Central Vietnam province proposes including geothermal power project in national power plan

Authorities of Binh Dinh province have proposed the Ministry of Industry and Trade include the 15-megawatt Hoi Van geothermal power plant project in the revised National Power Development Plan VIII (PDP8).

Under the power source structure approved in the Prime Minister’s Decision No. 768 dated April 15, 2025, Binh Dinh is expected to develop approximately 45 MW in capacity of geothermal and other new energy by 2030.

Currently, an investor has proposed to invest in the 15 MW plant. This project was already listed as part of the technical potential portfolio for geothermal power in the original PDP8, approved under the prime ministerial Decision No. 500 dated May 15, 2023.

In May 2023, LIOA Geothermal Power JSC proposed to survey the Hoi Van geothermal power plant and the LiOAGP Hoi Van eco-tourism resort projects in Phu Cat district.

By July, provincial authorities instructed the Phu Cat district People’s Committee to facilitate LIOA’s field surveys in Cat Hiep commune and ensure no environmental and landscape impacts. The company was required to self-fund all survey and research activities in accordance with regulations.

In January 2024, LIOA formally submitted a proposal to the provincial government to include the Hoi Van geothermal power plant in the PDP8 implementation plan.

Recently, Binh Dinh also proposed the Ministry of Industry and Trade (MoIT) consider an allocation of geothermal capacity for the province, which would enable investment mobilization for the project.

The four-hectare Hoi Van geothermal power plant is expected to require a total investment of VND850 billion (nearly $33 million). It is slated for commissioning in 2027-2028.

In addition to this project, Binh Dinh also urged the MoIT to direct Vietnam Electricity (EVN) to accelerate investments in essential transmission infrastructure for Phu My Industrial Park.

They include the Phu My 2 220kV Substation (500 MVA), with commissioning planned in 2027; and the 20-kilometer Phu My 2-Phu My 220kV double-circuit transmission line, also expected to go live in 2027.

According to Phu My Investment Group JSC - the investor behind the Phu My Industrial Park phase 1, the park’s total electricity demand is projected at 355.6 MVA. Phase 1, to be completed in Q4/2027, will require 190.1 MVA, while phase 2, expected for completion in Q4/2028, will need another 165.5 MVA.

Under Decision No. 768 approving the revised PDP8, Binh Dinh is also designated to host a biomass power project. Accordingly, the Binh Dinh biomass power plant will have a planned capacity of 50 MW, an investment capital of VND3.13 trillion ($120.5 million), and an area of 20 hectares, with expected commissioning between 2028 and 2029.

Japan’s Erex Corporation has proposed investing VND2.4 trillion ($92.4 million) in the biomass project. The plant would have a generation capacity of 296.4 million kWh per year, occupying around 15-20 hectares.