ADB Loan for New Power Plant 'O Mon IV' in Vietnam

 Nov 28,2011

The Asian Development Bank(ADB) approves a loan of US$ 309.9 million for Southern Vietnam for construction of a new 750 mega watt(MW) power plant.This is a prudent step to deal with Vietnam's ever growing energy demands (more than 15% per annum) and double digit growth is expected in near future.The country's power sector has a monster energy plan that aims to increase energy capacity nearly three times from 18500 MW in 2010 to 60000 MW by 2020.

With a generating capacity of 3600 MW,the new O Mon IV will be functional in June 2016 to partially meet energy requirements of Mekong Delta.Total development cost will be approx.US$793.5million.KfW Bankengruppe of Germany will contribute US$370 million.State-owned Electricity of Vietnam (EVN) and the Government of Vietnam will provide US$ 113.6 million.

The new plant is one of the four being developed at the O Mon thermal power complex in Can Tho province,about 250 km south of Ho Chi Minh City will be a combined cycle gas turbine plant.

A second plant at the complex is to be bid out to private investors, while the Government of Japan will be funding  two others in conjunction with Electricity of Vietnam(EVN)

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