As of 2022, electricity consumption in Laos is significantly characterized by a predominant reliance on low-carbon energy sources. More than 70% of the country's electricity is generated from clean energy, with hydropower being the major contributor, accounting for nearly 73%. In contrast, the portion of electricity generated from fossil fuels stands at slightly above a quarter, with coal being the sole fossil energy source used, contributing around 27%. This heavy dependence on hydropower positions Laos as a leader in sustainable electricity generation in Southeast Asia.
To further increase its low-carbon electricity generation, Laos can look to successful models from other countries. Wind energy, as exemplified by Denmark which generates about 61% of its electricity from wind, offers a promising avenue. Additionally, solar energy possibilities, mirrored by Greece’s 22% and Chile’s 21% contributions, could be explored. While nuclear energy is less common in regions similar to Laos, the technology's success in countries like France, which generates 67% of its electricity from nuclear, and Slovakia with 60%, shows substantial potential for consistent and large-scale clean energy production. By diversifying its energy portfolio to include wind and solar—combined with strategic investments in nuclear plants—Laos can significantly elevate its low-carbon electricity footprint.
Reflecting on the history of low-carbon electricity generation in Laos, there have been notable fluctuations primarily driven by hydropower developments. The early 2000s saw gradual increases in hydropower output with marginal yearly changes, occasionally interspersed with minor declines. However, the most dramatic growth occurred in the last decade, with 2010 marking a significant jump of 5 TWh in hydropower generation, followed by an additional 4.5 TWh in 2011. Steady growth continued with another notable increase of 3.7 TWh in 2016, peaking dramatically in 2020 with an 8.8 TWh boost. Despite minor reductions in certain years, hydropower has remained the cornerstone of Laos' clean energy strategy, contributing consistently and robustly to the nation's low-carbon electricity landscape.