A coal-fired power plant owned by the United Wa State Army (UWSA) began operating in November 2025 in the Wan Hoong area of southern Mong Hsat, Myanmar, approximately 19 kilometres from Thailand's Chiang Rai border. Originally announced in 2020 and developed by Wan Hong Natural Energy Co. Ltd., the plant supplies electricity to UWSA military facilities, training schools, weapons factories and other associated industries. Coal is sourced from a nearby open-pit mine in eastern Shan State and transported continuously to the site.

The plant has drawn concern over its alleged and potential environmental and health impacts. Reports from local communities and environmental groups indicate that water downstream of the associated coal mine has been linked to skin irritation and fish deaths, while residents near the power plant report noticeable coal fumes. Environmental advocates warn that emissions from coal combustion may affect air quality, respiratory health and vegetation through acid rain. Runoff from coal stockpiles and fly ash storage areas may introduce heavy metals such as mercury, lead and arsenic into the Kok River system, potentially compounding existing pollution concerns associated with mining activities in Shan State. According to local reports, the construction was oversaw by Chinese technicians.