Only when the obstacles are resolved can power projects attract investment and contribute to the energy transition process.
Nhon Trach 3 and 4 Power Plants in Dong Nai are the first liquefied natural gas power projects in Vietnam to be implemented under the Power Plan VIII . According to the design, with a capacity of over 1,600MW, when put into operation each year, it will supply the national grid with 9 billion kWh of commercial electricity. However, many problems are affecting the progress of this project.
To release capacity for the Nhon Trach 3 and Nhon Trach 4 power plant projects in Dong Nai province, the 500kV Phu My – Nha Be transmission line is being urgently deployed. However, the delay in issuing the local land use plan has significantly affected the project’s progress.
As for Nhon Trach 3 and Nhon Trach 4 power plants, the project is also in the final stages to reach the finish line. However, according to the investor representative, this gas-fired power project will only be effective when a long-term resource mobilization mechanism is implemented.
Mr. Le Ba Quy – Director of Nhon Trach 3,4 Power Plant Project Management Board said: “We are striving to bring the first electricity to the national grid in December. However, there will be many problems during the operation phase. We do not have a long-term commitment on the output for the project, so we cannot place long-term gas orders.”
“Currently, the projects have three bottlenecks that affect the progress of the projects. The first bottleneck is that there is no mechanism to consume liquefied natural gas; the second is the mechanism to transfer the price of liquefied natural gas into the electricity price; the third is the release of capacity for factories,” said Mr. Phan Tu Giang – Deputy General Director of the National Oil and Gas Group.
The Power Plan VIII also sets a target that by 20230, 23 gas-fired power projects with a total capacity of about 37,000 MW will be put into operation. However, only when the obstacles are resolved will gas-fired power attract investment and truly contribute to the energy transition.