Government introduces masterful electricity plan

Prime Minister Nguyen Tan Dung has just approved an electricity development plan till 2020, known as power masterplan 7, to erase the country’s power shortages.

Till 2020, total generation capacity will be 75,000 megawatts. Two-thirds of capacity will be generated from thermoelectricity plants. Hydroelectricity will account for 23 per cent of total capacity while renewable energy will account for 5.6 per cent.

This total capacity, in line with 2,200MW imported from neighbouring countries, will be sufficient to meet power demand.

The consumption of electricity is projected rapidly at a rate of at least double of gross domestic product at 12 per cent per annum. Meanwhile, the construction of new power plants is failing to keep place with demand.

The government estimates that Vietnam will need $48.8 billion for developing electricity supply and transmission lines by 2020. In which, 66.6 per cent will be invested in power generation plants, the remaining capital will be used for developing transmission lines.

Investment capital will be mobilised from government bonds, state-owned investors, private and foreign investors. State-owned groups including Electricity of Vietnam, Vinacomin and PetroVietnam will be the leaders for developing power projects during 2011-2020. – VIR

Tags: Vietnam electricity, Vietnam electricity market, Vietnam energy