Sunseap signs 20-year agreements to supply energy to Vietnam's national grid

Vivienne Tay

Published Wed, Feb 10, 2021 · 12:43 PM

SOLAR energy solutions provider Sunseap Group has signed 20-year power purchase agreements with state-owned utility Vietnam Electricity to supply clean energy to the country's national grid.

The Singapore-based firm will generate solar energy from seven newly-commissioned solar plants in Vietnam. The plants have a total capacity of 23.2 Mega Watt peak (MWp) and comprise close to 60,000 photo-voltaic (PV) panels and 370 DC/AC inverters.

Sunseap expects the plants to yield around 40.4 million kilowatt-hours of clean energy per year. This is equivalent to delivering clean energy to around 13,000 households in Vietnam and reducing carbon dioxide by more than 20,500 tonnes annually.

The plants were installed in a span of three months amid the Covid-19 pandemic, Sunseap said in a press statement on Wednesday. The firm built the PV systems on top of factory and warehouse buildings across southern Vietnam in various provinces, including Ba Ria-Vung Tau, Dong Nai, Binh Phoc and Binh Duong.

Sunseap signed the power purchase agreements under Vietnam Electricity's Feed-In-Tariff 2 programme to promote investments in renewable energy sources. This is achieved by guaranteeing producers an above-market rate for selling into the grid.

Sunseap co-founder and chief executive Frank Phuan said Vietnam has become an attractive market in the region due to favourable climate conditions for harnessing solar energy, stable and supportive government policies for solar implementation, as well as a strong network of well-established developers, off-takers, contractors and financiers.