News Releases 2018
Mar. 05, 2018
JGC Awarded Large-scale Mega-solar Power Generation Plant Project in Vietnam
Yokohama, Japan – JGC Corporation announced today that, in partnership with JGC Vietnam, a subsidiary of JGC Corporation, it has been awarded a contract for the construction of a mega-solar power generation plant in Vietnam by Gia Lai Electricity Joint Stock Company, a subsidiary of TTC Group.
The lump sum turnkey contract calls for engineering, procurement, and construction (EPC) work for a mega-solar power generation plant in Krong Pa District of Gia Lai Province in mid-south Vietnam. The facilities are expected to be completed by autumn 2018.
This project will build one of the largest mega-solar power generation plants in Vietnam with an output of about 49 MW (AC) (equivalent to annual electricity usage of about 47,000 households in Vietnam). The Vietnamese government fomulated its 7th Power Development Plan (PDP7) in 2011 and the country is promoting increased use of renewable energy, with a plan to lift the generation capacity of solar power to 12,000 MW by 2030. The plan is to apply Vietnam's fixed price feed-in-tarrif (FIT) system for renewable energy to the purchase of electricity generated by the plant to be constructed under this project.
JGC Group's track record in construction of mega-solar power generation plants ranks among the top level in Japan in terms of generation capacity. In addition, while JGC Corporation has been involved in construction projects for two large-scale oil refineries in Vietnam, JGC Vietnam, which was established in 2009, has built up expertise in implementing projects in Vietnam, such as the execution of several small and medium-sized projects including industrial plants. We consider being awarded with this contract as the culmination of an overall assessment of JGC Group's track record to date and the various proposals that have contributed to improving the economics of the business.
Expanding JGC's business in the infrastructure area such as power generation is a core policy in the 5-year Medium-Term Business Plan "Beyond the Horizon", which commenced in FY2016. There are many plans for constructing mega-solar power generation plants in South East Asia. With the foothold gained through this contract, JGC intends to increase involvement in renewable energy with proactive initiatives to receive orders for such projects under collaboration with overseas entities.
Details of Client
Gia Lai Electricity Joint Stock Company – a member of TTC Group. TTC is a multi-industry corporation with nearly 40 years of operation, consisting of four corporations, one segment, and over 150 subsidiaries and joint companies. It has investments in several industries including real estate, energy, agriculture, education, and hospitality.
| TTC (Thanh Thanh Cong) Group (A Vietnamese conglomerate, which specializes in the fields of real estate, energy, agriculture, education, and hospitality) |
51.00 % |
|---|---|
| Armstrong Asset Management (Singaporean investment fund) |
20.05 % |
| IFC (International Finance Corporation) (A financial institution under the World Bank Group, specializing in private sector developments in developing countries) |
15.95 % |
| Others | 13.00 % |
Location of Scheduled Construction Site
