The signing ceremony of four memorandums of understanding between the La Gan Wind Power Development Corporation and four Vietnamese suppliers - PHOTO: EMBASSY OF DENMARK IN VIETNAM
HCMC – Four Vietnam-based contractors--CS Wind Corporation, PTSC Mechanical and Construction, Southern Petroleum Construction JSC and Vietsovpetro--will provide foundation and harbor services for the La Gan offshore wind farm project in the central province of Binh Thuan.
On February 24, the La Gan Wind Power Development Corporation, the developer of the 3.5-gigawatt offshore wind farm project owned by Copenhagen Infrastructure Partners, Asiapetro and Novasia, virtually signed four memorandums of understanding (MOUs) on foundation supply and harbor services with the four contractors, the Embassy of Denmark said in a statement.
The supply of foundations and harbor infrastructure is among the most critical elements of the offshore wind supply chain. The cooperation between the La Gan offshore wind farm project and the four suppliers will contribute to the ongoing efforts to localize the Vietnamese offshore wind supply chain as well as help build the capacity of local suppliers to compete in the international market.
Under the MOUs, the La Gan offshore wind farm project and suppliers will work together to promote offshore wind power in Vietnam. In addition, the project will facilitate knowledge transfer and provide advice on the foundation’s design, facility layouts, logistics and infrastructure requirements, which will enable the suppliers to take the offshore wind market to international standards.
Kim Højlund Christensen, ambassador of Denmark in Vietnam, said in the statement, “One of the key priorities in our long-term cooperation with Vietnam is to support green development and a green transition in the country’s energy sector.”
The development of foreign investment projects such as La Gan will contribute to further expanding and intensifying Denmark’s close cooperation with Vietnam in knowledge sharing and capacity building for industry experts and practitioners, especially in the offshore wind supply chain, he added.
According to an economic impact study by international experts from BVG Associates-the World Bank’s consultants-the La Gan offshore wind farm project will contribute more than US$4.4 billion to the Vietnamese economy and create over 45,000 full time equivalent (FTE) jobs in Vietnam, where an FTE is a job for a year. The localization rate is projected to be 45% of the full supply chain of the project.
Maya Malik, CEO of La Gan Wind Power Development Corporation, said the signing with the four Vietnamese suppliers confirmed the firm’s serious commitment to facilitate knowledge transfer and promote the localization of the offshore wind industry in Vietnam. The firm wanted to ensure that its investments pass onto the local economy and the Vietnamese people, wherever feasible.
The engagement of the four local suppliers also shows the dedication of local industry leaders to invest in offshore wind energy and to support the Vietnamese Government’s vision for green energy transformation, she added.
With a potential capacity of 3.5 gigawatts, the La Gan offshore wind farm project is one of the first large offshore wind farm projects in Vietnam. It is expected to improve Vietnam’s profile in renewable energy in the region and the world as a whole.
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- US$10 billion offshore wind power project to be developed central Vietnam
- MoU signed to develop a 3.5GW offshore wind project
- Site investigation contracts signed for 3.5 GW offshore wind power plant
- Danish firm eyes $10-billion offshore wind project in Binh Thuan
- German company plans to build offshore wind farm in central Vietnam
- $10-billion offshore wind project signs major site investigation contracts