Northern Vietnam province sets end-Sept deadline for land handover to $2.2 bln LNG power project

Authorities in Quang Ninh province have ordered the handover of land for the first phase of a $2.2 billion LNG-to-power project by September 30.

The directive followed a recent on-site inspection by the provincial People’s Committee Vice Chairman Le Van Anh, who warned the Cua Ong ward administration that delays in site clearance could derail the target of bringing the Quang Ninh LNG power plant online in 2028.

If households affected by the project continue to resist compensation, the Cua Ong authorities will have to resort to compulsory land reclamation under the law, the provincial government stated.

The Quang Ninh LNG power project is developed by a consortium between Petrovietnam’s subsidiary PV Power, Quang Ninh-based Vietnam Mechanical Assembly JSC (Colavi), and two Japanese firms – Tokyo Gas and Marubeni.

The 1,500-megawatt plant is one of the flagship projects under Vietnam’s National Power Development Plan VIII (PDP VIII).

The complex will include LNG import facilities, storage, regasification, a 500-kV substation, transmission lines and supporting infrastructure.

Although groundbreaking took place in October 2021, the project has faced persistent clearance hurdles. Phase one requires more than 25 hectares, while phase two will need an additional 15 hectares.

Some households have refused compensation, while 14 hectares previously leased to state-run Vinacomin but left unresolved since 2011 are now occupied by local residents, complicating revocation.

The province has urged the consortium to explore additional support measures for affected households beyond standard compensation. Once land is cleared, investors must expedite legal procedures to keep the project on schedule for 2028 operations, officials said.

Quang Ninh currently has seven coal-fired power plants in operation with a total capacity of 5,640 MW. The province’s first LNG-to-power project, when put into operation, will contribute to local green transition.

Quang Ninh, a northern port province neighboring Hai Phong city, is home to most of Vietnam's coal reserve and Ha Long Bay, a UNESCO-listed natural heritage site.