More Chinese firms invest in Vietnam’s energy projects
The Ministry of Industry and Trade (MoIT) has recommended the government to transfer investment rights for the Long Phu III thermal power plant from PetroVietnam to China Southern Power Grid Company Limited.
China Southern Power Grid Company Limited provides electricity for five southern Chinese provinces. Through co-operation with Electricity of Vietnam Group (EVN), the firm has to date supplied a total 33.4 billion kWh of electricity for Vietnam.
MoIT has also asked the government to assign Geleximco-HUI, a joint venture between Geleximco and Hong Kong United Co., Ltd., to develop the Quynh Lap 1 hydropower plant, replacing the existing investor, state-run Vietnam National Coal and Mineral Industries Holding Corporation Limited (Vinacomin).
Meanwhile, many Chinese firms have become EPC contractor for Vietnamese energy projects. For instance, Kaidi Vuhan-China Co.Ltd is the EPC contractor for Thang Long, Hai Duong, Cam Pha 3 and Mao Khe thermal power plants.
According to the Ministry of Industry and Trade, Vietnam has 19 foreign-invested thermal power projects carried out under the build, operate and transfer form. Among those, Vinh Tan 1, Vung Ang 2 and Vinh Tan 3 thermal power plants are invested in by Chinese firms.
Up to 95% of the total investment of Vinh Tan 1 thermal power plant is jointly invested by China Southern Power Grid Company Limited and China Power International Development Limited, while the remainder belongs to Vinacomin.
Hong Kong’s One Energy Investments Ltd. Co. accounts for 48.45% of Vung Ang 2 thermal power plant’s investment capital and the remainder comes from two Vietnamese partners. However, the Hong Kong firm is waiting for the Vietnamese government’s approval to take over the whole project.
One Energy Investments Ltd. Co. also holds 55% in the Vinh Tan 3 thermal power plan