Located in the southern-central coast Ninh Thuan province, the solar project is one of the first large-scale solar projects in the country, along with a solar power project jointly developed by Philippine's AC Energy and Vietnam's BIM Group last month, the two parties said.
Solar power is expected to become the main new renewable energy source in the future.
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InfraCo Asia, an infrastructure development and investment company of the Private Infrastructure Development Group, will bring its leadership expertise and provide funding for the development phase of the project.
Sunseap International will continue to hold a majority stake in the project while InfraCo Asia will take a minority stake alongside Sunseap's existing partner, CMX RE Canada.
The project is expected to reach commercial operation by June 2019.
Thailand's largest solar energy company, Superblock Pcl on February 9 announced that it plans to invest 56 billion baht ($1.76 billion) to install 700 MW of wind farms in Vietnam.
Last month, AC Energy, the energy sector business arm of the Philippines' largest conglomerate Ayala Group, also announced that it is investing in Vietnam's solar power industry through a partnership with Vietnam-headquartered BIM Group to jointly develop over 300 megawatts (MW) of solar power projects in Vietnam's Ninh Thuan province.
In April 2017, Vietnam fixed the price of solar power at 9.35 US cents/kilowatt hour. The government set a June 2019 deadline for solar power plants.
Sunseap is one of the largest and most established players in the solar energy industry in the region. It has a pipeline of projects in Cambodia, India, Thailand, Vietnam, Malaysia, and Australia.
InfraCo Asia is an infrastructure development and investment company which aims to stimulate greater private sector investment in infrastructure in the low-income developing countries of South and South East Asia.
Solar power is expected to become the main new renewable energy source in the future, with installed capacity to be increased from around six to seven megawatt (MW) at the end of 2017 to 850 MW by 2020, accounting for 1.6%of the country's power generation and 12,000 MW by 2030 or 3.3% of Vietnam's power generation, following the targets set by the government.
