A signing ceremony between the consortium of Yunnan Machinery & Equipment Import & Export Co and Myanmar's Ministry of Electric Power takes place in Naypyidaw, capital of Myanmar, on March 1, 2023, during which three wind power projects are signed. Photo: Courtesy of the Chinese Embassy in Myanmar

A deal for Myanmar's first wind power project with the participation of a Chinese energy infrastructure company was signed on Wednesday, a major step in bilateral new-energy cooperation, the Chinese Embassy in Myanmar said in a statement released on Thursday.

The two countries see a trend of project facilitation in tapping energy shortages in the region under the Belt and Road Initiative (BRI).

The signing ceremony between Myanmar's Ministry of Electric Power (MOEP) and Consortium of Yunnan Machinery & Equipment Import & Export Co took place in Nay Pyi Taw, capital of Myanmar, on Wednesday. The deal covers three wind power projects - a 150-megawatt project in Ann, a 100-megawatt project in Gwa and a 110-megawatt project in Thandwe in Rakhine state.

Speaking at the event, Chinese Ambassador to Myanmar Chen Hai said that Chinese companies are promoting cooperation projects in responding to power shortages in Myanmar and achieving the Southeast Asian country's goal of nationwide electrification by 2030. Myanmar is rich in water, solar, wind, gas and other power resources, and power cooperation between China and Myanmar is highly complementary, he noted.

The agreement signed on Wednesday is an important part of the China-Myanmar promotion of the BRI and the construction of economic corridors, Chen said.

Union Minister for Electric Power of Myanmar U Thaung Han also attended the event.

Myanmar has been experiencing power shortages, with intermittent outages reportedly occurring in some places. 

Half of the 10.88 million households in Myanmar lack electricity, and more than 43,000 villages are not connected to the national grid, the People's Daily reported in January 2020.

The situation has improved significantly in recent years, but gaps persist.

As part of the BRI and the China-Myanmar Economic Corridor (CMEC) that underpins connectivity between the two countries, the new cooperation will make full use of China's advanced technology capabilities and rich experience in building energy projects overseas, particularly in countries along the BRI, Liu Zongyi, secretary-general of the Research Center for China-South Asia Cooperation at the Shanghai Institutes for International Studies, told the Global Times on Thursday.

Green energy projects will alleviate the energy shortage of the Southeast Asian country while helping the region along the path toward a green energy transformation, Liu said.

Active role by Chinese companies has already taken place in supporting the country with the much-needed energy supply. Myanmar's first 100-megabyte photovoltaic power generation project, the Jingda Sub-project, funded and developed by Power Construction Corp of China, was connected to the grid on January 18.

The photovoltaic project group in central Myanmar has five sub-projects, with a grid-connected capacity of 160 megawatts and annual power generation of 342 million kilowatt-hours.

China's development in the new era will bring opportunities to Myanmar and boost the rapid development of all sectors between the two countries, the ambassador said at Wednesday's event, extending his expectations for broader cooperation as the two sides are building a community with a shared future.