tremendous success story over the last 20 years. From experiencing frequent power cuts and limited regional electricity access in 2004 to a stable grid in the capital, Phnom Penh, and a village electrification rate of over 98%.

The Cambodian government has stated in its PDP that it will need $9 billion of investment to develop new power plants and expand the national grid, of which $2.5 billion has been approved between 2022 and 2025. Opportunities exist for power generation and transmission equipment.

Major sources of local power generation are hydro and coal, and minor sources include diesel, wood, and biomass. In addition to local power generation, Cambodia also buys electricity from neighboring countries, especially during the dry season.

There is tremendous demand in Cambodia for diesel generators as backup power, on-site power plants, and power generation in rural areas not served by public utilities.