Column: Chinese-built hydropower stations in Cambodia play pivotal role amid fuel supply volatility

by Joseph Matthews

Chinese-invested hydropower stations in Cambodia have played a pivotal role in maintaining economic stability, especially during periods of global fuel volatility.

China has been the primary financier and builder of Cambodia's large-scale hydropower infrastructure. Those significant projects include the Lower Sesan II, the Lower Stung Russei Chrum, the Upper Tatay Hydropower Station, the Kamchay Hydropower Station, the Stung Atay hydropower plant, the Kirirom I hydropower dam and the Kirirom III hydropower plant.

These hydropower stations have fundamentally reshaped the Southeast Asian country's energy landscape, transitioning the kingdom from a heavy reliance on expensive imported diesel and heavy fuel oil (HFO) to a more self-sufficient and diversified power grid.

As of 2026, these stations play a pivotal role in maintaining economic stability, especially during periods of global fuel volatility.

Amid the current global fuel market instability caused by the conflicts in the Middle East, Cambodia's hydropower capacity has served as a strategic buffer.

During supply chain disruptions, relying on domestic water resources ensures that the electricity stays on even if tankers are delayed or fuel prices become prohibitive.

According to the Ministry of Mines and Energy, by 2025, renewable energy led by hydropower power plants accounted for more than 63 percent of Cambodia's total installed capacity, significantly reducing the risk premium associated with global energy markets.

In the face of global fuel instability, Chinese-built hydropower stations have acted as the "anchor" of the Cambodian grid. They have moved the nation from a position of energy vulnerability to being an ASEAN leader in clean energy penetration, currently ranking second in the region for its share of clean power.

Furthermore, these stations in Cambodia have served as a hub for technical skill and technology transfers from Chinese experts to Cambodian talents and have greatly contributed to improving the livelihoods of local people in communities where the hydroelectric stations are located.

Large-scale stations like the Lower Sesan II have employed hundreds of Cambodians, and local workers have been trained by Chinese experts in specialized fields, including power plant operation, monitoring and controlling water turbines, maintenance engineering, repairing and maintaining heavy electrical machinery, safety and communication, training in industrial safety protocols and technical communication.

These technical skills and technology transfers have significantly advanced the careers of Cambodian talents, as many Cambodian technicians who started as junior staff have been promoted to supervisory roles within the plants, gaining skills that make them highly employable in the regional energy sector.

Editor's note: Joseph Matthews is a senior professor at the BELTEI International University in Phnom Penh, Cambodia.

The views expressed in this article are those of the author and do not necessarily reflect those of Xinhua News Agency.