Vietnam Needs US$8.7 Bln for Power Grid Projects by 2015

Vietnam will need VND148 trillion (US$8.7 billion) for its power transmission projects from now until 2015, said the National Power Transmission Corporation (NPT).

 

The country has to date mobilized between VND25 trillion (US$1.47 billion) and VND30 trillion (US$1.76 billion), or 16-20 per cent pf the needed capital.

 

The NPT warned that capital shortage, stagnant site clearance, and high material prices are blamed for delays of power transmission projects planned to be put into operation in 2010-2012.

 

The corporation added that three out of eight sub-projects under the underway northern power transmission project, using an official development assistance (ODA) worth US$360 million from the Asian Development Bank (ADB), including 500-kV Son La-Hiep Hoa and Quang Ninh-Mong Duong power lines, and 500-kV Hiep Hoa transformer stations, will not transmit power before the end of 2010 as scheduled.

 

The NPT is seeking permission from the Ministry of Industry and Trade (MoIT) and the Electricity of Vietnam Group (EVN) to borrow an additional US$246 million from the ADB to expand power transmission grids.

 

The MoIT warned of the imbalance between the power generation and power transmission capacities, stressing that transmission capacity needs to be 10 per cent-20 per cent higher than the capacity of generation sources which will increase by 3,000-4,000 MW per annum. (VNS)