Measures sought to address renewable energy overcapacity in Ninh Thuan

A government delegation headed by Deputy PM Trinh Dinh Dung worked with the south-central coastal province of Ninh Thuan on October 16-17 to seek measures to deal with the overcapacity of local renewable energy projects.

Deputy PM Trinh Dinh Dung visits the wind and solar power development plan in Ninh Thuan province.
Deputy PM Trinh Dinh Dung visits the wind and solar power development plan in Ninh Thuan province.

The province currently has 18 wind and solar power projects with a total capacity of 1,180MW but the transmission system can only handle 800MW, forcing 10 plants to cut their capacity by up to 60%.

Ninh Thuan Chairman Luu Xuan Vinh stated that as of June 30, 2019, about 23.2 million kWh were curtailed, causing a loss of VND479 billion (US$20.6 million) to wind and solar farm investors.

He added that most of the 110kV and 220kV transmission projects currently under construction are falling behind schedule while additional transmission capacity included in the Power Scheme VII will not be carried out until after 2020.

In order to address the issue, Ninh Thuan suggested approving a proposal by Trung Nam Group to build a solar farm combined with a transmission system, which will be transferred to the state utility EVN once completed without asking for the return of investment costs.

The province also proposed that the government approve the inclusion of the 6,000MW Ca Na Power Centre to the national power plan for the 2011-2020 period.

Furthermore, Ninh Thuan asked for the approval to change the land use purpose for the forests where a number of transmission projects are being constructed by the province.

Speaking at the working session with provincial leaders, Deputy PM Trinh Dinh Dung said he recognised Ninh Thuan’s efforts to develop renewable energy and noted that province need to make plan carefully, ensure a balance in power generation and transmission so as not to waste investors’ resources.

He also asked the relevant ministries and agencies to submit adjusted plans to the government for approval and urged EVN to work with other investors to build transmission infrastructure linking the power plants with the national grid.

The Deputy PM promised that the government will soon give instructions on addressing the issues put forward by Ninh Thuan province.