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Solar move at PPWSA to cut costs

The Phnom Penh Water Supply Authority (PPWSA) installed a solar power generation system last week in an effort to reduce electricity bills by about $200,000 a year.

The solar power system, which was funded by the Japanese government, was installed at the PPWSA’s water treatment facility in the capital’s Daun Penh district at a cost of $7 million.

Ros Kimleang, chief of the accounting and financial department at PPWSA, said yesterday that the system is part of an overall effort to reduce dependency on other energy sources.

Kimleang said he hoped the savings would translate into profits for Cambodia’s only publicly listed company, though he did not say how much the company spends on electricity each year or whether the savings would be passed on to consumers.

The new system will generate one million kilowatt-hours each year, enough to supply power to all of the PPWSA.

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Brecht van der Laan's picture

As a solar professional working in Cambodia for over three years this article really worries me.

There is a quick sum everyone can make: 200,000 USD saving per year and an investment of 7 million USD gives a payback time of 35! years

A bit more insight: to make the stated one milj Kilowatt-hours per year you need a system of about 650 kilowatt-peak. At the current price level of solar components (even including all taxes, which I doubt have been paid for this project)this should be possible to build for 1,6 milj USD.

There are serious business opportunities for Solar power in Cambodia and there are serious Cambodian Companies who can provide all necessary services to design, install and maintain systems. Although I welcome initiatives as this pilot project for PPWSA, I am afraid numbers like these will scare away serious investors.

us_cambo_tag's picture

yes, interesting numbers. worth more study. it should be very easy to know how much solar investments should cost.

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