Officials attend a ceremony to start work on the Vinh Tan 1 thermoelectric power plant in Binh Thuan Province on July 18, 2015. Photo: Vietnam News Agency
Vietnam officially started work on a US$1.75 billion coal-fired power plant invested by China in the south central province of Binh Thuan on Saturday, Vietnam News Agency reported.
The Vinh Tan 1 plant in Tuy Phong District is expected to finish after four years.
It is built under the form of build-operate-transfer (BOT) by two Chinese companies – the Southern Power Grid Co. and Chinese International Power Co.Ltd – and the Vietnam National Coal and Mineral Industries Group (Vinacomin).
Ninety-five percent of the project’s funding will come from the Chinese companies. It is the largest-ever Chinese-invested project in Vietnam.
The Chinese investors will operate the plant for 25 years before transferring it without condition to the Vietnamese Government.
Dang Huy Cuong, chief of the Ministry of Industry and Trade’s Energy Department, said with an expected annual output of approximately 9.5 billion kWh, the Vinh Tan 1 coal-fired power plant will play an essential role in supplying electricity in southern Vietnam.
The plant is among major projects approved in the master plan for the national grid development through 2020.