Petro Vietnam takes the lead

At the end of August 2023, within the framework of the Conference to promote the implementation of Vietnam - Singapore investment cooperation projects, the Ministry of Natural Resources and Environment of Vietnam granted a decision on approving the activities of monitoring, investigating, surveying, and evaluating marine resources (survey license) to a member unit of Petro Vietnam, to prepare for the development of an offshore renewable energy project in Vietnam, exporting clean electricity to Singapore.

Speaking at the event, Singaporean Prime Minister Lee Hsien Loong emphasized that Vietnam and Singapore have established a “Digital Economy - Green Economy Partnership”, creating conditions to promote cooperation in new areas, towards green and sustainable development such as renewable energy, based on science, technology, and innovation.

The fact that the PTSC (Petro Vietnam) – Sembcorp (Singapore) Offshore Renewable Energy Development Project received relevant licenses within the framework of the program has demonstrated the trust of the two governments in businesses in promoting cooperation in renewable energy development.

The Prime Ministers of Vietnam and Singapore witnessed the awarding of survey licenses for offshore wind power projects in Vietnam.

With the survey license, PTSC is currently the first and only investor in Vietnam licensed by the Ministry of Natural Resources and Environment to carry out activities of monitoring, investigating, surveying, and evaluating marine resources to develop offshore wind power projects in particular and offshore renewable energy in general.

This event also demonstrates the trust of the Party and Government leaders in Petro Vietnam and its member units in this new field in Vietnam.

This trust has a solid foundation, originating from the available resources of Petro Vietnam. After the country was unified, with the establishment of the General Department of Petroleum and Gas (the predecessor of Petro Vietnam) on September 3, 1975, Petro Vietnam was assigned the task of surveying and exploring oil and gas throughout Vietnam, including conducting 2D and 3D exploration and survey at sea to draw oil and gas maps and identify potential areas for the oil and gas industry to develop.

48 years of history in applying science and technology and implementing activities at sea have created a wealth of knowledge and experience to successfully complete the task of being the only unit capable of shouldering the pioneering responsibility in implementing a field that requires large resources, modern technology and high-quality human resources.

It can be said that, besides the navy, coast guard and fishermen, the Oil and Gas people are the "warriors" most familiar with the sea.

From designing drilling rigs to constructing, installing, managing and operating marine works, Petro Vietnam and its member units have effectively deployed them since the 80s and 90s of the previous centuries.

Petrovietnam General Director Le Manh Hung discussed with Mr. Wong Kim Yin - General Director of Sembcorp Industries (Singapore) about cooperation in developing green energy.

Besides, with the continuous development of science and technology, oil and gas workers have gradually accumulated experience, mastered technology, and have manufactured, installed, and operated oil and gas projects on the continental shelf of Vietnam.

Not only that, mechanical products manufactured under the Petro Vietnam brand have been exported to the world, contributing to bringing in large foreign currency revenue for the country. At the same time, it marked an important turning point of the Oil and Gas industry into a new stage of development, opening up new opportunities for Petro Vietnam.

Proactively strive to become a national energy industry corporation

Currently, Petro Vietnam is the largest economic group among state-owned enterprises (SOEs), playing a key role and position in the economy, contributing to ensuring energy security, economic security, food security as well as participating in maintaining national defense and security at sea.

With its great contributions, in the Draft Project on Developing Large-Scale State-Owned Enterprises, the Ministry of Planning and Investment stated that Petro Vietnam will be a "leading enterprise" that will promote its pioneering role and lead enterprises in other economic sectors, especially in the energy sector.

PTSC installs underground cables for Tan Thuan wind power project.

Mr. Le Manh Hung, General Director of Petro Vietnam shared: “ Energy transition is an extremely difficult task, requiring us to constantly learn and always be aware that it is an inevitable trend that cannot be changed, Petro Vietnam cannot stand aside ”. This is also the goal and mandatory task for Petro Vietnam - the key Industry-Energy Group of the economy.

With that pioneering mission, since 2019, Petro Vietnam has begun to develop plans and roadmaps related to energy transition in the spirit of continuous and long-term implementation.

Petro Vietnam and its member units have also made careful preparations for the energy transition process by producing and using alternative renewable energy sources.

The Group and its units have organized many scientific seminars to assess opportunities and prepare human resources and facilities to meet the ability to deploy offshore renewable energy projects.

Petro Vietnam also adjusted its strategy to 2030, with a vision to 2045, with the goal of striving to increase the total installed capacity to 8,000 - 14,000 MW by 2030 and the proportion of renewable energy sources to account for 5-10% of Petro Vietnam's total installed capacity. By 2045, Petro Vietnam strives to increase the installed capacity to 8-10% of the total capacity of the Vietnam Power System and the proportion of renewable energy sources to account for 10-20% of Petro Vietnam's total power source capacity.

The offshore renewable energy sector is a new field for many countries in the region as well as in the world. To implement these projects, in addition to having experience and capacity in designing and constructing offshore projects, another factor is needed: financial potential.

By the end of 2022, Petro Vietnam achieved a record revenue of nearly 1 million billion VND, leading and accounting for a large proportion of the total revenue of State-owned Corporations/Groups.

In particular, Petro Vietnam's credit rating being equal to the national credit rating is the basis for Petro Vietnam to arrange capital for projects conveniently and have access to green financial sources, low-interest loans, long grace periods as well as other incentives from the Government and international financial institutions supporting the development of green and clean energy.

With the available advantages, along with the trust of the Party, State and people for Petro Vietnam, it will be the most prestigious "certificate" to ensure that Petro Vietnam fulfills its pioneering mission in the field of offshore renewable energy, making an important contribution to the development of a green and sustainable Vietnam in the future.

Bao Anh

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