The electronic, phonon and thermoelectric transport properties of (PbTe)2 layer are systematically investigated by using first-principles pseudopotential method and Boltzmann transport equation. Our calculations demonstrate that there is a valley degeneracy of six for the top valence band, which leads to larger carrier concentration and thus higher electrical conductivity without obvious reduction in the Seebeck coefficient. Moreover, the intrinsic van der Waals interactions between neighboring Pb layers induce additional phonon scattering and thus ultrasmall lattice thermal conductivity. As a consequence, a maximum p-type ZT value of 2.9 can be achieved at 1000 K. Moreover, we find almost identical n-and p-type ZT in the temperature range from 300 K to 800 K. Thermoelectric (TE) materials can directly convert heat into electricity and thus attract much attention in the science community due to the increasing environmental pollution and energy crisis [1 ]. The conversion efficiency of a TE material can be determined by the dimensionless figure-of-merit 2 / ( ) e l ZT S T [2], where S , , T, e , l are the Seebeck coefficient, the electrical conductivity, the absolute temperature, the electronic thermal conductivity and the lattice thermal conductivity, respectively. A good TE material is expected to have a high ZT value, which requires one to maximize the power factor ( 2 PF S ) and simultaneously minimize the thermal conductivity ( = e l ) as much as possible. Unfortunately, it is usually very