In 2023, Laos is heavily reliant on clean energy for its electricity consumption, with more than three-quarters, about 77%, of its electricity generation coming from low-carbon sources. This is almost entirely hydropower, which accounts for just under 77%. In contrast, close to a quarter of Laos's electricity comes from fossil energy, specifically coal, which makes up about 23%. The country's reliance on hydropower underscores its commitment to sustainable electricity generation, while the portion of fossil energy signals there's still work to be done in further reducing carbon emissions to mitigate climate change impacts.
Is Electricity Growing in Laos?
Electricity consumption in Laos is steadily growing, as seen in the recent uptick in consumption per person. In 2023, electricity use reached 6,823 kWh per person, a slight rise of 71 kWh from the previous year. Furthermore, the generation of low-carbon electricity also saw an increment, with 5,234 kWh per person in 2023, up 93 kWh from 2022. These increases, albeit modest, signify a positive trend in both overall consumption as well as clean energy generation, indicating that Laos is gradually enhancing its electricity infrastructure while maintaining its focus on low-carbon sources.
Suggestions
To further boost its low-carbon electricity generation, Laos could learn valuable lessons from countries that have successfully expanded their clean energy portfolios. For instance, Denmark generates over half of its electricity from wind power. Although Laos may not have the same wind potential, this example shows how nations can diversify their low-carbon sources beyond hydropower alone. Exploring solar energy could be particularly beneficial for Laos, considering Lebanon, a country with similar solar potential, generates almost a third of its electricity through solar. Additionally, the global prominence of nuclear as a reliable and clean energy source should encourage Laos to consider it as part of its long-term strategy for sustainable energy growth.
History
Historically, hydropower has been the primary driver of low-carbon electricity generation in Laos, with significant expansions noted in the past few decades. After a modest growth phase in the late 1990s, the early 2000s saw some fluctuations, such as a decline in 2003 followed by growth in the mid-2000s. A substantial surge occurred in 2010, with a record expansion of 5 TWh that persisted aggressively in the subsequent years, peaking with a remarkable 8.8 TWh increase in 2020 and a further 5.8 TWh in 2022. This history of hydropower growth highlights Laos's proactive approach to expanding its low-carbon electricity generation, setting a promising foundation for future developments in sustainable energy.
Electrification
We estimate the degree of electrification by comparing electricity and total energy emissions. More about methodology.