Pyidaungsu Hluttaw approves proposals to ask for loans from International Organizations

27 March 2020

Four proposals asking for loans from international organizations were approved on the 29th day of Second Pyidaungsu Hluttaw’s 15th regular session. The loans are to be spent by the Ministry of Electricity and Energy and the Ministry of Transport and Communications.

Hluttaw representatives discussed matters relating to the loans while responsible Ministries of Electricity and Energy, Transport and Communications and Planning, Finance and Industry gave explanations.

The first loan is to get 7.339 b yen from Japan International Cooperation Agency (JICA), which is to be spent in the project of reconstructing of two single cycle gas turbines into a combined-cycle gas turbine as the project of the infrastructure development in Thilawa Area Phase 3.

“It would cost quite much because it is necessary to install the air cooled system, to accompany with consultants, to do designs modifications, and take equipment modifications into account. Thilawa steam turbine production costs 9.103 billion Yen in total. After the project, Thilawa Combined-cycle Power Plant production plan, it can produce 75 megawatt”, said U Khin Maung Win, Deputy Minister for Electricity and Energy. 

In Thilawa Special Economic Zone, the highest power consumption is 27 Megawatts and in 2024, 130 Megawatts is expected to be used as the highest.

With more votes in favour, Pyidaungsu Hluttaw approved the proposal to get the loan of 7.339 billion Yen from JICA for Infrastructure Development Project in Thilawa Area Phase 3 Production.

Another proposal is to get loan of 350 million USD from the International Development Association of World Bank to establish new combined-cycle gas turbine and to upgrade the power system efficiency in Ywama Thermal Power Plant. After the explanation of the responsible ministries, Pyidaungsu Hluttaw approved the loan proposal.

Two approved loans for Ministry of Transport and Communications are to get from Japan International Cooperation Agency (JICA) and Economic Development Cooperation Fund (EDCF) of the Republic of Korea.

The first loan of 40.604 billion yen from JICA is to be used for Yangon-Mandalay Railway Improvement Project Phase I.

After the upgrading project, the speed of train can be increased from 64 km/hr to 100 km/hr, and the duration will be reduced from 14 hours to maximum of 8 hours for the complete routine.

Union Minister for Transport and Communications, U Thant Sin Maung presented the current situation of the project and the service improvement project, which will be carried on within 4 years.

Another railway upgrading project is to upgrade the Gotauk-Mazar and Mawhan-Kardu posts of Mandalay-Myitkyina railway. For this project, it is to get loan of 125 million USD from Economic Development Cooperation Fund (EDCF) of the Republic of Korea.

“The line capacity, which refers to the maximum number of trains running during 24 hours, allows 21 trains per day at present. If it exceeds the limit of the line capacity, there are delays. So, the freight trains cannot be run as much as necessary. So, we have to upgrade these two posts.”, said Union Minister U Thant Sin Maung.

Pyidaungsu Hluttaw approved the above two proposals.

Thaw Tar Swe Zin
Photo Credit - Pyidaungsu Hluttaw