Authorities in Nghe An, Vietnam, look set to repeal the approvals granted to two solar power facilities.
Delayed Solar Projects in Nghe An Face Revocation
Two solar power projects in Nghe An, Vietnam, are at risk of having their investment approvals revoked due to significant delays. The Vuc Mau Lake farm solar power project and the Khe Go Lake project, each worth approximately $164 million and $148 million respectively, were initially approved for investment in March 2022.
The Vuc Mau Lake farm project, proposed by Vuc Mau Lake Solar Power JSC, has a capacity of 200 MWp and an initial annual electricity output of 265.8 million kWh. The Khe Go Lake project, proposed by Khe Go Lake Solar Power JSC, is planned with a 250 MWp capacity, covering 303.48 hectares.
The delay in the investor selection process has exceeded 17 months beyond the approved timeline. As a result, the Nghe An Department of Finance has recommended the local People's Committee to revoke the approvals for these two solar power plants as of August 2025.
The Vuc Mau Lake farm solar power project is part of the national power development plan. Despite the setback, efforts are being made to overcome financing, policy, and storage barriers in Vietnam's rooftop solar power sector. Pham Dang An, deputy general director of Vu Phong Energy Group, has highlighted the race to resolve these challenges.
Meanwhile, other developments in the renewable energy sector are underway. CME Solar is implementing a rooftop solar energy system at the Estec Vina factory. Additionally, a consortium has proposed an $850 million investment for a high-capacity battery plant for power storage in Ho Chi Minh City. South Korean conglomerate SK Group is also considering a $2.1 billion investment in a liquefied natural gas power plant in Nghe An.
Rooftop solar has evolved from concept to commitment in Vietnam's energy transition. The delay in the Vuc Mau Lake farm and Khe Go Lake projects, however, serves as a reminder of the challenges that still lie ahead in the country's renewable energy journey.
[1] Source: Nghe An Department of Finance, August 2022.
- The delay in the completion of the Vuc Mau Lake farm solar power project and the Khe Go Lake project, both valued at over $148 million and $164 million respectively, might lead to a revocation of their investment approvals by August 2025, as suggested by the Nghe An Department of Finance.
- Despite the proposed revocation of initial approvals for the Vuc Mau Lake farm and Khe Go Lake projects in Vietnam's renewable-energy industry, initiatives like CME Solar's rooftop solar energy system at the Estec Vina factory, along with proposed investments for high-capacity battery plants and a liquefied natural gas power plant, demonstrate a commitment to overcoming the challenges in the country's energy transformation towards renewable sources such as solar power.
