Vientiane: Construction is underway on Laos’ latest large-scale Mekong River dam, satellite imagery analyzed by Radio Free Asia (RFA) shows. Experts have indicated that the Pak Beng hydropower project will follow the pattern of other mainstream Mekong River dams, as Vientiane anticipates economic benefits from sacrificing riparian ecosystems and relocating nearby villages.
According to Radio Free Asia, Laos is pursuing an ambitious economic strategy to become the Battery of Southeast Asia by constructing numerous hydropower dams on the Mekong River and its tributaries, aiming to sell electricity to neighboring countries. Pak Beng, upon completion, will be the most upstream dam on the Mekong in Laos. It is a joint venture between a Chinese investment company and a Thai energy firm, with a generating capacity of 912 megawatts and an expected annual production of 4,775 gigawatt-hours.
Brian Eyler, director of the Southeast Asia program at the Washington-based Stimson Center, told RFA that construction has quie
tly begun. Hydropower dams, on paper, provide income for Laos by selling power to Thailand, Vietnam, and Cambodia, bringing resilient foreign currency into the country. Satellite imagery from July 29 depicts a large earthen and rock embankment built across a river bend, creating a dry work area. Workers are excavating and laying the foundation for the dam’s main structure.
Bruce Songhak Chung, a senior researcher at the Seoul-based Korea Institute for Security Strategy, informed RFA that dump trucks and excavators are preparing the foundation base for the dam. Satellite imagery also shows early stages of a powerhouse building, a spillway, and foundational work for a ship lock and fish passage to facilitate vessel and aquatic movement past the dam. Chandaly Mao, a communications officer with the Mekong River Commission, revealed to RFA that the main construction will begin in October 2026 after the wet season.
The commission, an intergovernmental organization, collaborates with the governments of the four Me
kong basin countries to manage shared water resources and sustainably develop the Mekong. Work will commence with constructing the first-stage cofferdam, with commercial operations expected to begin in 2033.
Further downstream, the Luang Prabang large-scale dam is more than 70% complete and will begin commercial operations in 2030, according to the commission. Currently, there are two operational dams and nine others in various stages of completion, according to the Stimson Center. Eyler noted that Laos has over 100 dams on Mekong tributaries, including the largest operational Xayaburi dam. Myanmar and Laos also signed a joint agreement to develop a new 2,790-megawatt Mekong mainstream dam on July 5.
Eyler stated that foreign construction companies build all these dams, as Laos lacks the capability for large-scale dam construction. Foreign companies typically own the dams for 20 to 30 years, collecting income while the Lao government receives taxes and royalties. Ownership transfers back to the Lao governme
nt once the contract ends. Many foreign players involved are Chinese firms, raising concerns about a potential debt trap for Laos.
Mao emphasized that the construction decision is sovereign to the Government of Lao PDR, and operating patterns are influenced by concession and power purchase agreements. Adjustments for environmental purposes are necessary within these agreements.
Experts warn of significant environmental and social impacts on local communities due to the dams. While electricity is sold to Thailand, benefiting Laos economically, local communities near the dams see little benefit. The Mekong River Commission has expressed concerns about sediment trapping, fish passage, changes in flow regime, and socioeconomic impacts on communities reliant on fisheries.
Even with fish ladders, effective fish passage remains a challenge, Eyler noted. Fisheries are depleting along the Mekong in Laos, with entire villages becoming ghost towns due to collapsed fish stocks. Chung highlighted that dams trap sedimen
t and nutrients, potentially accelerating erosion in Vietnam’s Mekong Delta and contributing to farmland loss and declining agricultural productivity. Dams can also cause sudden flooding downstream, forcing village residents to relocate and lose their homes and livelihoods.