ADB Approves $63.4 Million Battery Storage Project to Accelerate Cambodia’s Renewable Energy Transition

MANILA, June 24, 2026 (KPT) — The Asian Development Bank has approved a US$63.44 million financing package to build Cambodia’s first utility‑scale battery energy storage system, a project designed to stabilize the grid, accelerate renewable integration and strengthen energy security, the bank said Wednesday.

The 250‑megawatt/500‑megawatt‑hour facility will be constructed at the Takeo substation, enabling Cambodia to store excess renewable power and release it during peak demand or supply fluctuations.

ADB said the project will help meet rising electricity needs from industrial zones, agro‑processing and urban centers in southern Cambodia, while supporting cross‑border trade with Vietnam and ASEAN energy connectivity.

“Amid the global energy crisis, this project further reinforces Cambodia’s commitment toward clean energy transition,” said Yasmin Siddiqi, ADB Country Director for Cambodia. “By strengthening the power grid with advanced battery storage, we are helping the country unlock more renewable energy while ensuring families, farmers and businesses benefit from safe, stable and affordable electricity.”

The project is expected to cut greenhouse gas emissions by 27,700 tons annually and contribute to Cambodia’s target of sourcing 70 percent of its power from renewables by 2030. Financing includes a US$40 million concessional loan and US$5 million grant from ADB’s Asian Development Fund, plus US$18.44 million in co‑financing from the Green Climate Fund and the UK.

Officials said the initiative will also strengthen Electricité du Cambodge’s technical capacity, develop battery storage regulations and promote workforce participation, including greater roles for women in the energy sector. It complements Cambodia’s broader investments in generation, storage and transmission, including the nearly US$1 billion Upper Tatay Pumped Storage Hydropower Project.