On May 25, 2021, Thuận Bình Wind Power Joint Stock Company (TBW) and the International Finance Corporation (IFC), a member of the World Bank Group, agreed on a cooperation. Specifically, IFC decided to lend 57 million USD for two onshore wind power projects: Phu Lac Phase 2 in Bình Thuận province and Loi Hai 2 in Ninh Thuận province.
TBW, a subsidiary of Refrigeration Electrical Engineering Corporation (REE), is the investor of the Phu Lac Phase 2 and Loi Hai 2 plants, with a total capacity of 54.2 MW. These projects have received a funding package of 57 million USD from IFC and the Managed Co-Lending Portfolio Program (MCPP) managed by IFC. In September 2020, TBW completed the contractor selection for both projects, and groundbreaking took place in January 2021. Once operational by the end of 2021, the two plants are expected to produce about 170 million kWh of clean energy annually.
Loi Hai 2 Wind Power Project located in Ninh Thuan province is expected to be commercially energized in October 2021.
Established in 2009, TBW specializes in investing, constructing, and operating renewable energy projects, particularly in wind and solar energy. TBW has built and operated one of Vietnam’s pioneering wind power plants – the Phu Lac Phase 1 plant with a capacity of 24 MW in Bình Thuận province, internationally recognized as “Asia’s Exemplary Wind Power Project of 2017.” With numerous wind and solar projects planned, the funding from IFC and MCPP will enable the company to exploit its robust renewable energy potential in the future, helping Vietnam transition to green growth and low carbon electricity production to meet the growing demand for power.
Phu Lac Wind Power Project phase 1 with a total investment of up to 1,089 billion VND
REE, founded in 1977 and a pioneer in listing shares on the Vietnamese stock market, operates in four main business areas: (1) Mechanical and Electrical Engineering (M&E) Contracting; (2) Real Estate Development, Management, and Exploitation; (3) Electric Infrastructure; and (4) Water Infrastructure. With the mission of “renewing and developing sustainable energy sources for future generations,” REE continues to develop its renewable energy sector in 2021, contributing to a reliable source of clean energy, responding to climate change, and reducing CO2 emissions.
Receiving funding from a major international financial organization, Mr. Nguyen Ngoc Thai Binh, Deputy CEO of REE, said, “As REE expands its footprint in the renewable energy sector, we seek long-term USD financing, which is not readily available in the domestic market. We believe IFC’s support will help us successfully realize our strategy to ‘green’ our power investment portfolio in the coming years. REE meeting IFC’s financial and environmental social standards demonstrates our readiness and pioneering spirit in the renewable energy field.”
Driven by robust economic growth, Vietnam is expected to double its installed capacity by 2030 to meet increasing power demand. Renewable energy capacity, including rooftop solar energy, is anticipated to increase by about 19 GW to over 36 GW in the next decade, with an estimated cost of around 20 billion USD, mostly financed by the private sector.
Source: Nhịp sống kinh tế
