Foreign firms seek Petrovietnam partnership in offshore wind projects

A string of foreign companies seeks to collaborate with the state-run Petrovietnam on offshore wind power projects in the country.

Renova Inc, a Japanese renewable power producer, in late April signed a memorandum of understanding (MoU) with PetroVietnam Technical Services Corporation (PTSC), a Petrovietnam subsidiary, to collaborate on an offshore wind power project.

Under the MoU, the duo will cooperate in the scouting, preparation, offshore survey, development, construction, operation, and maintenance of an offshore wind power project, with a view toward commercialization. Renova currently invests in three wind power projects in Quang Tri province, central Vietnam.

The partnership would aide PTSC, which provides services for the oil and gas industry, in shifting its investment and services to green energy, aligned with its development strategy and business lines. It would also contribute to the company’s diversified business activities, stable revenue, and employment, given the decline of new oil and gas projects in Vietnam and the region, the firm stated.

Earlier, Denmark's Copenhagen Infrastructure Partners (CIP) expressed interest in cooperating with Petrovietnam in developing offshore wind power in the country.

CIP was established in 2012 and is one of the world’s leading project investors and developers in offshore wind power. At the time of establishment, it focused on investment in developed countries. "CIP is expanding its markets to developing countries and Vietnam will be its key market in Asia in the near future," said Niels Holst, New Markets Fund Managing Director of CIP.

AES Group has also expressed its willingness to share experiences and cooperate with Petrovietnam in renewable energy projects, especially offshore wind power facilities. The U.S. corporation signed a joint venture agreement to develop the Son My LNG Terminal project with PV Gas, a Petrovietnam subsidiary, in late 2021.

Vietnam is seeking to hit its net-zero emission target by 2050. Towards the goal, the country's draft power development plan VIII aims to develop 7 gigawatts of offshore wind power from now to 2030.

Under Petrovietnam’s strategy, besides the core field of oil and gas, electricity and renewable energy are among its development orientations, according to Hoang Quoc Vuong, Chairman of the group.