3:26:33 PM | 7/8/2005
Electricity of Vietnam (EVN) has announced it would raise VND200 billion (US$12.7 million) through issuing bonds to invest into the 500KV Danang-Ha Tinh Electricity Transmission Line Project in central Vietnam.
This will be the first time the country’s cash-strapped state energy monopoly has mobilized investment capital in such a way and is a good signal for the domestic capital market.
Details of the scheme were not announced.
The EVN on March 7 signed a bond issuance guarantee contract with the securities arm of the Bank for Investment and Development of Vietnam (BIDV).
EVN, which generates 90 per cent of Vietnam's total power output, said it planned to build or expand 32 power plants with a total additional capacity of 7,547MW in 2006-2010 to increase output to 93 billion kWh by 2010.
The new development plans would require an investment of VND20-30 trillion (US$1.3-1.9 billion) a year, 70 per cent of which would be mobilized from outside sources, both domestic and foreign, the corporation said.
Vietnam now has 32 power plants with a combined generation capacity of 11,280 MW. The country's electricity consumption growth stood at 13 per cent in 2004, compared with 15 per cent in the previous year, government figures show. Total electricity output in 2004 reached 46.05 billion kWh, up 13.1 per cent against 2003.
EVN has projected total electricity output of 53.4 billion kWh this year. Of the total output, some 8.25 billion kWh will be purchased from private power enterprises, up 46.9 per cent against 2004.
New Hanoi
Vietnamese
