8 October 2002 – The Vietnam government is establishing a good climate for overseas investors in the power industry, a senior representative from Electricity of Vietnam (EVN) told delegates at the POWER-GEN Asia Conference and Exhibition held last week in Singapore.
In his address at the closing ceremony, Mr. Nguyen Huu Duyen the Deputy Director International Corporate Affairs of Electricity of Vietnam said that, in order to fulfil Vietnam’s master development plan for the power sector, EVN would be investing about $2bn each year using its own funds as well as loans from local and international banks.
“We believe that Vietnam’s power market is opening up and is developing with high speed. Vietnam offers a good investment climate for foreign investors and contractors,” said Duyen.
The master plan to develop Vietnam’s power sector 2001-2010 was approved by the government of Vietnam in June 2001. The plan aims to match the economic development strategy of Vietnam up to 2010 when GDP is expected to be double the 2001 figure. The average annual GDP growth rate is 7.2 per cent.
Vietnam’s master power development plan sets out:
* By 2005, total generating capacity will be 9200 MW with energy production of 46 TWh
* By 2010, total capacity will be 17 000 MW and energy production 100 TWh
* An average annual growth rate of 13 per cent
This year Vietnam’s power system has total capacity of 8000 MW and produces 35 TWh. A 17 per cent growth rate has been achieved for the first nine months of 2002.
In order to meet increasing demand for electricity EVN plans to build 35 power projects, of which 22 will be hydropower projects, eight gas/oil fired plants and seven coal fired plants between 2002 and 2010. EVN plans to construct thousands of kilometres of transmission lines, substations with high voltage 500 kV, 220 kV, 110 kV and distribution network.
EVN is a state-owned utility established in 1995. It is engaged in generation, transmission and distribution of electricity in the whole country.
Duyen closed by issuing an invitation to investors and exhibitors to participate in POWER-GEN Asia 2003 in Vietnam. “The event will be a good opportunity for you to develop successful business relations with Vietnam. We would wish all of you good health and success,” he said
POWER-GEN Asia 2003 will be held in Ho Chi Minh City, Vietnam 23-25 September 2003.