Proposing the Prime Minister to hand over O Mon 3 and 4 gas power to PVN

Ministries and branches have proposed that the Prime Minister agree to transfer the two gas-fired thermal power projects O Mon 3 and O Mon 4, which are behind schedule, from EVN to PVN.

Deputy Prime Minister Tran Hong Ha agreed with the above proposal of ministries and branches at a meeting to remove obstacles for the gas-power project chain of Lot B O Mon, on May 29.

The O Mon 3 and 4 gas-fired power projects, part of the O Mon Block B gas-electricity project chain (Can Tho), are key projects that will ensure energy security when put into operation. However, these projects have been delayed for many years due to funding difficulties and disagreements on gas exploitation, transportation and use throughout the project life cycle.

EVN, the investor of these two projects, is facing great difficulties in using ODA capital for the O Mon 3 project and mobilizing commercial loans for the O Mon 4 project. This group is also facing difficulties in the mechanism for mobilizing electricity to the grid to ensure the consumption of all gas supply, while the cost of gas electricity production is higher than EVN's electricity selling price.

Deputy Prime Minister Tran Hong Ha said that "we cannot delay any longer" the implementation of these two gas-fired thermal power projects. "We must clarify the responsibilities of corporations, ministries and sectors to remove or propose solutions to difficulties and obstacles," the Deputy Prime Minister said.

He agreed with the proposal of ministries, branches, EVN and PVN on transferring these two projects to PVN as the investor. "The Ministry of Industry and Trade will work with EVN to closely monitor the situation, especially other difficulties of the group, to report to the Prime Minister," the Deputy Prime Minister added.

Deputy Prime Minister Tran Hong Ha speaks at a meeting to remove obstacles for the project in the O Mon Block B gas-power chain on May 29. Photo: VGP — Deputy Prime Minister Tran Hong Ha speaks at a meeting to remove obstacles for the project in the O Mon Block B gas-power chain on May 29. *Photo: VGP*

According to analysis, PVN has favorable conditions for capital mobilization, implementation capacity, as well as the ability to uniformly manage and synchronously operate the shared infrastructure of the project chain.

The Deputy Prime Minister assigned EVN to promptly transfer the work already implemented in these projects to PVN. The State Capital Management Committee at Enterprises and the Ministry of Industry and Trade will resolve financial and technical issues in the process of transferring the two projects and report to the Prime Minister on issues beyond their authority.

The Ministry of Planning and Investment instructed the People's Committee of Can Tho City on transferring the investment policy of 2 projects and proposed a solution to transfer ODA capital of the O Mon 3 project from EVN to PVN.

As for PVN, this group is assigned to complete procedures, mobilize capital to complete the investment preparation stage, select contractors to implement 2 projects. This group calculates the gas distribution in the O Mon Block B gas - power project chain to avoid risks, prepare for situations that may occur in the future, to ensure the effectiveness of the State's investment.

Mr. Minh

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