Vietnam needs $40 billion for power projects in 2016-2020: forecast

Vietnam Electricity (EVN) forecast that the country will need US$40 billion to invest in power projects to meet consumption demand in the phase of 2016-2020, averaging $8 billion a year.

Duyen Hai thermal power plant in the Mekong Delta province of Tra Vinh (Photo: SGGP)

The number will increase to $108 billion averaging $10.8 billion a year in the phase of 2021-2030. Of the funds, 75 percent will be for developing power sources and 25 percent for grid.

At present, Vietnam’s electricity output reaches 160 billion kWh a year ranked 2nd in Southeast Asia and 30th in the world, reported the group.

According to plan, the output will hit 240 billion kWh by 2020 and 500 billion kWh by 2030.

The Ministry of Industry and Trade says that 40 power projects and hundreds of transmission network projects are short of funds.

The ministry proposed the Government to permit investors to get loans from its official development assistance (ODA) source and overseas preferential credit in accordance with lending conditions by creditors. This aims to solve capital difficulties for power projects, especially those in rural areas in the next four years.

By T. Quang – Translated by Hai Mien

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