- EDPR has expanded itself to Vietnam with the acquisition of a 28 MW AC solar project
- Trina Solar sold the project it commissioned in December 2020 for $36 million
- EDPR calls this as its initial step into establishing its presence in Asia
The renewable energy arm of Portuguese energy company EDP, EDP Renewables (EDPR) has expanded its business operations to Vietnam where it has entered an arrangement to acquire a 35 MW DC/28 MW AC solar power project from Chinese company Trina Solar for $36 million.
Operational since December 2020, Trung Son Solar PV Project in Khanh Hoa province of Vietnam is contracted to sell power generated to the Electricity of Vietnam (EVN) for 20 years under a power purchase agreement (PPA). It was developed, designed, constructed and commissioned by Trina Solar on a turn-key basis. The project is expected to generate 67,368 MWh annually with the help of bifacial dual glass solar modules and single-axis trackers (see China PV Snippets: Zhongli, Chint, Yingli, Sineng, Trina).
EDPR said the foray into Vietnam ‘represents a first step’ towards the establishment of the company’s presence in Asia under its Business Plan 2021-25 by when it aims to have 20 GW renewables capacity in its kitty. In May 2021, it entered the Chilean renewable energy market with 628 MW wind and solar project portfolio acquisition (see EDPR Forays Into Chilean Renewable Energy Market).
Starting with Vietnam in Asia makes sense since, the company explained, the Asian nation aims to achieve 37 GW of wind and solar PV capacity by 2030, part of its 30% renewable energy share target for 2030.
“Growth in RES is being supported by a 20-year FiT scheme under a stable regulatory framework while in the upcoming years growth is expected to be based on auctions and on the growing private PPA market,” said EDPR.
There has been remarkable interest in large scale solar in Vietnam in the past with Rystad Energy claiming 20 GW utility scale solar project pipeline in the country back in September 2018 (see Vietnam Large Scale PV Pipeline Reaches 20 GW). Very recently, Gia Lai province approved a 500 MW floating solar & ground mounted installation worth VND 9.5 trillion, according to local media reports (see 500 MW Solar Project For Vietnam’s Gia Lai).
Notably, Vietnam’s feed-in-tariff (FIT) policy has been encouraging private investment in solar power in the country in all segments, thanks to which till January 5, 2021, the country’s rooftop solar installed capacity was 9.5 GW (see Vietnam: Rooftop Solar Installed Capacity Exceeds 9.5 GW).