Burma lacks capital to develop wealth of resources: ADB

The Asian Development Bank (ADB) says that while Burma has a “wealth of possibilities for power generation,” it lacks the capital to develop them.

“Myanmar’s energy sector has suffered from decades of under-investment, and only one in four people currently have electricity access,” said Anthony Jude, the Director of the Energy Division in ADB’s Southeast Asia Department. “As Myanmar continues to open up, there is a remarkable opportunity to utilize domestic energy resources to power the country’s development, but it’s essential that strong, enforceable environmental and social safeguards be firmly in place.”

In a report dated November 27, the ADB said that an initial assessment of Burma’s energy sector shows that the country has a wealth of possibilities for power generation, from oil and gas exploration to harnessing the energy of geothermal and other renewable.

“Myanmar’s current per capita electricity consumption is amongst the lowest in Asia,” it said. “Approximately two-thirds of primary energy in Myanmar is supplied by biomass, such as fuelwood, charcoal, agricultural residue and animal waste. Electrification rates range from 67% in Yangon to as little as 16% in rural areas.”

ADB noted that development of these resources has been hampered by limited capital; a lack of qualified personnel; poor legal and regulatory frameworks; and a lack of coordination and planning among seven energy-related ministries.

ADB said it suggests international investment in Burma’s energy sector being focused on: medium- and long-term planning; rehabilitation works in power generation, transmission, and distribution; and the construction of gas power plants in Rangoon; the construction of a 500kV transmission line from the north to Rangoon; an integrated, comprehensive plan for hydropower development; and the rehabilitation and upgrading of coal and gas-fired generation plants, refineries, and natural gas pipelines.

source: Mizzima
http://www.mizzima.com/news/regional/8470-burma-lacks-capital-to-develop-wealth-of-resources-adb.html