Sekong province (Laos) (AFP) – Standing on the green hills of southern Laos, 133 turbines turn their blades to fuel the growth of Vietnam, in a region where the share of wind energy is increasing.

Published on: 01/11/2026 - 12:27Modified on: 02/11/2026 - 10:34

"The view is magnificent. They are bigger than the trees," marvels Toukta Phonsala, 23, observing the propellers while bouncing her baby on her lap in her stilt house in Dak Wai village.

Although hydroelectric dams have multiplied in Southeast Asia in recent years, their production falls during the dry season and their ecological impact is criticized.

The potential of wind energy is now being highlighted, notably with the entry into service in August 2025 of the 600 megawatt Monsoon Wind Power project in Laos.

Covering an area the size of Singapore, the $950 million project is Asia's first cross-border wind farm and the largest wind farm in Southeast Asia.

The project built by a Chinese state-owned company and owned by a Thai-led consortium provides electricity that is sold exclusively to Vietnam's national grid.

Vietnam, whose manufacturing-based economy is the fastest growing in Southeast Asia, already imported hydropower from Laos, a poorer neighboring country.

But now, "the economic indicators are leaning in favor of wind power", notes Tristan Bellingham, of the NGO EnergyLab Asia. “As with hydroelectricity 20 to 30 years ago, there is currently a certain race for concessions and development rights” for new wind projects, he explains to AFP.

Laos is already home to 90 hydroelectric plants and dozens more are in neighboring countries, leaving few sites available.

“Reliable source”

According to Mr. Bellingham, several wind projects are being prepared in the wake of the Monsoon project, with a Laotian official putting the figure at between 10 and 15 in the country.

The project brought new roads and easier access to water and health care to Toukta and his family, as well as other farmers growing rice and coffee next to the turbines. But it does not provide them with electricity.

Residents say they experience outages during strong storms because of the aging infrastructure of a heavily indebted public operator.

Despite everything, Toukta is delighted that Laos can export electricity.

“It’s better for development and can bring prosperity,” she told AFP.

For Vietnam, the project offers a reliable source of energy at lower cost.

The country had been crippled by major power cuts in 2023, when drought reduced hydropower production, and the government warned in September of the risk of new electricity shortages as early as next year, due to delays in power projects and rising demand.

Thanks to Monsoon, “wind electricity is sold to Vietnam at a significantly lower price than Vietnam pays for locally produced wind electricity,” said Thomas Jakobsen, managing director of Indochina Energy Partners.

“Something unique”

The project is also crucial for Vietnam to achieve its goal of carbon neutrality by 2050, according to Ninh Xuan Hiep, a manager of the national distribution network of the Electricity of Vietnam (EVN) operator.

By 2030, imports from Laos will be equivalent to nearly 10% of Vietnam's total installed capacity -- its maximum possible output, it says.

Monsoon Wind plans to increase its capacity by 1,000 megawatts and will ensure that part of this additional capacity goes to Laos, specifies its general manager Narut Boakajorn.

“Laos has so many natural resources” – wind, hydro and solar, he notes during an interview with AFP under the blades of a 110 meter high turbine. “Laos has something unique.”

The Laotian government is expected to receive $180 million over the 25-year contract, including taxes and funds for local development and environmental protection, according to Narut.

The project has not caused any forced relocation, and some 1,600 complaints, mainly from farmers seeking compensation, have been resolved, he assures, while any dispute is limited in the communist country.

In the shadow of the turbines, Phonekhan Sengsopha, a 23-year-old farmer, says he is proud that electricity is sent to neighboring Vietnam, also ruled by a communist regime "because Vietnam and Laos are like brothers". “They help each other.”

© 2026 AFP

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