The Ministry of Industry and Trade recently submitted Official Letter No. 3787/BCT-DL to the Prime Minister on the review of some contents of the National Power Development Plan VIII. We note below key points in the Letter that would be of interest to developers and investors:
The Ministry of Industry and Trade proposes from now until 2030, to continue putting into operation completed projects or completed parts of projects (total capacity of 452.62 MW) as well as projects included in the previous PDP or projects that obtained approval on investors but not yet operated (total capacity of 1975.8 MW).
The Ministry also noted that these projects need to comply with the legal provisions on investment, construction, closely follow the absorption capacity of the national power system and the ability to release capacity of the power grid; comply with the electricity price mechanism at the time of operation, take responsibility for project efficiency according to the approved mechanism.
The Ministry of Industry and Trade also proposed to extend the progress of projects included in the PDP but have not obtained approval on investors (total capacity of 4136.25MW) to the period after 2030.
The Ministry of Industry and Trade affirmed that LNG projects to be developed in the PDP VIII to 2030 with a total capacity of 23,900 MW (accounting for 16.4%) are necessary, as the demand for LNG imports is expected to be 14-18 billion m3 by 2030 and 13-16 billion m3 by 2045
* Total installed capacity:
The Ministry of Industry and Trade also estimate the total installed capacity by 2030 (excluding rooftop solar power, self-sufficient power supply) is 145,930MW.
In the source structure, coal power capacity is 37,467MW, accounting for 25.7%; hydroelectricity 28,946MW accounted for 19.8%; Imported LNG 23,900MW, accounting for 16.4%; turbine source using domestically exploited gas 14,930MW, accounting for 10.2%; onshore wind power 16,121MW accounting for 11%; offshore wind power 7,000MW accounted for 4.8%; large-scale solar power 8,736MW accounting for 6%; other sources (biomass, hydroelectricity, storage batteries, hydrogen…) 3,830MW, accounting for 2.8%; electricity import 5,000MW accounted for 3.4%.
Please do not hesitate to contact Dr. Oliver Massmann under email@example.com if you have any questions or want to know more details on the above. Dr. Oliver Massmann is the General Director of Duane Morris Vietnam LLC.