AC Energy is eyeing more investment opportunities in Vietnam, particularly wind-power projects.
AC Energy will be partnering with B&T of Vietnam to pursue wind-power projects with a capacity of 352 megawatts (MW) in Quang Binh province with a total investment of $493 million (P26.336 billion). Initially, both are eyeing to develop 252 MW of wind power, with a total investment of $353 million (P18.857 billion).
Early this month, Ayala Group met with the delegation of Quang Binh province. During their meeting on June 9, the two sides expressed the desire to cooperate in investing in the field of renewable energy.
The Ayala Group was led by its president and CEO Jaime Augusto Zobel de Ayala and AC Energy President Eric Francia.
Meanwhile, the delegation of Quang Binh province was led by Hoang Dang Quang, member of the Central Party Committee, secretary of the Provincial Party Committee and chairman of the Provincial People’s Council. He was joined by Nguyen Xuan Quang, standing vice chairman of Quang Binh Provincial People’s Committee.
“After discussion, in the witness of the leaders of both sides, Nguyen Xuan Quang, Standing Vice Chairman of Quang Binh Provincial People’s Committee together with representative of the Ayala Group signed a memorandum of understanding on investment of B&T wind farm with a capacity of 352 MW in Quang Binh province with a total investment of $493 million. The first phase has a capacity of 252 MW, with a total investment of $353 million,” details posted on the web site of Quang Binh Department of Trade and Industry stated. Quang Binh officials said the province has a lot of potential for socioeconomic development, especially tourism. In addition with the diversified natural resources, the province also has great potential to develop wind energy and solar energy.
“Therefore, the Ayala group’s investment in wind farm in Quang Binh province will help Quang Binh province “open up its potential for future development,” the statement read. “The Secretary of the Provincial Party Committee also affirmed that Quang Binh will give the best conditions for the Ayala Group to survey and deploy investment projects in the coming time.”
Earlier, AC Energy partnered with the Bim Group of Vietnam to jointly develop 330 MW of solar-power projects in Vietnam’s Ninh Thuan province.
AC Energy and BIM are starting with an initial phase of 30 MW, which broke ground on January 23, with Conergy Asia & ME as the construction partner. Investment for this phase is expected to reach 800 billion dong, or roughly P1.8 billion, and to be completed within the year.
Francia said the agreement with BIM initially covers 330 MW, though “their landholdings there could support more than 1,000 MW.”
He said last year the company was eyeing Vietnam because “the population, the growth potential, the market size, supply-demand outlook is similar to what we have here in the Philippines.”
The move to develop renewable-energy projects overseas is in line with AC Energy’s plan to grow its presence in Southeast Asian markets. It has also partnered with UPC Renewables Indonesia Ltd. for a 75-MW wind farm under project company PT UPC Sidrap Bayu Energy.