Vietnam wind farms are taking off and investment from across Asia is now blowing into the country’s renewable energy sector. Companies from China, Singapore and Thailand have swept more than USD500 million into Vietnam wind farms over the past 12 months.
Last year, the Ministry of Industry and Trade (MOIT) revealed that it hoped to double wind energy production in Vietnam by 2030 as the country looks to end its reliance on coal-fired power plants. According to the national power development plan VIII (PDPVIII), wind power, solar and renewable energy will supply 29 percent of Vietnam’s energy by the decade’s end.
The report from MOIT also found that USD95 billion in electricity investment was needed to reach its capacity targets. Firms from China, Singapore and Thailand have seen this as an opportunity to invest in Vietnam wind farms.
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Thailand’s Gulf buys several Vietnam wind farms
One of the most active investors in Vietnam wind farms is Thailand’s Gulf Group which has three separate facilities under its watch. It owns a 95 percent stake in Mekong Wind Power which operates the Mekong Project in Southern Vietnam.
The Mekong Project consists of a 310-megawatt offshore wind farm as well as a solar farm. Commercial operations on the project’s first two phases will begin this year with the third phase slated to come online in the next year or two.
Gulf also purchased a stake in Ia Pech 1 and Ia Pech 2 from Dien Xanh Gia Lai Investment Energy for USD200 million. The deal sees the energy player acquire a foothold in two onshore wind farms that will go live next year.
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Chinese and Singaporean firms also blown in
One of the most interesting projects is a joint venture arrangement in Dak Nong province between Hung Bac Energy Investment and The North Investment Construction and Development. The deal will see three wind farms built at a cost of USD456.5 million. According to Vietnam Investment Review, The Singapore arm of China-based Sungrow Power holds a 70 percent stake in the joint venture.
Elsewhere, Hong Phong 1 Wind Power announced plans to develop a USD73.9 million wind farm in Binh Thuan province. The firm has acquired two overseas shareholders, Singapore-based Indochina Wind and Hong Kong-registered Asian Wind Power 2, who have reportedly taken over the project.
