China-backed coal plant in southern Shan State to operate at full capacity

A coal-burning power station backed by Chinese investors is resuming operations in southern Shan State’s Pinlaung Township, regime-run media reported this week. The Tigyit coal-fired plant, which Myanmar’s ministry of electric power has leased to the Chinese company Wuxi Hua Guang since 2015, is reopening after a period of closure for repairs. The station consumes an average of 800,000 tons of coal per year, sourced from the nearby Tigyit mine. Part of an ongoing development project supported by the investments from China, the plant continued operations following the military coup of 2021, working at a capacity of 90 megawatts. The second phase of the project, which included the construction of a coal-drying facility for the plant, has now been completed. A source familiar with the Tigyit station said the reason for incorporating the drying process is to improve the efficiency of using coal from Tigyit mine, which is naturally high in moisture. A press release from the Myanmar military regime also noted that the coal-drying process will allow the plant to operate more efficiently. According to the junta’s minister for the president’s office General Tin Aung San, the plant’s output may increase to 120 megawatts with dry coal and help Myanmar, which currently lags behind neighbouring countries in energy production, to match the standards attained by fellow members of the regional bloc Association of Southeast Asian Nations (ASEAN). Since the announcement of the plant’s reopening, residents of the area have demanded the plant’s closure, citing its potential harm to the environment and local people’s everyday lives. A representative of a mining and environmental monitoring group, who asked to remain anonymous for security reasons, said emissions from the mine could pollute the air and soil, posing serious risks for people in the area. “Pollution could be reduced if control technologies were applied, but the Tigyit power plant does not have such measures in place,” she said, adding that mining and coal-burning also produce ecologically damaging dust, ash, and wastewater. The Wuxi Hua Gang company has invested US $47 million in the plant project. The project’s first phase took 22 years to complete and entailed paying US $1.18 million annually in rent to Myanmar’s electric power ministry, according to leaked records. The Tigyit coal mine, which serves as the plant’s primary source for fuel, was operated by the Eden Group, a conglomerate chaired by the prominent tycoon Chit Khine. The junta arrested Chit Khine in April 2022 along with former ministers of the civilian-led National League for Democracy government ousted in the previous year’s military coup, accusing them of graft. Chit Khine was released from prison three years later.

China-backed coal plant in southern Shan State to operate at full capacity

The coal-burning power station is reopening despite opposition from local communities concerned about its environmental and quality-of-life impact

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