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Another 17 with a capacity of 2,836 megawatts are also considering applying for such direct power purchase agreements, while 26 other projects have no interest in such mechanisms, according to a recent survey of the Ministry of Industry and Trade.
A direct power purchase agreement allows power plants to connect directly with a customer, which is usually a business with large power demand.
This is a new mechanism and the government has tasked the ministry with working out a legal framework for.
But Deputy Prime Minister Tran Hong Ha criticized the ministry last week for its delayed implementation of the task, and he urged it to speed up the work.
In its latest update to the government, the ministry reported that a government decree is needed to legalize direct power purchase agreements.
In recent years, major companies such Samsung from South Korea have expressed interest in direct power purchase agreements as Vietnam’s national grid shows signs of overload.
In Vietnam, state-owned firm Vietnam Electricity has a monopoly on electricity transmission, but experts have been petitioning for private firms to invest in transmission amid rising power demand.
