YANGON, Jan. 5 (Xinhua) -- Myanmar is encouraging private companies to invest in hydropower projects to share the government's efforts in fulfilling the country's growing electric power demand.

    Recently, the Myanmar authorities granted one more company to implement hydropower projects under a build, operate and transfer (BOT) system, according to the Ministry of Electric Power-1 Tuesday.

    Under a memorandum of understanding reached last week between the ministry and the Htoo Trading Company, the private company will implement two hydropower projects of Upper Hsedawgyi and Thaka for the first time.

    In November last year, two other local private companies - the Future Power Company and the Min Anawyahtar Company Group had also been granted to implement Sai Din and Upper Beluchaung hydropower projects under the same system.

    Meanwhile, in May last year, Myanmar added a 600-megawatt (mw) hydropower station, the Shweli-1, in the northern part of Shan state. Located at Manthet Village, 27.2 kilometers southwest of Namkham, the Shweli-1 can produce 4.022 billion kilowatt-hour (kwh)yearly.

    Another 600 million-USD power plant, Yeywa, which is bigger than Shweli-1 with a designed generating capacity of 790 mw and lying on the Myitnge River, 50 kilometers southeast of Mandalay, will produce 3.55 billion kilowatt-hours (kwh) annually on completion and its generating capacity represents 70 percent of about 5 billion kwh being generated by 15 power plants.

    The authorities predict that electric power demand will be fulfilled in Myanmar when some ongoing hydropower projects are completed over the next five years to add a total of 3,478 megawatts (mw) more to the country's generating capacity.

    Of the ongoing 16 hydropower plant projects, four will emerge this year, five in 2011, three in 2012 and four in 2015 when electricity is expected to be in surplus.

    The four emerging hydropower plants during this year are known as 75-mw Shwegyin in Bago division, 790-mw Yeywa in Mandalay division, 10-mw An in Rakhine state and 74-mw Kyeeohn Kyeewa in Magway division.

    The others to be followed suit mainly include 140-mw Upper Paunglaung in Mandalay division, 240-mw Tapein-1 in Kachin state, 120-mw Thaukyaykhat-2 in Bago division, 1,200-mw Htamanthi and 380-mw Manipu in Sagaing division.

    Meanwhile, 27 planned hydropower plants to be implemented in the future are expected to add 30,661 mw more to the generating capacity.

    At present, 856 mw of electricity is being produced and distributed in average and alternately to the public from the national power grid in order to keep balance between supply and demand against the demand of the whole country which stands over 1,555 mw, according to the ministry.

    Of the 1,555 mw, Yangon consumes 666.78 mw, while Mandalay 141.64 mw and other states and divisions 746.83 mw.

    The rapid development of Myanmar such as the establishment of new towns and industrial zones by the government, housing projects and use of electric-powered household goods by the people had increased the demand for power supply.

    Hydropower plants, added over the past two decades, include Hsedawgyi, Biluchaung-1, Zawgyi-1,Zawgyi-2, Zaungtu, Thaphanseik, Paunglaung, Mone, Pathi, Yenwe, Khabaung and Kengtawng while thoseunder implementation mainly comprise Yeywa, upper Paunglaung, Nacho, Shwegyin, Htamanthi, Pyuchaung, Kunchaung and Thahtaychaung,lying respectively in Mandalay, Magway and Bago divisions and Rakhine state as well as Chindwin river valley.

    Furthermore, feasibility studies are being conducted to implement such large projects as Thanlwin, Ayeyawaddy Myitsone andTarhsan.

    Among the seven Maykha-Malikha valley projects of the confluence of the Ayeyawaddy River, the 4,100-mw Myitsone project and the 2,800-mw Chibwe project commenced in December 2009 and these projects are expected to be completed by 2016.

    While the government is implementing new hydropower projects, the Ministry of Energy is building 24-inch wide 287-kilometer pipeline offshore and onshore from the Yadana natural gas platform to Yangon at a cost of 270 million U.S. dollars for supplying enough natural gas to gas-fired power plants.

    The pipeline installation are expected to be completed this year to produce more electricity for Yangon.

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