This is the latest loan of AFD's more than US$2 billion for sustainable development projects in Vietnam.
The French Development Agency (Agence Française de Développement or AFD) has funded EUR24.2 million (US$26.7 million) for a solar power project in Vietnam as part of efforts to help the country intensify its renewable power strategy.
Nguyen Xuan Nam, deputy general director of Vietnam Electricity (EVN), and Rémi Genevey, director of AFD’s East Europe, Middle East, and Asia Department, signed agreement for Se San 4 project. Photo: EVN |
Signed last month by Rémi Genevey, director of AFD’s East Europe, Middle East, and Asia Department, and Nguyen Xuan Nam, deputy general director of Vietnam Electricity (EVN), the non-guaranteed loan will finance the 49-MW Se San 4 solar farm in the Central Highlands province of Kon Tum.
The loan is in line with AFD’s support to Vietnam in the energy transition switching to low-carbon sources that Vietnam has committed to pursue following the Paris Agreement.
Se San 4 is EVN’s first solar farm which makes full use of infrastructure and network set for Se San 4 Hydropower Plant.
The latest funding indicates the long-term partnership between AFD and EVN which has lasted for more than two decades.
This is AFD’s second non-guaranteed loan in Vietnam and it will not affect the country's public debt. AFD and EVN plan to make other direct loans for hydropower and power transmission projects which are in need of capital amid the decreasing guaranteed loans.
Vietnam has struggled to feed the fast-growing economy, including the annual power growth rate of 10%. The country, therefore needs to raise the power capacity from 60 gigawatts (GW) in 2020 to 129.5 GW by 2030.
For sustainable growth, Vietnam has been switching to renewable energy with significant investment in solar and wind power.
AFD has operated in Vietnam since 1994, funding the country more than EUR2 billion (US$2.2 billion) in 86 sustainable development projects.
Other News
- IT training urged to focus on semiconductors
- Hanoi Great Souvenir Fair 2024 to take place next week
- As orders rise, Vietnamese textile firms see better prospects in 2024
- C.bank to auction nearly 17,000 gold taels on April 22
- Trade ministry proposes purchasing renewable electricity mechanisms without EVN’s involvement
- Australia and Vietnam develop competitive electricity markets
- Vietnam, Thailand advance realization of “Three Connections” strategy
- Vietnamese Gov’t to expand list of electricity buyers under direct power agreement scheme
- Viettel opens largest data center in Vietnam to support AI development
- Vietnam’s economy expected to grow at solid pace in 2024-2025: ADB
Trending
-
Capital Law revision helps Hanoi promote role as nation’s socio-economic hub
-
Vietnam news in brief - April 25
-
Vietnamese contemporary ballet celebrates Europe Day
-
IT training urged to focus on semiconductors
-
Voluntary social security should cover larger part of informal sector: Experts
-
ASEAN Future Forum 2024: Promoting regional centrality
-
Central bank moves gold auction to tomorrow
-
[Video]Hanoi beauty spots featured in saxophone legend Kenny G's music video
-
Colorful stage shows in Hoan Kiem Lake pedestrian area