Chairman of the Yen Bai provincial People's Committee Tran Huy Tuan presented a decision approving investment policy for the Yen Bai 1 biomass power plant project to Representative Director and President of Erex Co. Ltd Honna Hitoshi in Tokyo on May 8.
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At a ceremony to grant investment approval decision to Erex |
The official stressed that the project matches the local socio-economic development plan and the national green growth strategy. It will also contribute to the realization of the Government's commitment to achieving net-zero emissions by 2050. Notably, it is the first electricity project in Yen Bai to receive approval since the adoption of Vietnam's Power Development Plan VIII in 2023.
He also affirmed Yen Bai's commitment to supporting Erex throughout the project lifecycle, underlining the importance of harmonizing interests and sharing risks to ensure mutual benefit for both sides.
Hitoshi, for his part, said the plant will be built on an area of around 10ha in the Bac Van Yen industrial cluster, with a total estimated capital of 100-120 million USD.
Scheduled for operation in early 2027, it will generate 50MW of electricity, with around 45MW supplied to the national grid. It is expected to use nearly 500,000 tonnes of wood scraps and by-products as fuel annually, he added.
This milestone heralded Erex's second foray into the realm of biomass power development in Vietnam. Its first plant, boasting a capacity of 20 MW, is now under construction in the Mekong Delta province of Hau Giang and slated for operation later this year.
A representative further revealed the company's expansion plan of generating over 1,000MW of biomass power across 18 locations in Vietnam.
Source: VNA