EVNNPT and JICA Discuss Potential ODA Financing for Power Transmission Projects

Representatives from EVNNPT attending the meeting included the Finance and Accounting Department, Investment and Construction Management Department, Planning Department, and Office.

JICA was represented by Mr. Sato Naoyuki and Mr. Hirota Yuko from JICA Headquarters in Japan, Ms. Hotta Sakura from JICA Vietnam, together with JICA energy experts.

Against the backdrop of growing investment needs for the development of the power transmission system to ensure reliable electricity supply and enhance the stability of the national power system, EVNNPT has been proactively diversifying its sources of investment financing. In addition to domestic commercial loans, EVNNPT has been actively working with development banks that do not require government guarantees and international financial institutions, including JICA, to arrange ODA financing for key power transmission projects.

At the meeting, JICA presented the criteria applicable to projects financed through JICA loans, which must be consistent with the Paris Agreement on climate change. One of the requirements is that a transmission line must not be dedicated exclusively to serving a newly constructed fossil-fuel-fired thermal power plant, particularly a coal-fired power plant without measures to reduce greenhouse gas (GHG) emissions.

At the conclusion of the meeting, EVNNPT and JICA reaffirmed their commitment to continued close cooperation in selecting a pipeline of projects to be financed by JICA ODA loans and completing the procedures for project preparation and implementation. This cooperation is expected to contribute to bringing key power transmission projects into investment and construction, enhancing the transmission capacity of the national power system, and meeting the requirements of socioeconomic development in the coming period.