In order to promote the growth of solar power in Vietnam, the government approved a feed-in tariff program last year. This decision has prompted Vasari Energy to firm up its solar plans for the country, where it wants to develop up to 200 MW. (Photo Credit: Hoach Le Dinh/https://www.goodfreephotos.com/)
- Vasari Energy will be developing 180 to 200 MW of solar power capacity in Vietnam
- This capacity will be developed in the form of 2 land-based and 2 floating solar power plants
- All of these projects will have a generating capacity of 40 to 50 MW and will be set up within next 2 years
- The company is currently awaiting federal approval for its plans, at which point power purchase agreements (PPAs) will be issued by Vietnam’s Ministry of Industry and Trade
American utility-scale power plant developer and operator Vasari Energy has firmed up its plans to enter the Vietnamese solar energy market. Over the next 2 years, it plans to develop 2 land-based and 2 floating solar power plants. Each of these projects will have a generating capacity of between 40 and 50 MW, taking the total capacity to be developed to 180 to 200 MW.
This decision was confirmed after the Vietnamese government issued directives allowing for the implementation of a feed-in tariff (FIT) program. All power generated by solar power projects in Vietnam will be purchased by the local utility Vietnam Electricity Corporation (EVN) (see Vietnam Introduced Solar Incentives). These directives were approved in the form of Decision 11/2017/QD-TTg and are applicable until June 30, 2019.
Vasari Energy will work with local development partners for its Vietnam projects. In addition, it will reportedly finance the projects using its own equity, and may include debt financing backed by a US government agency. The company is now awaiting federal approval for these projects. Once this is secured, PPAs will be issued by the Ministry of Industry and Trade, Vietnam valid for a period of 20 years.
Zhen Han, executive vice president for financing and strategy for Vasari, will be in charge of the Vietnamese projects.
With this new move, Vasari joins fellow US company Natcore Technology, which signed a memorandum of understanding (MOU) to develop a 200 MW solar power park in Vietnam back in August 2016. Its plans also included setting up a module factory in the Asian nation (see 200 MW Solar Park Plans For Vietnam).