Technology

Capacity expansion: Laos intends to offer Vietnam with 4,000 MW of wind energy

The Ministry of Industry and Trade (MoIT) reports that the Electricity Corporation of Vietnam (EVN) has received proposals from seven wind energy investors in Laos to sell electricity to Vietnam. The total proposed electrical capability is almost 4,150 MW. Investors from Laos intend to supply over 682 MW of wind energy before 2025, with the rest to be delivered at a later date.

According to MoIT, the plan to provide wind energy from Laos to Vietnam might be implemented using transmission lines positioned in Quang Tri Province. Therefore, the quantity of energy that will be purchased will depend largely on the infrastructure available in a given area. Thus, despite the submission of a proposal, existing infrastructure may limit the quantity of electricity that will be distributed and purchased.

The reason for that is that the plan of Lao investors to sell wind energy to Vietnam exceeds the capability of the provincial grid. This is because of the operation of 200 kV and 110 kV lines, which generally operate at 80 to one hundred pc of their capability. Especially through the dry season, from May to July, the province can only absorb as much as 300 MW of electricity, while in other months the ability is lower.

According to EVN, with its current infrastructure, Quang Tri can only receive 2,500 MW of electricity from Laos. However, this number is 1,650 MW lower than the overall capability that Lao investors wish to sell to Vietnam.

Last 12 months, EVN proposed importing wind energy from Laos to Quang Tri Province. This prompted the Ministry of Infrastructure to think about the applying and submit it to the Prime Minister. The proposed purchase price for electricity from the Truong Son Wind Farm is 6.95 US cents per kilowatt hour (kWh).

The government said it had received a request for advice on the acquisition of wind energy from an influence plant in Bolikhamxay province in Laos. This power plant has a capability of 250 MW and is scheduled to be accomplished by the tip of 2025.

To implement the project plan on schedule, the Lao Vietnam Energy Investment and Development Corporation also proposed to sell electricity from the plant to Vietnam. They propose financing the grid connection project from the ability plant’s funds.

Currently, EVN has signed 19 power purchase agreements (PPAs) with 26 power plants in Laos. According to Vietnam’s Ministry of Industry and Trade, seven of them are already implemented and more are expected to be launched by 2025.

Source: Laotian Times | News from Vietnam

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