“Situational” solution for 3 power projects worth tens of thousands of billions in Quang Ngai

All three gas-fired thermal power projects in Quang Ngai are facing difficulties because the investor Exxon Mobil is restructuring its operations. Therefore, the Minister of Industry and Trade has proposed solutions to overcome these difficulties.

Currently, in Quang Ngai province, there are 3 combined gas turbine power plants Dung Quat I, II and III belonging to the Central Electricity Center. Of which, Dung Quat I and III combined gas turbine power plants are invested by Vietnam Electricity Group (EVN); Dung Quat II combined gas turbine power plant is invested by Sembcorp Group (Singapore) under the BOT method.

However, all three of these gas-fired thermal power projects using gas from the Blue Whale field are facing difficulties because the investor Exxon Mobil is restructuring its operations, not focusing on exploitation, but on the new energy industry.

It is known that in 2019, the Prime Minister approved the investment policy for two projects: Dung Quat I Combined Gas Turbine Power Plant and Dung Quat III Combined Gas Turbine Power Plant.

The investment objective of the above two projects is to provide a stable power source for the Central region's power system and the national power system, contributing to ensuring energy security and safe power supply for the system, synchronously developing with the Blue Whale Gas Project Chain.

The investment scale for the construction of each combined cycle gas turbine power plant has a capacity of about 750 MW. Both projects are implemented synchronously with the gas supply progress of the upstream project of the Blue Whale Gas Project Chain.

Of which, the Dung Quat I Combined Gas Turbine Power Plant project has a total investment (preliminary) of more than VND 18,663 billion; the Dung Quat III Combined Gas Turbine Power Plant project has a total investment (preliminary) of more than VND 17,538 billion. EVN's equity is 20% of the total project investment, EVN's commercial loan capital is 80% of the total project investment.

The Dung Quat II Combined Cycle Gas Turbine Power Plant project, invested by Sembcorp Utilities Pte Ltd (Singapore) under the BOT form with a capacity of 750MW, investment capital of about 793 million USD, uses gas fuel from the Blue Whale gas field.

According to the report from the People's Committee of Quang Ngai province on the implementation of the Dung Quat I and III Combined Cycle Gas Turbine Power Plant project, the Feasibility Study Report has been prepared. However, these two projects have not been submitted to the competent authority for approval to have a basis for implementing the next steps because the time of gas supply from the Blue Whale field has not been determined.

Regarding the Dung Quat II Combined Cycle Gas Turbine Power Plant project, the investor has prepared and submitted a feasibility study report, which was approved by the Ministry of Industry and Trade in Decision No. 4345/QD-BCT dated November 20, 2018.

"Currently, the investor is coordinating with the Ministry of Industry and Trade to carry out the next steps for the project, including signing the BOT project contract according to regulations," informed the People's Committee of Quang Ngai province.

Recently, at a working session with leaders of Quang Ngai province, Minister of Industry and Trade Nguyen Hong Dien also stated that all three gas-fired thermal power projects using gas from the Blue Whale mine are facing some difficulties.

According to the Minister, from Power Plan VII to now Power Plan VIII, it is still very vague.

“The reason is that the investor Exxon Mobil restructured the group's operations, not focusing on exploitation, but focusing on the new energy industry. But our previous regulations were very difficult to resolve. We cannot remove them, but we cannot keep them," said the Minister.

Faced with the above difficulties, Minister Nguyen Hong Dien suggested that Quang Ngai province and the Ministry of Industry and Trade propose to the Government to allow the implementation of the gas-fired thermal power plant project, but instead of using liquefied gas from the Blue Whale mine, switch to using imported liquefied gas.

"We must develop electricity to ensure energy for the country. When the Blue Whale mine is exploited, we will switch to using it again. If necessary, we will sign a contract to supply fuel for a limited period with a number of partners. Only then can we achieve the goals of the locality and the whole country," Minister Nguyen Hong Dien emphasized.

Source: https://baodautu.vn/giai-phap-tinh-the-cho-3-du-an-dien-khi-hang-chuc-nghin-ty-o-quang-ngai-d222541.html