HomeWorld RegionsAsia$7.5bn worth of coal-fired power plants planned for Vietnam

$7.5bn worth of coal-fired power plants planned for Vietnam

The Vietnamese government is set to approve investment licenses for three coal-fired power plants worth a combined $7.5bn.

The country continues to rely on coal power and hydropower to securely meet the country’s annual electricity demand growth of 11 per cent.

Two of the projects by Japanese, South Korean and Saudi Arabian investors are expected to receive licences ahead of Vietnamese Prime Minister Nguyen Xuan Phuc’s visit to Japan next month, investment minister Nguyen Chi Dung told Reuters on Tuesday.
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Details provided by the investment ministry showed South Korea’s Taekwang Power Holdings Co. and Saudi Arabia’s ACWA Power would invest $2.07bn for a 1,200 MW thermal power plant.

Each investor would have a 50-percent stake in the plant and commercial operation is expected to start in 2021.

Japan’s Marubeni Corp and Korea Electric Power Corp would invest $2.79bn in a 1,200-megawatt plant, with operation expected to start in 2021. The investors will also share half of the investment each.

Japan’s Sumitomo Corp would invest about $2.64bn into a 1,320 MW plant, with an expected starting date of 2022, the ministry said. This project was expected to get its licence later this year, the ministry said.