Lighting up rural Laos

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Sector Energy
Focus area Renewable energy (unspecified)
Type of action Strategy/Policy
Scope National
Stage Under development
Submitted to UNFCCC registry Yes
Start of initiative 2015
Financing and support details
Financing status Seeking financing
Total cost US$ 3.4 mln
Financing requested US$ 2.495 mln
Financing received to-date US$ 0.07 mln
Principal source of financing Multilateral
Principal type of financing Grant
Capacity building required Yes
Technology transfer required Yes
Additional information
Proponent(s) Ministry of Energy and Mines, Institute of Renewable Energy Promotions in the Ministry of Energy and Mines
International funder(s) UNDP Lao PDR office
Organization providing technical support
(no data)
Contact Mr. Thongkhanh PHIMVILAY

Provide access to electricity to households in rural areas

Activities: (2016 - 2021)
The overall target of the NAMA is to support Lao PDR in achieving the goal defined in the Rural Electrification Master Plan, namely to provide access to electricity to 90 per cent of households in Lao PDR by 2020. The NAMA will reduce GHG emissions through the replacement of fossil fuels with renewable energies and also contribute to Sustainable Development (SD) benefits, such as improvement of the situation of groups with specific vulnerabilities, women and the poor.

Lao PDR’s NAMA aims to implement one type of technical intervention – the establishment of mini electricity grids. Rural communities, tourism activities, agricultural facilities, health centers, schools and literacy centers are the focus of these mini grids, due to their demand for electricity for lighting, cooling and appliances. The mini grids will predominantly use renewable energy sources (powered by hydro or solar) and will provide electricity for lighting, service and production activities to support livelihoods, radio for communications and other household uses.

In this first phase the NAMA aims to establish 8 mini grids. This will provide electricity to around 1,000 households and around 6000 people. Over the 15-year lifetime of the NAMA, emission reductions will reach around 13,000-14,000 tons of CO2.

Capacity-building will be a key component in the implementation of the NAMA. Special emphasis will be given to identifying and supporting the development of income-generating activities in the Rural Productivity Zones (RPZs), as this is the key to positive rural development. Another important component will be technical support during the identification and implementation of the different mini grids, as the aim is to implement technically sound projects with low operating costs.

Impact and MRV

No Data Available.png
Cumulative GHG reductions: 0.013 MtCO2e
Mitigative capacity:

No information has been provided on mitigative capacity


Social: access to electricity
Economic: creation of new job
Environmental: reduced GHG emissions

MRV Framework: (2016 - 2030)

The determination of emission reductions is based on a simplifed UNFCCC’s “Small-scale Methodology AMS-III.BL: Integrated methodology for electrification of communities “ (UNFCCC, 2015):

  • Transmission and distribution losses are neglected. The mini grids are characterized by short distances between the source of electricity generation and the consumers of the electricity. Thus the grid losses are minor and will be neglected.
  • Consumers are classified into two types. There are only consumers who were not connected to the national/regional grid or a mini-grid before the NAMA intervention. Thus only types 1 and 2 consumer exist.
  • Measuring consumption by Type 2 consumers The electricity consumption of Type 2 consumers (i.e. 500-1,000 kWh per year) can be measured using electricity meters or can be estimated (e.g. by multiplying installed capacity with average periodic hours of usage).

In addition to GHG emissions, the MRV system for this NAMA will monitor the impact of the NAMA interventions on selected Sustainable Development indicators.


Costs include investment in Electricity Systems, in Literacy Centres, investment in the Stablilization Fund and Capacity Development. It is expected that international support (US$ 2,495,850) will be provided for the implementation of the NAMA, with $1,400,660 for capacity building. The government of Lao will provide around 14% of the required funding.