<div id="readability-page-1"><div>By Sudarshan Varadhan and Ashley Tang East Timor expects the construction of its first large solar power plant to begin in 2026 and become operational months later, the state utility's chair told Reuters, helping it slash expensive diesel imports.Japan's Itochu Corp and Electricite de France (EDF) will jointly develop a 72-megawatt solar power plant and a 36-MW battery energy storage system in Manatuto, and supply power to Electricidade de Timor-Leste (EDTL) under a 25-year agreement.EDTL Chairman Marito Ferreira said the solar plant will help Southeast Asia's poorest nation, also known as Timor-Leste, slash expensive imports of diesel, which almost entirely fuel its power grid currently, and reduce its fiscal burden. &#34;If solar is introduced, we reduce the price of energy because we have an alternative,&#34; Ferreira told Reuters on the sidelines of the ASEAN energy ministers meeting in Kuala Lumpur, adding that solar power is much cheaper than diesel-fired output.The region's youngest country has electrified over 90% of its households and plans to complete the remainder next year. Current peak demand in the nation of 1.4 million is 100 MW, a third of its total installed capacity of 300 MW, Ferreira said.East Timor has also issued rights to mine gold to joint ventures between Timorese companies and Australian miners, and is exploring onshore natural gas in central and eastern Timor, which could further boost demand for power.East Timor plans to retire its diesel power plants in the &#34;near-to-medium term,&#34; Ferreira said, adding that the country hopes to switch to natural gas-fired power plants and consider further renewable investments to further cut power costs.&#34;Our target is to achieve net-zero emissions by 2050, so we are looking to transform our energy landscape through strategic renewable investments.&#34;</div></div>

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East Timor plans to start construction of its first large solar power plant in 2026, developed by Japan's Itochu Corp and Electricite de France. The 72-MW solar plant and 36-MW battery storage will help reduce reliance on costly diesel imports, which currently fuel the power grid. EDTL aims to lower energy costs and achieve net-zero emissions by 2050 through renewable investments. The country has electrified over 90% of households and is exploring natural gas options to further enhance its energy landscape.

East Timor expects construction of first large solar plant to start next year