Is solar energy a good source of energy in Cambodia?

Solar energy in Cambodia is the country’s second most promising clean energy source behind hydropower. Hydropower remains Cambodia’s most developed renewable energy source but also has its own challenges – such as yearly variability due to droughts and floods.

Can solar power help Cambodia achieve national electrification goals?

Searching for alternative options, Cambodia joins a growing list of national governments who have come around to seeing solar and other distributed, emissions-free renewable energy resources as a cost-effective means of achieving national electrification, as well as national and international climate change and renewable energy, goals.

Are solar power projects a good investment in Cambodia?

Krungthai COMPASS, a financial advisory firm, estimates that solar power projects in Cambodia can generate attractive returns on investment, with an internal rate of return (IRR) ranging from 4.18% to 19.35% and an average payback period of 4.9 to 12.3 years, depending on the electricity selling price offered in the auction.

How does Cambodia generate electricity?

In addition to hydroelectric power generation, which accounts for well above half of national power capacity, Cambodia relies heavily on coal and other fossil fuels, increasingly liquid natural gas, for electricity generation and continues to subsidize exploration, production and consumption.