The Ultimate Guide to Vietnam’s Hydropower Sector: Unveiling the 7.5 Trillion VND Project with a Nearly 100-Meter-High Dam and the Upcoming 3.4 Trillion VND Investment Plan.

The Tuyen Quang Hydropower Plant boasts an impressive water reservoir, capable of supplying the entire population of Vietnam with their water needs for a hundred days. The plant's electricity production is also remarkable, providing enough power for 1.1 million households annually. This makes the plant a vital and invaluable asset to the country's energy infrastructure.

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The Tuyen Quang Hydropower Plant, located in Tuyen Quang Province, sits on the Gam River and began construction in late 2002, officially joining the national power grid in 2008. It is the fifth-largest hydroelectric plant in Northern Vietnam.

With a total investment of up to VND 7,500 billion, the project is led by Vietnam Electricity (EVN) as the investor and Song Da Corporation as the contractor.

The Tuyen Quang Hydropower Plant boasts a 97.3-meter-high dam, equivalent to a 30-story building. Its reservoir can hold up to one billion cubic meters of water, which could supply the entire population of Vietnam with 100 liters of water per person per day for 100 days.

The Tuyen Quang Hydropower Plant has three primary functions: flood control for the Red River Delta and Tuyen Quang City, power generation for the national grid, and water supply during the dry season for the Red River Delta.

Although power generation is its secondary function, the plant contributes significantly to the national power system with three generators and a total capacity of 342MW. The average annual electricity production is nearly 1.33 billion kWh, which could supply 1.1 million households with 100 kWh per month for a year.

As of September 2023, after approximately 15 years of operation, the Tuyen Quang Hydropower Plant has delivered 20 billion kWh to the national power grid. The Tuyen Quang Hydropower Company has also contributed over VND 3,000 billion to the state budget, with over VND 2,419 billion contributed locally.

Since its inception, the Tuyen Quang Hydropower Plant has effectively served as a multi-purpose hydroelectric project. However, due to the annual requirement to maintain flood control capacity for downstream areas, the plant often has to discharge excess water, resulting in wasted water resources.

From 2008 to 2023, the total amount of water discharged through the plant was 14.5 billion cubic meters, equivalent to 1.9 billion kWh (approximately VND 2,000 billion in tax-calculated value). The year with the highest discharge was 2017, with a total discharge of 3.48 billion cubic meters and corresponding electricity production of over 498 million kWh (equivalent to VND 500 billion in tax-calculated value)

Consequently, the Tuyen Quang Hydropower Plant expansion project has been proposed, including four options with a preliminary total investment of VND 3,400 billion for a single generator with an installed capacity of 120 MW. This expansion will increase the plant’s total capacity from the current 342 MW to 462 MW.

The expansion of the Tuyen Quang Hydropower Plant will not only enhance the system’s capacity but also increase the reserve power for contingencies, reducing the overall electricity generation cost. Additionally, the expanded hydropower plant will be environmentally friendly.

The Tuyen Quang Hydropower Plant is not the only one being considered for expansion; several other plants are also undergoing expansion studies. Notably, in 2021, the expansion project for the Hoa Binh Hydropower Plant was inaugurated.

The Hoa Binh Hydropower Plant expansion project has a total investment of over VND 9,200 billion and is led by the Vietnam Electricity Group (EVN). It is expected to generate electricity for the first unit in June 2025 and the second unit in July 2025.

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