Investment policy delays, risks of “power waiting on the line” for the decommissioning project of Nhon Trach 3 thermal power plant.

Despite the limited time remaining to complete the project, the approval for the investment proposal for the NMND Nhon Trach 3 power transmission line project in Dong Nai province has not been granted.

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Executing the cluster of projects to release the capacity of Nhon Trach 3 and Nhon Trach 4 power plants is currently facing many obstacles in terms of land clearance – Photo: VGP/Toan Thang

Risk of ‘waiting for transmission lines’

Nhon Trach 3 and 4 power plant projects are important electricity supply projects contributing to ensuring the power supply for the Southern region and enhancing the stability and reliability of the national power system.

The projects are assigned to the Vietnam Oil and Gas Electricity Corporation, a member of the Vietnam National Oil and Gas Group, as the investor. According to the plan, the projects will be completed and put into operation by mid-2025.

To release the capacity of these projects, the National Power Transmission Corporation (EVNNPT) has assigned the Project Management Board of Power Transmission to urgently implement the investment and construction of the 220kV Nhon Trach 3 – My Xuan – Cat Lai transmission line project to release the capacity of Nhon Trach 3 to the national power system.

Mr. Le Ba Quy, Director of the Nhon Trach 3 and 4 Power Projects Management Board, said that as of now, the basic construction work meets the schedule. The important items of the project have almost been completed. The Turbine unit, known as the “heart” of the power plant, has been installed and is being accelerated by foreign experts and domestic experts to install accessories to complete this item.

It is expected that Nhon Trach 3 power plant will be completed and put into commercial operation in November 2024 and Nhon Trach 4 power plant in May 2025.

The progress of the Nhon Trach 3 project is “on track” to reach the target, but this power plant is facing the risk of not being able to release its full capacity due to the 220kV Nhon Trach 3 – My Xuan – Cat Lai transmission line project which has not been approved for investment policy and approved the investor in accordance with the law.

Therefore, there is a high chance that the progress of releasing the capacity of Nhon Trach 3 to the national power system (first synchronization on May 9, 2024, commercial operation (expected) in November 2024) will not be guaranteed. If this happens, it will waste the state’s resources and reduce the efficiency of the project that uses the first and most modern imported LNG fuel in Vietnam at this time.

Leaders of EVNNPT hear reports on difficulties and obstacles in the implementation of the 220kV Nhon Trach 3 – My Xuan – Cat Lai transmission line project – Photo: VGP/Toan Thang

Early approval of investment policy needed

To ensure the urgent progress of the 220kV Nhon Trach 3 – My Xuan – Cat Lai transmission line project to release the capacity of Nhon Trach 3 to the national power system, EVNNPT recommends the Dong Nai Provincial People’s Committee to direct the Department of Planning and Investment of Dong Nai province to urgently review, consult and submit to the Provincial People’s Committee for approval the investment policy, and approve the investor as EVNNPT for the “220kV Nhon Trach 3 – My Xuan – Cat Lai Transmission Line” project in March 2024.

Given the urgent nature of the projects, the Government Office recently issued a document conveying the opinion and direction of Deputy Prime Minister Tran Hong Ha on resolving difficulties in implementing the power grid projects to release the capacity of Nhon Trach 3 and Nhon Trach 4 power plants.

Accordingly, the Dong Nai Provincial People’s Committee was directed to urgently complete the adjustment of related regulations according to the law, ensuring that the progress of releasing the capacity of Nhon Trach 3 and Nhon Trach 4 is not affected.

Regarding this project, the Ministry of Industry and Trade has sent a document to the Dong Nai Provincial People’s Committee, emphasizing that the Nhon Trach 3 and Nhon Trach 4 projects are important electricity supply projects contributing to ensuring the power supply for the Southern region and enhancing the stability and reliability of the power system, which must be completed and put into operation in the 2024-2025 period to timely supplement the supply, meet the increasing load demand of the Southern region, ensure the safety of the power system and the stable development of the socio-economic situation.

For the project of power transmission lines to release the capacity of Nhon Trach 3 and Nhon Trach 4 (including the 220kV Nhon Trach 3 – Long Thanh 500kV Substation, Nhon Trach 4 – Phu My – Nha Be 500kV Transmission Lines, Nhon Trach industrial park 220kV Substation and connect, 220kV Nhon Trach 3 – My Xuan – Cat Lai Transmission Line), the Ministry of Industry and Trade proposes the Dong Nai Provincial People’s Committee to direct the provincial specialized agencies and local authorities to coordinate with EVN and related units to promptly handle difficulties and obstacles in the local adjustment of the construction planning in Nhon Trach district, approve the investment policy, and approve the investor and land clearance for the projects, and hand over the land to the investor for implementation according to the progress, ensuring the release of the full capacity of the Nhon Trach 3 and Nhon Trach 4 power plants when put into commercial operation.

SOURCEcafef
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