The US Trade and Development Agency (USTDA) on Thursday awarded a non-refundable grant worth US$1 million to Cong Ly Construction-Trade-Tourism Ltd Co for a feasibility study to develop a 300 MW wind power project in Viet Nam.
Cong Ly Co, a private firm operating the first near-offshore wind project in Viet Nam, plans to implement phase III of the Bac Lieu Wind Farm project.
For phase III, the company will examine the technical challenges that arise from an offshore wind farm location.
The study will include a wind resource and energy assessment, a review of permission and land control issues, an electrical grid interconnection and foundation design, construction cost estimates and a financing plan.
Sarah Randolph, manager of Global Programs at USTDA, who signed the grant on behalf of the agency, said USTDA was pleased to support the increase of renewable energy production in Viet Nam through the expansion of the Bac Lieu Wind Farm.
The grant represents the next step in a series of successful partnerships with Viet Nam’s wind power sector.
USTDA has sponsored 75 projects in energy, clean water and aviation in Viet Nam.
This project is a key component of the US-Asia Pacific Comprehensive Energy Partnership, a government initiative that seeks to build US business engagement in the region’s clean energy development, while stimulating infrastructure and grid improvement.
To Hoai Dan, chairman and general director of Cong Ly Co, said the project was expected to bring clean power generation to the Mekong Delta and ensure national energy security in the future.
Commercial operations for Phase 1 of the wind farm began in 2013, which uses 10 US-made wind turbines from General Electric that generate approximately 16MW of power.
After finishing the first phase of the project with installment of 10 more turbines, Cong Ly Co, supplied 60 million kWh to the national grid.
The 52 turbines for phase II will help raise the output to 320 million kWh a year. The first turbines of this phase will supply electricity to the national grid on April 30.
After the completion of the two phases, at an investment of VND5.2 trillion and a design capacity of 99.2MW, the project will have 62 wind turbines.
Dan said Cong Ly Co, had received $1 billion from the US Export-Import Bank to develop the Mekong Delta Wind Power Centre project.