Vietnam firms partner with Tokyo Gas, Kumagai Gumi to build 4 wind power projects in southern Vietnam

Refrigeration Electrical Engineering Corporation (REE Corp) and Truong Thanh Vietnam Group (TTVN Group) on Sunday broke ground on four coastal wind power projects in the Mekong Delta province of Vinh Long, southern Vietnam.

With a total designed capacity of 224 MW and investment exceeding VND11,284 billion ($426.98 million), this marks one of the largest renewable energy events ever in the Mekong Delta.

The projects are V1-2 Expansion, V1-3 Phase 2, V1-5 & V1-6 Phase 2, and Dong Hai 3. Investors have committed to ensure all the four achieve commercial operation in Q4/2026.

Speaking at the groundbreaking ceremony, provincial leaders emphasized that the simultaneous project commencement demonstrates Vinh Long’s determination to harness its coastal wind potential while concretizing the National Power Development Strategy that prioritizes renewable energy.

Once operational, the four are expected to supply around 718 million kWh of electricity annually to the national grid, contributing to energy security and reducing greenhouse gas emissions.

They will create approximately 400 jobs during construction and 100 jobs during operation, while generating an estimated VND115 billion (4.35 million) in annual contributions to the provincial budget.

Of the four projects, two are invested by REE Corp, a major domestic player in Vietnam's energy sector with a total capacity exceeding 1,000 MW.

Specifically, the V1-3 Wind Power Plant (Phase 2) has a capacity of 48 MW and investment of VND2,257 billion ($85.4 million).

The second project, a joint development of the V1-5 and V1-6 (Phase 2) wind farms, is larger in scale with a total capacity of 80 MW and total investment of VND3,864 billion ($146.21 million).

The third is the V1-2 Expansion (about 210 ha of sea surface and 2.5 ha of land in the Dinh An Economic Zone), developed by Truong Thanh Duyen Hai Wind Power JSC.

In this joint venture, Tokyo Gas holds a 49% stake, while TTVN Group owns 36% and Truong Thanh Energy, a subsidiary of TEGROUP, 15%. Tokyo Gas is the largest city gas supplier in Japan and one of the world's leading LNG suppliers.

This project has a capacity of 48 MW and total investment of VND2,392 billion ($90.51 million).

The fourth is Dong Hai 3 wind power plant, developed by Dong Hai 3 Wind Power JSC, a joint venture between TTVN Group and Kumagai Gumi - one of Japan's leading construction corporations.

It covers 305 hectares of sea surface and 4 ha in the Dinh An Economic Zone. The 48 MW project has an investment of VND2,771 billion ($104.85 million).

TTVN and Tokyo Gas are currently collaborating on the $2 billion Thai Binh LNG power project, while Kumagai Gumi acquired TTVN’s stake in the Cat Hiep solar power project in Binh Dinh province.

Speaking at the groundbreaking ceremony, Nguyen Quynh Thien, Vice Chairman of the provincial People's Committee, said: "Vinh Long currently has a total commercial power capacity of 5,414 MW. Of this, there are four thermal power plants with a total capacity of 4,498 MW, 13 wind power plants (572.1 MW), two concentrated solar power plants (189 MW), and a rooftop solar power system (154.9 MW)."

The province has the potential for about 45 renewable energy projects with a total capacity of about 3,855 MW, especially offshore and onshore wind power.

The sea area from Duyen Hai to Ba Tri has been assessed by international consulting organizations to have an average wind speed of 7-8 m/s, suitable for large-capacity wind power.

"With a synchronous transmission infrastructure and a coastline of more than 130 km, Vinh Long is oriented by the parliament to become a national renewable energy center in the future," Thien added.

Ben Tre, Tra Vinh and Vinh Long provinces were recently merged to establish the new Vinh Long which borders Dong Thap, Can Tho, and the East Sea.