IFC supports wind projects in Central Vietnam

Thứ Năm, 27/5/2021| 10:31

The International Finance Corporation (IFC), a member of the World Bank Group, is funding the development and construction of two wind power projects in Central Vietnam.

IFC is providing a financing package of $57 million to Thuan Binh Wind Power Joint Stock Company (TBW), a subsidiary of Refrigeration Electrical Engineering Corporation (REE).

This will enable the construction of two onshore wind power plants, Phu Lac 2 in Binh Thuan province and Loi Hai 2 in Ninh Thuan province, with a total capacity of 54.2 megawatt.

The plants will generate about 170 million kilowatt hours of clean energy per year once they start operating later in 2021.

 

IFC supports wind projects in Central Vietnam

Construction site of Loi Hai 2 wind power project in Ninh Thuan Province. — Photo by IFC

"As REE expands its footprint in renewable energy, we are looking for long-term US dollar-based financing that is not readily available in the local market. We are confident that IFC's support will help us implement a strategic drive to green our power sector portfolio in the coming years. By agreeing to implement IFC's financial, environmental, and social requirements, REE confirms its readiness and willingness to contribute to Vietnam's renewable energy development," said Nguyen Ngoc Thai Binh, REE Deputy Chief Executive Officer.

Leveraging its global experience in wind projects, IFC will help ensure that these two projects follow best industry as well as environmental, social, and governance practices.

 

Driven by robust economic growth, Vietnam foresees the need for a twofold expansion of its installed power capacity by 2030 to meet increasing electricity demand.

Renewable energy capacity including rooftop solar is projected to increase by approximately 19 GW to more than 36 GW over the coming decade, at an estimated cost of around $20 billion, mostly expected to be developed and funded by the private sector.

In fiscal year 2020, IFC  invested $22 billion in private companies and financial institutions in developing countries.

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