Beef up generating electricity to raise industrial productivity

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Electricity is vitally important not only for national economic development but also for daily social and economic life. At present, the country’s total electricity generation is approximately 62,000 megawatt-hours; however, despite the many additional requirements needed to meet demand, acts of terrorist attacks and sabotage have widened the gap between electricity demand and supply even further.
At present, under the Ministry of Electric Power, there are 32 hydropower plants, 24 natural gas-fired power plants, two coal-fired power plants, and 12 solar power plants, with a total installed capacity of 6,725 megawatts. However, they are unable to operate at full capacity. If full-capacity operation were possible, electricity generation and distribution could reach approximately 4,000 megawatts. Nevertheless, due to acts of destruction by terrorists and a decline in natural gas production, electricity generation has decreased. At present, repairs to damaged power transmission lines and substations are being carried out promptly.

The LNG project had been planned and implemented even before 2023 to produce power through LNG-to-Power and supply it to industrial zones. As the 500-megawatt LNG power plant project was successfully implemented, the plant has been able to begin supplying 500 megawatts of electricity starting from 14 January 2026. Although power generation using LNG involves high costs, the Ministry has placed special emphasis on the “LNG to Industry” initiative with the aim of ensuring uninterrupted momentum in industrial production.

As the manufacturing sector plays a vital role in national economic development, a 500-megawatt LNG power plant has been completed in Yangon Region to enable industrial zones to operate around the clock and increase production capacity. This LNG power plant will significantly contribute to enhancing manufacturing output in Yangon Region.
The LNG project had been planned and implemented even before 2023 to produce power through LNG-to-Power and supply it to industrial zones. As the 500-megawatt LNG power plant project was successfully implemented, the plant has been able to begin supplying 500 megawatts of electricity starting from 14 January 2026. Although power generation using LNG involves high costs, the Ministry has placed special emphasis on the “LNG to Industry” initiative with the aim of ensuring uninterrupted momentum in industrial production.
It is learned that electricity will soon be sold to industrial and business enterprises at an “economic rate.” Although electricity tariffs will be increased, this will create a favourable production environment with a reliable energy supply, enabling business owners to successfully expand and develop their operations.
In addition, it will promote industrial development and create more employment opportunities, while allowing the electricity previously consumed by industries to be made more available for public use. Electricity tariffs for public consumption will remain at the previous rates.
Although electricity generation from LNG is costly, efforts have been made to produce electricity using readily available LNG in the short term in order to meet demand and enable industrial zones to operate at full capacity and increase productivity.

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