AC Energy, BIM Group to build solar-power plants in Vietnam

By Lenie Lectura - January 24, 2018

https://businessmirror.com.ph/ac-energy-bim-group-to-build-solar-power-plants-in-vietnam/

AC Energy Holdings Inc., the power arm of Ayala Corp., will develop over 300 megawatts (MW) of solar-power projects in Vietnam’s Ninh Thuan province through a partnership with the BIM Group.

“AC Energy is very keen to participate in the fast-growing Vietnam power sector, with pioneering investments in renewable energy,” AC Energy President Eric Francia was quoted in a statement as saying. “We are delighted to partner with the BIM group, which has a significant presence in Ninh Tuan province, which, in turn, has among the best solar irradiance in [that] country.”

Initially, 30-MW of the solar project broke ground last January 23, the company said in thestatement. Investment for this phase is expected to reach 800 billion VND (about P1.84 billion).

The companies expect the solar project could be expanded by an additional 300 MW. Construction for the initial phase is expected to be completed within the year. Conergy Asia & ME is the construction partner AC Energy cited.

BIM Group, a diversified corporation based in Vietnam, is engaged in tourism development and real-estate investment, agriculture and renewable energy. BIM Group has a significant experience in business development in Ninh Thuan, the host province for the solar project.

Last year Francia said the company was eyeing Vietnam because “the population, the growth potential, the market size, supply-demand outlook is similar to what we have here in the Philippines.”

“Indonesia is much larger in magnitude because of population,” Francia said. “But you have those elements of growth and size, and the infrastructure, supply gap.”

Also, Francia said Vietnam is offering a solar feed-in-tariff rate of 9.35 US cents per kilowatt-hour.

The Ayala Group is already present in Vietnam through Manila Water Co. Inc. under local units Thu Duc Water and Kenh Dong Water, as well as through infrastructure firm Ho Chi Minh City Infrastructure Investment Joint Stock Co.

The move to develop renewable energy projects overseas is in line with AC Energy’s plan to grow its presence in Southeast Asian markets. With more than $1billion of invested and committed capital, the company is positioned to exceed 2,000 MW of attributable generation capacity and scale up its RE portfolio to over 1,000 MW by 2020.

So far, AC Energy has sealed a deal with UPC Renewables Indonesia Ltd. to develop a $150-million, 75-MW wind-power project in Sulawesi, Indonesia, which would be developed through PT UPC Sidrap Bayu Energi.