Commencement of Gelex Ninh Thuan Solar farm project (19/07/2018)

MSc. Bui Thanh Trung, Deputy Head of Power Planning Department, Institute of Energy, Ministry of Industry and Trade
On June 5th 2018, the Gelex Ninh Thuan solar farm project started construction with the capacity of 50MWp in Phuoc Dinh commune, Thuan Nam district, Ninh Thuan province.

Institute of Energy - Ministry of Industry and Trade, the consultant for this solar power project, advises all procedures such as preparation of investment report (pre-FS), adjustment of power planning, feasibility study and basic design (FS) together with the accompanying agreements for signing the PPA (power purchase agreement) between the Investor and the Electricity of Vietnam - EVN .
After 9 months of close cooperation with the Investor of Ninh Thuan Gelex Energy Company Limited, Institute of Energy has completed all legal procedures for the project to carry out the construction. The project is expected to reach the commercial operation date (COD) before June 2019 in order to enjoy the FIT of 9.35 UScent/kWh according to Decision No. 11/2017/QD-TTg dated April 11th 2017 of the Prime Minister on mechanism for encouragement of development of solar power in Vietnam and Circular No. 16/2017/TT-BCT dated September 12th 2017 on project development and model Power Purchase Agreements applied to solar power projects.

The Gelex Ninh Thuan solar farm project with the capacity of 50 MWp is a project of energy industry group B level 1, invested by Ninh Thuan Gelex Energy Company Limited with the total estimated investment of 1,335 billion VND of which the equity of the Investor is 30% and the remaining is commercial loan. The project has the first year's electricity output of about 82.186 million kWh and is connected to the 110 kV Ninh Thuan 1 substation of the national power system with a 110 kV line of 0.1 km length.

The Gelex Ninh Thuan solar farm project will help to reduce the electricity shortage in Vietnam in the coming time when the Government decided to cancel the Ninh Thuan nuclear power plant and some thermal power plants are currently behind the schedule such as Long Phu, O Mon and other power plants using gas from the Blue Whale gas fiel. In addition, this is a renewable energy project, thus it will reduce CO2 emissions which contributes to achieving the objective of reducing CO2 emission quality in Vietnam under the United Nations Framework Convention on Climate Change COP21.
(For more detailed information, please contact Mr. Phan Ngoc Tuyen, Head of International Relations Department, Institute of Energy; Tel: 0903441965)

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