Vinacomin focus on production
The Vietnam National Coal and Mineral Industries Group (Vinacomin) was right to invest in power production. To date, Vinacomin has had five thermal power plants with total capacity of 1,550MW operating effectively, contributing more than five percent of the country’s total power output. It is expected to account for 10 percent or more by 2025.
Vinacomin planned to build thermal power plants near some coal mines such as Khanh Hoa in Thai Nguyen Province and Na Duong in Lang Son Province when coal mining was more of a priority.
In early 2002, the group’s two first thermal power projects including Cao Ngan with total capacity of 115MW and Na Duong with total capacity of 100MW began construction and both came into commercial operation a year later, addressing power shortages and shaping the first coal-power combination.
Several other thermal power projects such as Son Dong (220MW), Cam Pha 1 and 2 (680MW), and Dong Trieu (440MW) were also built in the following years. All the thermal power plants adopted circulating fluidized bed boiler technology allowing the use of poor quality coal in power generation. This technology has proved effective in recent years as demand for power has increased and coal consumption fallen. Vinacomin has so far become one of largest domestic coal consumers and one of the country’s significant power producers.
Seeing Vinacomin’s effective investment in thermal power development, the Ministry of Industry and Trade issued Decision 5211/QD-BCT in September 2009 to establish the Vinacomin-Power Holding Corporation Limited with charter capital of VND6.8 trillion.
According to Vinacomin’s statistics, the Vinacomin-Power Holding Corporation Limited reached nearly 5.06 billion kWh in power output for the first seven months of this year and achieved VND7.131 trillion in power sales revenue, contributing significantly to its total 7 month sales revenues of VND60.3 trillion or 57 percent of the annual plan.
The corporation has been assigned to deploy a number of other thermal and hydro power projects such as Nong Son, Dong Nai 5, Na Duong 2, Cam Pha 3, Quynh Lap 1, and Hai Phong 3. This year, the corporation has invested VND1.517 trillion in the expansion, upgrading, and finishing of the Mao Khe, Son Dong, Cam Pha 1 and 2 thermal power plants. It is expected to account for 10 percent or more of the country’s total power output by 2025 when all of its 16 power projects enter operation