Copenhagen Infrastructure Partners (CIP), on behalf of its CI New Markets Fund I, together with local partners Asiapetro and Novasia, has signed a memorandum of understanding (MoU) with Binh Thuan People’s Committee to develop a 3.5 GW offshore wind project in Vietnam
The La Gan offshore wind project is off the coast of Binh Thuan. The signing ceremony took place during the Vietnam Energy Summit 2020 High-level Forum.
CIP is using the CI New Markets Fund I to manage a fund specifically targeting fast-growing new economies with a current strong focus on Vietnam.
The La Gan offshore wind project is one of the first large-scale offshore wind projects in Vietnam.
CIP partner Michael Hannibal said, “Signing of the MoU for the La Gan offshore wind project is an important milestone and it would not be possible without the strong and valuable support and co-operation from the local authorities and partners.
“With this project, we commit to co-operate with our local partners to make this project a showcase for successful technology transfer and utilisation of local competence.”
Denmark’s ambassador in Vietnam Kim Højlund Christensen said work undertaken by the Danish Energy Agency and the Vietnamese Electricity and Renewable Energy Authority suggests that Vietnam has a technical potential of 160 GW offshore wind.
“Vietnam will need to learn from global experience to reap the benefits of offshore wind,” he said. “Denmark started 30 years ago with the world’s first offshore wind project in 1991. We wish to continue sharing Danish knowledge, know-how and our cutting-edge technologies with Vietnam to support Vietnam in realising a green transition in a cost-effective way.”
With an estimated capex of up to US$10Bn, the project is expected to create significant income and jobs for both Binh Thuan and Vietnam. CIP said successful co-operation between CIP, Asiapetro, Novasia and Binh Thuan province could also serve as a precedent for attracting other foreign investors in offshore wind projects in Vietnam.
The project partners are already fully engaged in project development in close collaboration with the Binh Thuan region and national government authorities, preparing a final investment decision after inclusion of the project in the Power Development Plan of Vietnam.
Riviera held a series of webinars on offshore wind in June. These are available to view in our webinar library