Toyota Tsusho wins hydropower plant repair work in Myanmar to support electricity supply
TOKYO, NNA – Major Japanese trading house Toyota Tsusho Corp. has won a 4.3 billion yen ($40 million) contract for repair work on a hydropower plant in central Myanmar in a bid by the government to meet rising electricity demand in the fast-growing economy in Southeast Asia.
The deal, which is financed by the Japan International Cooperation Agency, Tokyo’s development aid body, is the first for the trader to conduct such work at a power plant in Myanmar, Koji Yamato, a Toyota Tsusho spokesman told NNA on Wednesday.
Myanmar relies on hydropower for about 60 percent of its total electricity consumption, but the majority of hydropower plants are facing deteriorating output due to aging facilities, Toyota Tsusho said in a statement on Tuesday.
The renovation work at Sedawgyi Hydropower Plant, located about 100 kilometers northeast of the country’s second-largest city Mandalay, is scheduled to be completed in February 2024, the statement said.
The power station has a generating capacity of 130 million kilowatts and meets around 10 to 15 percent of total electricity demand in the city. The plant has yet to undergo repairs since it became operational in 1989, according to the spokesman for a trading arm of Toyota Motor Corp. group.
The project entails the repair of core equipment including hydro turbines and generators as well as hydraulic gates. Toyota Tsusho procures turbines and control devices from Toshiba Energy Systems & Solutions Corp., generators from Meidensha Corp. and hydraulic gate repair equipment from Hitachi Zosen Corp., according to the statement.
The major hydropower plant was built by trading house Tomen Corp., which was merged with Toyota Tsusho in 2006, Toshiba Corp., Meidensha and other firms, the spokesman added.
The Nagoya-based trading house launched a 100 percent subsidiary, Toyota Tsusho Myanmar Co., in April 2019.