China-Laos 500-kV Power Grid Begins Operation

A landmark achievement in regional energy cooperation was realized on April 20, 2026, with the official launch of the China-Laos 500-kilovolt (kV) power grid interconnection project. This initiative, China’s first cross-border 500-kV alternating-current (AC) link, forges a powerful new energy corridor between Mengla County in southwest China’s Yunnan province and the provinces of Oudomxay and Luang Namtha in northern Laos.

A Monumental Leap with the China Laos power grid

The new power grid represents a significant upgrade in the energy relationship between the two nations. The project dramatically increases the two-way power transfer capacity by thirty-fold, elevating it from 50,000 kilowatts (kW) to an impressive 1.5 million kW.

This enhancement enables the annual transmission of approximately 3 billion kilowatt-hours (kWh) of clean electricity. To put this in perspective, this volume of clean energy is equivalent to reducing carbon dioxide emissions by 2.5 million tons annually. On its very first day of operation, the grid facilitated the transfer of 4.81 million kWh of clean energy from northern Laos to Yunnan, signaling a shift from basic power transmission to a more structured, two-way market exchange.

Project Infrastructure and Development

Spanning a total distance of 177.5 kilometers, the project was a collaborative effort. China Southern Power Grid (CSG) constructed the 145-kilometer section within China, while Electricite du Laos Transmission Company Limited (EDL-T) managed the 32.5-kilometer portion in Laos.

A key component of the project was the construction of a new 500-kV substation in Laos. This new facility, along with two 230-kV transmission lines, integrates the country’s previously scattered northern grid into a unified network, greatly improving the stability and reliability of its power supply. The project, which began construction on February 26, 2025, was completed efficiently, underscoring the strong partnership between the two countries.

Mutual Benefits and Seasonal Synergy

The interconnection is designed for mutual benefit, creating a symbiotic energy relationship. During Laos’ rainy season, the country can export its surplus hydropower to China. Conversely, during the dry season, China can supply electricity to Laos, helping both nations balance their power grids during peak and off-peak periods.

This project builds upon a history of successful energy cooperation. By the end of 2025, bilateral power exchanges had already surpassed 1.6 billion kWh since 2022. The new 500-kV “electric highway” elevates this partnership to a new level, paving the way for enhanced economic development and a more sustainable energy future for the region.