GE (NYSE: GE) has signed an equipment supply contract worth $16.5m with the Power Transmission Company No. 4, a subsidiary of the National Power Transmission Corporation (NPT), to double Vietnam’s existing power capacity by upgrading the country’s national backbone transmission system.

The 500 kV Pleiku-Phu Lam transmission line, which is 500 km in length, forms the backbone of Vietnam’s North-to-South power transmission.

GE’s series capacitor banks will be installed as part of the upgrade of the Pleiku–Phu Lam transmission line to increase power capacity from 1000 amps to 2000 amps.

“When it comes into operation in 2013, the project is expected to supply approximately 800 MW to the Southern area,” said Dang Phan Tuong, chairman of the Board of Management of NPT.

Under the terms of the contract, GE will supply six series capacitor banks to NPT and provide on-site supervision for installation testing and commissioning. The project utilizes GE’s latest fuseless technology to enable a 100 per cent increase in the current capacity of the existing transmission line and installed infrastructure.

GE will partner for the first time with a local corporation, 3C Company, to provide local expertise for the project.

The US Export-Import Bank is financing the project. Shipping and installation of the capacitors at the three locations will begin in the second quarter of 2013, with commercial operation set to begin in the third quarter of the year.

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