South lacks capital to boost energy grid

The Viet Nam’s south will need between VND 7 and 8 trillion (US$350-400million) each year by 2015 for developing transmission networks to meet the increasing demand.

The Southern Viet Nam Power Project Management Board (SPPMB) said that transmission demand in the southern key economic zone including HCM City and neighbouring provinces is grew at about 15 per cent per year, higher than the national average of 13 or 14 per cent.

Power transmission need was predicted to double the current figure by 2015 because many new sources would be put into use, the board said.

The new power sources include the Vinh Tan, Duyen Hai, Song Hau and Kien Luong thermal power plants, not to mention the Ninh Thuan Nuclear Power Plant scheduled to be completed in 2018.

In the Cuu Long (Mekong) Delta alone, the board said, the region’s power transmission demand in 2015 would be over 3,100 MW, much higher than the figure of 1,950MW recorded in 2010.

To meet the power transmission development demand, the SPPMB was assigned by the National Power Transmission Corporation to develop 117 projects with a combined capital of VND1.75 trillion in 2010, said Nguyen Tien Hai, head of the SPPMB.

Thirty-nine of these with a combined transmission capacity of 3,300 MVA have been completed, Hai said.

These include the Tan Dinh 500 KV-450 MVA power transformer in Binh Duong Province, the Tao Dan GIS – gas insulation system – 220KV Sub Station in HCM City with a capacity of 626 MVA, 220KV Nhon Trach-Nha Be transmission line, 500 kV Nha Be-O Mon transmission line, and the O Mon Power Transformer.

“Most new power transmission facilities were built and installed according to the International Electrotechnical Commission (IEC) standards to ensure high quality.

“Therefore, they now are operating effectively, contributing to easing the overload as well as breakdown of the current transmission system,” Hai said.

Obstacles

Hai said that capital was still the biggest problem that has delayed completion of some important transmission projects in recent years.

The SPPMB was in debt to advisors, contractors and material suppliers to the tune of VND100 and even VND300 billion, Hai said.

The board estimated that it needed at least VND7 trillion this year but could only invest VND 2.5 trillion.

Difficulties in land clearance were big barriers for the agency, he said.

One of the typical characteristics of power transmission projects was that it has to run through several provinces and cities that had different compensation policies, he said.

Consequently, the completion of many important projects has been deferred from 2010 to this year. They included the 500 kV Phu My – Song May and Song May-Tan Dinh transmission lines, and the Vung Tau, Uyen Hung and Duc Hoa 220kV transformer stations.

To ensure completion of transmission projects under construction and facilitate the development of new projects in 2011, Hai suggested the National Power Transmission Corporation initiate effective measures to help the agency deal with capital and land clearance problems.

Relevant agencies needed to complete a master power transmission plan to connect power plants, creating favourable conditions for the agency to develop projects on time, he added. — VNS

Tags: Vietnam electricity, Vietnam energy, Vietnam power shortage