Yes, no: trade ministry turns around, says nix coal-fired power

By Tri Duc
Sat, October 15, 2022 | 7:10 am GMT+7

The Ministry of Industry and Trade has proposed that five thermal power projects with a total capacity of 6,800 MW be excluded from the national power development plan VIII (PDP VIII).

In its latest proposal to the government, the ministry explains the sudden turnaround by citing problems in implementation and capital arrangement. It now suggests that the thermal plants be replaced with other projects that tap wind and biomass power.

The ministry had insisted late last month on the inclusion of five projects in the PDP VIII for the period 2021-2030, with vision until 2050.

Quang Ninh thermal power plant in Quang Ninh province, northern Vietnam. Photo courtesy of EVN.

Quang Ninh thermal power plant in Quang Ninh province, northern Vietnam. Photo courtesy of EVN.

The five plants are: the 600 MW Cong Thanh; 1,200 MW Quang Tri; 2,000 MW Song Hau 2; 1,200 MW Nam Dinh 1; and 1,800 Vinh Tan III.

Investors for the Cong Thanh have informed the ministry that they are not in a position to continue with the coal-fired project. Thanh Hoa province has proposed that the Cong Thanh project be converted to an LNG-fired power plant with a total capacity of 1,500 MW, up from the originally planned 600 MW.

Thailand’s state utility EGATi will abandon its $2.3 billion project in Quang Tri province, Thailand’s Ministry of Energy confirmed last Thursday.

Malaysia’s Toyo Ink Group Berhad, the investor for Song Hau 2, failed to arrange capital for the project before the June 24 deadline as committed under the BOT contract. The investor has given Hau Giang province VND343.25 billion ($14.22 million) for land clearance and resident resettlement support, but still owes VND365.5 billion.

The investor for the 1,200 MW Nam Dinh 1 plant is the Nam Dinh First Power Company Limited, a joint venture between Saudi Arabian ACWA Power and the South-Korean conglomerate Taekwang Power. Currently, negotiations for the government guarantee and undertaking (GGU) are not yet complete. Besides, ACWA Power has withdrawn from the project without any replacement.

Meanwhile, Japan’s Mitsubishi Corporation and Hong Kong-based CLP Holdings Ltd. have withdrawn from the Vinh Tan 3 project after adopting policies of making no investments in coal-fired power.

Vietnam currently runs 39 coal-fired thermal power plants with a total capacity of 24,674 MW, the ministry said. In addition to the five above-mentioned projects, there are seven under construction with a combined capacity of 6,992 MW.

Four of them - Thai Binh 2, Quang Trach 1, Van Phong 1 and Vung Ang 2 - have completed capital arrangements and are under construction. For Long Phu 1, negotiations are ongoing for continuation with the EPC contractor. The An Khanh-Bac Giang and Na Duong 2 plants plan to tap domestic capital sources.

Prior to the latest proposal, the ministry had already suggested a cut of 14,120 MW of thermal power from the PDP VIII.

As a solution, it proposed that thermal power plants would also use biomass and ammonia as fuel after 20 years of operations, with the initial ratio of 20%. The ratio would increase to 100% gradually, aiming at zero coal-fired power plants by 2050.

Besides, gas-fired power plants would also use hydrogen as a fuel, starting with 20% of the total, after 2030, eventually going on to 100%. The target is that a majority of gas-fired power plants will run with hydrogen in 2050, the ministry said.

It added that by 2050, total demand of hydrogen and ammonia to replace gas and coal respectively would reach 40 million tons. Of this, 33 million tons of green hydrogen would be produced from solar and wind power.

Comments (0)
  • Read More
Vietnamese firm takes over 40-year-old Pierre Cardin shoe chain in Thailand

Vietnamese firm takes over 40-year-old Pierre Cardin shoe chain in Thailand

Emall Vietnam, which owns a network of 100 high-end business shoe stores under the Pierre Cardin and Oscar brands in Vietnam, has taken over the entire Pierre Cardin shoe system in Thailand.

Companies - Sun, June 1, 2025 | 10:29 am GMT+7

Southern Vietnam province Ba Ria-Vung Tau okays 53 projects

Southern Vietnam province Ba Ria-Vung Tau okays 53 projects

Ba Ria-Vung Tau authorities on Friday granted in-principle approvals or investment registration certificates for 53 projects, including a green light for a $400 million investment capital hike of the $5.4 billion Long Son Petrochemicals Complex.

Industries - Sun, June 1, 2025 | 8:00 am GMT+7

Who to receive over 97 mln ESOP shares from Vietnam's leading developer Novaland 

Who to receive over 97 mln ESOP shares from Vietnam's leading developer Novaland 

Novaland, a major real estate developer in Vietnam, will simultaneously implement plans to issue bonus shares and offer ESOP (employee stock ownership plan) shares, with a total issuance rate of 5%, equivalent to more than 97 million units.

Companies - Sat, May 31, 2025 | 11:09 pm GMT+7

Vietnam billionaire Pham Nhat Vuong to contribute 48 mln Vingroup shares to VinSpeed

Vietnam billionaire Pham Nhat Vuong to contribute 48 mln Vingroup shares to VinSpeed

Billionaire Pham Nhat Vuong has registered to transfer more than 48 million Vingroup (VIC) shares to the newly-established VinSpeed that registered to build the North-South high-speed railway project.

Infrastructure - Sat, May 31, 2025 | 7:14 pm GMT+7

Two investors propose $65 mln wind power project in central Vietnam

Two investors propose $65 mln wind power project in central Vietnam

A consortium of Quang Tri Renewable Energy Investment JSC and Win Power Holding Pte Ltd, and Nam Binh Wind Power JSC have submitted an application to implement a 48-megawatt wind power plant in the central province of Quang Tri.

Energy - Sat, May 31, 2025 | 3:10 pm GMT+7

Central Vietnam city seeks investors for $209 mln LNG, LPG terminal project

Central Vietnam city seeks investors for $209 mln LNG, LPG terminal project

The central city of Danang is calling for investment in an LNG and LPG terminal project worth over VND5.43 trillion ($208.7 million).

Infrastructure - Sat, May 31, 2025 | 10:52 am GMT+7

Thai-backed food giant C.P. Vietnam rejects pork safety accusations 

Thai-backed food giant C.P. Vietnam rejects pork safety accusations 

C.P. Vietnam, a subsidiary of Thailand’s food giant Charoen Pokphand Foods Public Company Limited (CPF), has dismissed social media allegations of selling diseased pork, calling them fabricated and false.

Companies - Sat, May 31, 2025 | 8:54 am GMT+7

Oman Investment Authority to expand investment fund in Vietnam

Oman Investment Authority to expand investment fund in Vietnam

Prime Minister Pham Minh Chinh has proposed Oman to enlarge the Vietnam-Oman Investment Fund (VOI) to $1 billion to better cater for the Southeast Asian country's investment needs.

Economy - Fri, May 30, 2025 | 11:26 pm GMT+7

Japanese retailer Aeon to build 2-hectare mall in Vietnam’s Mekong Delta

Japanese retailer Aeon to build 2-hectare mall in Vietnam’s Mekong Delta

Retail giant Aeon will develop a 2-hectare mall in the Mekong Delta province of Tien Giang, with an estimated investment of VND1.16 trillion ($44.6 million).

Industries - Fri, May 30, 2025 | 4:44 pm GMT+7

76% of Vietnamese survey respondents say trade uncertainty encourages them to explore new opportunities: HSBC

76% of Vietnamese survey respondents say trade uncertainty encourages them to explore new opportunities: HSBC

Vietnamese businesses have experienced exponentially higher cost increases than the global average and are expecting additional short-term costs due to trade uncertainty. But many survey respondents (76%) think trade uncertainty has encouraged their business to evolve and explore new opportunities, write HSBC analysts.

Consulting - Fri, May 30, 2025 | 2:41 pm GMT+7

Vietnamese firm lands first $1 mln order on Alibaba after 8-year struggle to export

Vietnamese firm lands first $1 mln order on Alibaba after 8-year struggle to export

After five months of operating a virtual storefront on Alibaba’s B2B e-commerce platform, Sukavina Co., Ltd., a Binh Duong province-based manufacturer of metal tables, chairs, and beds, secured its first international order, marking a significant milestone in the company’s eight-year journey to global markets.

Companies - Fri, May 30, 2025 | 2:37 pm GMT+7

AgriS partners with IFC: Optimizing environmental and social management system, accelerating net zero 2035 goal

AgriS partners with IFC: Optimizing environmental and social management system, accelerating net zero 2035 goal

TTC AgriS (Thanh Thanh Cong-Bien Hoa JSC or AgriS) and International Finance Corporation (IFC) - a member of the World Bank Group - has signed an MoU to strengthen sustainable development governance in alignment with global standards.

Companies - Fri, May 30, 2025 | 2:30 pm GMT+7

Vietnam's stock market attractively priced: Finnish fund PYN Elite

Vietnam's stock market attractively priced: Finnish fund PYN Elite

Vietnam’s stock market is attractively priced, with a price-to-sales (P/S) ratio of 1.3, said Petri Deryng, portfolio manager at Finnish investment fund PYN Elite.

Finance - Fri, May 30, 2025 | 2:09 pm GMT+7

S Korea's SK Group eyes 3 LNG power projects in Vietnam: chairman

S Korea's SK Group eyes 3 LNG power projects in Vietnam: chairman

SK Group, South Korea’s second-largest chaebol, is exploring several LNG-fueled power projects in Vietnam, including three proposed to be included in the country's green growth project portfolio, said chairman Tae-Won Chey.

Energy - Fri, May 30, 2025 | 1:37 pm GMT+7

Vietnam's Hoa Phat Group to become Southeast Asia’s first producer of steel rails for high-speed railways

Vietnam's Hoa Phat Group to become Southeast Asia’s first producer of steel rails for high-speed railways

Hoa Phat Group, a top steelmaker in Vietnam, on Thursday signed an agreement with Germany’s SMS Group under which the latter will provide the former technology and production lines for manufacturing steel rails and shaped steel, with an annual capacity of 700,000 tons.

Companies - Fri, May 30, 2025 | 11:48 am GMT+7

Vietnam's telco giant Viettel signs deal with France’s John Cockerill Defense

Vietnam's telco giant Viettel signs deal with France’s John Cockerill Defense

Viettel High Tech, the core military and civilian R&D arm of Vietnam’s military-run telecom giant Viettel, has signed a cooperation agreement with John Cockerill Defense, a leading weapon designer and manufacturer in France.

Companies - Thu, May 29, 2025 | 9:14 pm GMT+7