23:10 (GMT +7) - Saturday 21/09/2019

Business

Sunseap International & InfraCo Asia to develop solar project

Released at: 09:54, 23/02/2018

Sunseap International & InfraCo Asia to develop solar project

Illustrative image from evn.com.vn

Two to jointly develop 168-MW utility-scale solar power project in south-central Ninh Thuan province.

by Quang Huy

Sunseap International, the international arm of Singapore’s leading clean energy provider the Sunseap Group, signed an agreement on February 14 with InfraCo Asia Development Pte., Ltd. (InfraCo Asia) to jointly develop a 168-MW utility-scale solar power project in the south-central province of Ninh Thuan.

InfraCo Asia will take a minority stake in the project alongside Sunseap’s existing partner, CMX RE Canada, while Sunseap International will continue to hold a majority stake.

InfraCo Asia will bring its leadership expertise and provide funding for the development phase of the project, with commercial operations expected by June 2019. The project will create jobs for more than 200 local workers during the construction phase and approximately 30 long-term jobs will be created once the project is in operation.

“We are delighted to have received support from InfraCo Asia for our first project in Vietnam,” said Mr. Lawrence Wu, Co-founder and Director of Sunseap. “We see huge potential for solar energy development in Vietnam and are excited to bring affordable and reliable clean energy to the country.”

“Sunseap International remains focused on developing innovative solar energy solutions that benefit communities in the region while saving the environment. We hope that our solar power project will help to promote green energy investment in Vietnam and in the Indochina region.”

“As the opportunity for renewables in Vietnam continues to grow, we are excited to partner with Sunseap on a project that will serve as a catalyst for further private sector investment,” said Mr. Allard Nooy, CEO of InfraCo Asia. “It will support Vietnam - which is currently reliant on coal - in creating a cleaner energy mix for the future.”

The initial investor of the project was the CMX Renewable Energy Vietnam Co., a joint venture between Sunseap International and CMX RE Canada. The project covers an area of 200 ha with total investment of VND4.39 trillion ($193.4 million). The Ninh Thuan Provincial People’s Committee approved investment planning last October.

Electricity demand in Vietnam is growing by 12 per cent annually. Under government targets, solar power is to become the main renewable energy source in the future, with installed capacity to increase from around 6-7 MW at the end of 2017 to 850 MW by 2020, accounting for 1.6 per cent of the country’s power generation, and 12,000 MW by 2030, or 3.3 per cent.

Vietnam fixed the price of solar power at 9.35 cents per kilowatt hour last April and the government set a June 2019 deadline for solar power plants to be built and connected to the grid to receive the guaranteed solar feed-in tariff price.

Sunseap is one of the largest and most established players in the region’s solar energy industry, with a pipeline of projects in Cambodia, India, Thailand, Vietnam, Malaysia, and Australia.

InfraCo Asia, meanwhile, is an infrastructure development and investment company that aims to stimulate greater private sector investment in infrastructure in low-income developing countries in South and Southeast Asia.

User comment (0)

Send comment