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Republic of the Union of Myanmar Technical Assistance Consultant’s Report Project Number: 46389-001 2016 Republic of the Union of Myanmar: Institutional Strengthening of National Energy Management Committee in Energy Policy and Planning (Financed by the Japan Fund for Poverty Reduction and the Technical Assistance Special Fund) FINAL REPORT Prepared by TA 8356-MYA, Morten Sondergaard, U Soe Myint and Stuart Thorcarft, Consultants, International Institute for Energy Conservation and Duy-Thanh Bui, Principal Energy Economist and Hyunjung Lee, Energy Economist both from ADB. For the Ministry of Electricity & Energy (MOEE) This consultant’s report does not necessarily reflect the views of ADB or the Government concerned, and ADB and the Government cannot be held liable for its contents. All the views expressed herein may not be incorporated into the proprosed project’s design. Asian Development Bank “Myanmar - Energy Sector Assessment 2016” TA-8356 MYA: Institutional Strengthening of National Energy Management Committee in Energy Policy and Planning 1 | P a g e TA-8356 MYA: Myanmar – Energy Sector Assessment, November 2016 Foreword .................................................................................................. Error! Bookmark not defined. Acknowledgments .................................................................................. Error! Bookmark not defined. Weights and Measures ........................................................................................................................ 6 Currency Equivalents ........................................................................................................................... 6 Abbreviations ........................................................................................................................................ 7 1. OVERVIEW OF THE ENERGY SECTOR ................................................................................ 9 1.1 Energy resources and use .................................................................................................. 9 2.1 Policy and reform program................................................................................................ 13 2.2 Institutional structure and governance ............................................................................ 14 2 OIL and GAS SECTOR ............................................................................................................. 16 3.1 Oil and gas reserves, production and utilization ............................................................ 16 3.2 Arrangements for managing oil and gas ......................................................................... 24 3.3 Oil and gas prices ............................................................................................................... 30 3.4 Oil and gas legislation ....................................................................................................... 33 3.5 Oil and gas pipelines ......................................................................................................... 35 3 COAL SECTOR .......................................................................................................................... 37 4.1 Coal reserves, production, and utilization ...................................................................... 37 4.2 Coal institutional arrangements........................................................................................ 38 4.3 Coal prices........................................................................................................................... 39 4.4 Coal legislation ................................................................................................................... 39 4.5 Immediate issues for the coal sector ............................................................................... 39 4 RENEWABLE ENERGY............................................................................................................ 39 5.1 Hydro .................................................................................................................................... 40 5.2 Solar ..................................................................................................................................... 41 5.3 Wind ..................................................................................................................................... 41 5.4 Biomass ............................................................................................................................... 42 5.5 Geothermal .......................................................................................................................... 45 5.6 Immediate issues for renewable energy ......................................................................... 45 5 POWER SECTOR ...................................................................................................................... 46 6.1 Electricity production and use .......................................................................................... 46 6.2 Generation facilities—fossil based .................................................................................. 48 6.3 Generation facilities—hydropower ................................................................................... 48 6.4 Transmission network ........................................................................................................ 49 6.5 Distribution network ........................................................................................................... 50 6.6 Power sector institutional arrangements ........................................................................ 53 2 | P a g e TA-8356 MYA: Myanmar – Energy Sector Assessment, November 2016 6.7 Electricity tariffs ................................................................................................................... 55 6.8 Electricity legislation ........................................................................................................... 57 6.9 Immediate issues for the power sector ........................................................................... 58 6 ENERGY EFFICIENCY ............................................................................................................. 59 7.1 Immediate issues for energy efficiency and conservation ........................................... 62 7 CLIMATE CHANGE ................................................................................................................... 62 APPENDIXES ..................................................................................................................................... 64 A. Oil and Gas ......................................................................................................................... 64 B. Coal ...................................................................................................................................... 71 C. Renewable Energy ............................................................................................................. 75 D. Power ................................................................................................................................... 78 E. Myanmar Energy Balance Table, 2014/15 ..................................................................... 81 3 | P a g e TA-8356 MYA: Myanmar – Energy Sector Assessment, November 2016 INDEX TABLES Table 1 Total Primary Energy Supply in KTOE; 2011-2015 .................................................. 11 Table 2 Total Primary Energy Consumption in KTOE; 2011-2015 ........................................ 12 Table 3 Daily oil and on-shore gas production by field, August 2014 .................................... 22 Table 4 Natural Gas and Condensate Production, Export from Off-shore Field, ................... 23 Table 5 Onshore blocks and awarded to companies ............................................................ 24 Table 6 Offshore blocks and awarded to companies ............................................................ 25 Table 7 MOGE's stakes in offshore gas fields and pipeline companies; 2014 ...................... 26 Table 8 Refineries in Myanmar in 2013 ................................................................................ 27 Table 9 MPPE and private retail outlets (as of July 2014) ................................................... 28 Table 10 Transfer prices from MPE to MPPE and sales prices from MPPE to consumers; November 2014 ................................................................................................................... 31 Table 11 MOGE's scheme of gas prices as purchased from different operators; 2014 ... Error! Bookmark not defined. Table 12 MOGE’s scheme of gas prices as sold to different consumers; 2014 .............. Error! Bookmark not defined. Table 13 MOGE’s scheme of gas prices as sold to different consumers; September 2014 .. 31 Table 14 MOGE's total incomes from sales / export of off shore gas in the period 1998 – June 2014 ..................................................................................................................................... 32 Table 15 MOGE’s gas losses due to leakage and flaring ..................................................... 36 Table 16 Gas and crude oil pipeline systems, 2013 ............................................................. 36 Table 17 Trans-border gas and crude pipeline systems in Myanmar, 2013 .........................
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