Spanish developer to operate wind power projects in SE Asia, including Vietnam

By Thuy Nguyen
Fri, September 23, 2022 | 4:24 pm GTM+7

Spanish renewables developer Acciona Energia has entered into a strategic partnership with Asia’s The Blue Circle to build and operate the latter’s pipeline of projects in Vietnam and Southeast Asia.

The agreement, which includes a $34 million investment to become the largest individual shareholder in Singapore-headquartered The Blue Circle as well as a commitment of up to $113.5 million to fund the regional developer’s projects through construction, gives the Madrid-based major a 50% stake in the Asian firm.

The Blue Circle currently has wind power projects to generate 84 megawatts in Vietnam, in which it maintains a 50% stake. Projects of more than 1.4 gigawatts are in advanced stages of development in the region, the company said last week.

Its total portfolio of projects under development amounts to 3.8 GW and covers Vietnam, Thailand, the Philippines, Cambodia, Indonesia, Laos and Sri Lanka.

A wind farm developed by The Blue Circle in Southeast Asia. Photo courtesy of the company.

A wind farm developed by The Blue Circle in Southeast Asia. Photo courtesy of the company.

The Blue Circle has been a pioneer of wind power in Vietnam since 2017, developing projects in Southeast Asia since 2013, and establishing early leading positions in many relevant Southeast Asia countries with a secured land bank of 94,475 hectares as of today.

“Joining forces with Acciona Energia at the inflection point of renewables penetration in the region will enable The Blue Circle to tackle the tremendous growth expected in the coming years,” said Olivier Duguet, chairman and CEO of The Blue Circle.

Founding partner Duguet and other minority shareholders will together retain a majority stake in The Blue Circle, while Duguet will continue as CEO, the firm added.

Acciona Energia CEO Rafael Mateo said: “Entering the renewables markets in Southeast Asia opens “a new growth opportunity for us with an experienced leader in the region.”

The Blue Circle identifies, develops, finances and operates renewable energy projects, mainly wind energy. It has offices in Singapore, Ho Chi Minh City (Vietnam), Bangkok, Phnom Penh, and Manila (the Philippines).

Acciona Energia claims to be the largest 100% renewable operator with no fossil legacy in the world, with an operational project portfolio of 11.2 GW in 16 markets worldwide on five continents.

With its investment in The Blue Circle, the Spanish company is expanding the portfolio of projects under development as also its geographical reach as it proceeds towards 20 GW of installed capacity by 2025.

The company is part of the Acciona Group, a leader in transport, construction and water infrastructure, which already operates in the region, mainly in the Philippines.

In reaching their latest agreement, Astris Finance and Asia Counsel were financial advisor and legal counsel, respectively, for The Blue Circle, while Baker & McKenzie was legal counsel for Acciona Energia.

In related news, last Monday, Singapore-headquartered clean energy provider EDPR Sunseap said it has concluded a $284 million acquisition of two solar power projects in Vietnam’s Ninh Thuan province, doubling its operational capacity in the country.

The two projects have a total designed capacity of 255 megawatts-peak. The transaction is also the first step in establishing a long-term relationship between EDPR Sunseap, an arm of Portuguese renewables giant EDPR, and Ninh Binh province-based Xuan Thien Group to jointly explore opportunities in Vietnam.

EDPR, the world’s fourth-largest renewable energy producer, is owned by Energias de Portugal, the biggest utility firm in Portugal. EDPR bought a 91% stake in Sunseap this January for $1.1 billion, renaming it EDPR Sunseap.

Vietnam will focus on reducing coal power sources by 2030 and increase the use of renewable energy, including wind power, according to the nation’s draft Power Development Plan VIII (PDP VIII) for the 2021-2030 period with vision until 2045. Vietnam has committed to achieving carbon neutrality by 2050.

Comments (0)
  • Read More
VN-Index plunges amid global market downturn

VN-Index plunges amid global market downturn

Vietnam’s benchmark VN-Index dropped Monday by nearly 30 points on massive selling driven by global market downturn and the State Bank of Vietnam’s deposit rate ceiling hike.

Finance - Mon, September 26, 2022 | 5:32 pm GTM+7

HCMC office market maintains momentum, awaits new supply

HCMC office market maintains momentum, awaits new supply

Ho Chi Minh City’s office market has recorded robust leasing transactions across all sub-markets this third quarter, thus keeping healthy performance, property services firm Knight Frank said Monday.

Real Estate - Mon, September 26, 2022 | 4:53 pm GTM+7

Solar power plants in southern Vietnam fined for unauthorized operation

Solar power plants in southern Vietnam fined for unauthorized operation

Two solar power plants in Ba Ria-Vung Tau province have been fined VND160 million ($6,700) for operating without official appraisal and acceptance.

Energy - Mon, September 26, 2022 | 4:44 pm GTM+7

FDI disbursement grows 16% in nine months

FDI disbursement grows 16% in nine months

Disbursed foreign investment capital in Vietnam reached $15.4 billion in the year to September 20, up 16.2% year-on-year.

Economy - Mon, September 26, 2022 | 4:27 pm GTM+7

Word Bank urges Vietnam to adopt low-carbon rice to cut emissions

Word Bank urges Vietnam to adopt low-carbon rice to cut emissions

Transitioning to low-carbon rice production offers the highest potential for Vietnam to meet its goal of reducing methane emissions by 30% by 2030 while boosting the competitiveness of this significant export item, a new World Bank study says.

Economy - Mon, September 26, 2022 | 4:08 pm GTM+7

Australia's Corio seeks larger offshore wind energy opportunities in Vietnam

Australia's Corio seeks larger offshore wind energy opportunities in Vietnam

Corio Generation, an offshore wind energy branch of Australia’s Macquarie's Green Investment Group, wants to make larger inroads into Vietnam via cooperation with Petrovietnam.

Energy - Mon, September 26, 2022 | 3:04 pm GTM+7

Dollar up again after slight drop

Dollar up again after slight drop

The U.S. dollar at commercial banks has risen against the Vietnamese dong after a slight decrease late last week.

Banking - Mon, September 26, 2022 | 11:05 am GTM+7

Vietnam solar energy costs 'lowest' in Southeast Asia

Vietnam solar energy costs 'lowest' in Southeast Asia

Vietnam has the lowest “levelized” cost of solar energy in Southeast Asia, the International Renewable Energy Agency (IRENA) says in its latest major energy-transition publication.

Energy - Mon, September 26, 2022 | 9:58 am GTM+7

Three military airports may include civilian operations: Deputy PM

Three military airports may include civilian operations: Deputy PM

The government is considering turning three military airports in Ninh Thuan, Dong Nai and Hanoi into military-civil airports.

Infrastructure - Sun, September 25, 2022 | 8:42 pm GTM+7

Heineken opens Southeast Asia’s biggest brewery in southern Vietnam

Heineken opens Southeast Asia’s biggest brewery in southern Vietnam

Heineken Vietnam inaugurated an expanded brewery in Ba Ria-Vung Tau province Saturday, saying it was the the biggest in Southeast Asia and used 100% renewable energy.

Industries - Sun, September 25, 2022 | 8:12 pm GTM+7

Agriculture major Hoang Anh Gia Lai suspends $72 mln share issuance

Agriculture major Hoang Anh Gia Lai suspends $72 mln share issuance

Hoang Anh Gia Lai JSC (HAGL) has suspended registration documents for a private placement of shares worth VND1,700 billion ($71.7 million) that it had submitted to the State Securities Commission.

Companies - Sun, September 25, 2022 | 5:42 pm GTM+7

Three Vietnamese carriers among world's top 100 airlines

Three Vietnamese carriers among world's top 100 airlines

Vietnam Airlines, Bamboo Airways and Vietjet Air have been honored with titles in different categories by UK-based air transport rating organization Skytrax.

Travel - Sun, September 25, 2022 | 3:53 pm GTM+7

Northern, central provinces prepare for supertyphoon Noru arrival

Northern, central provinces prepare for supertyphoon Noru arrival

Northern and central provinces have been told to prepare for supertyphoon Noru, which is heading in a northwest direction with wind speeds of up to 183 km per hour.

Society - Sun, September 25, 2022 | 3:35 pm GTM+7

Expensive HCMC apartments in large supply

Expensive HCMC apartments in large supply

More and more luxury and high-end apartment projects have appeared in Ho Chi Minh City, Vietnam’s southern economic hub, with prices exceeding VND200 million ($8,400) per square meter in some cases.

Real Estate - Sun, September 25, 2022 | 10:12 am GTM+7

HCMC anti-smuggling cop in the dock for smuggling

HCMC anti-smuggling cop in the dock for smuggling

Hoang Duy Tien faces prosecution for overseeing the smuggling of goods worth VND211 billion ($8.9 million) when he was an officer with the HCMC economic police division.

Society - Sun, September 25, 2022 | 8:34 am GTM+7

Long Thanh Airport police station opens on construction site

Long Thanh Airport police station opens on construction site

A police station has been set up at the Long Thanh International Airport construction site in Dong Nai province to ensure security and traffic safety.

Society - Sun, September 25, 2022 | 8:18 am GTM+7