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Vietnam Energy Forum

Inaugurating Song Hau 1 Thermal Power Plant

 - On the afternoon of July 16, in Hau Giang province, Prime Minister Pham Minh Chinh attended the inauguration ceremony of Song Hau 1 Thermal Power Plant, invested by Vietnam National Oil and Gas Group (PVN).
Inaugurating Song Hau 1 Thermal Power Plant
Prime Minister Pham Minh Chinh and the delegation visited the factory's central control room - Photo: VGP/Nhat Bac.

Song Hau 1 Thermal Power Plant is developed in Mai Dam town, Chau Thanh district, Hau Giang province, belonging to Song Hau Power Center. The power plant consists of 2 units, with a total capacity of 1,200 MW, general EPC contracted by the Vietnam Machinery Erection Corporation (LILAMA), using advanced technology and modern equipment.

The total investment in the power plant was more than 43,000 billion VND (equivalent to about 2 billion USD), the project started in May 2015, and completed relevant procedures and was recognized and put into commercial operation from May 6, 2022. Up to now, the project supplied the National power system with over 2 billion kWh of electricity (including electricity output in the commissioning phase). The plant will contribute to meeting the load demand of the Southwest region and the whole country.

Although the project was implemented in the context of many obstacles and difficulties, especially due to the COVID-19 pandemic, with the attention and direction of the Government, ministries, central and local authorities, the investor, general contractor, sub-contractors, and the staff and workers directly on the construction site gradually overcome difficulties in order to construct and complete all work items according to the design.

The completion of Song Hau 1 Thermal Power Plant with ensuring quality and safety is an important premise for implementing the next power projects of PVN and developing the strategy of Vietnam's oil and gas industry, including power projects. In addition, it is an important basis to mark the outstanding success of Vietnamese contractors in promoting internal resources, taking on the role of general contractor for the power projects with a large capacity.

PVN is committed to operating the power plant safely, stably and efficiently and to better coordinate with EVN in optimally mobilizing the power generation of the plant and with local authorities in ensuring security and safety, social security and environmental protection policies for people in the project area.

Currently, the total installed capacity of PVN's power plants is 5,405 MW, accounting for more than 7% of the total installed capacity and about 10% of the total electricity output of the entire national power system. This result firmly affirms the role and position of PVN as the second largest electricity producer in Vietnam.

Speaking at the event, Prime Minister Pham Minh Chinh warmly praised PVN's officers, engineers, workers, and general contractors for participating in the direct construction site, ensuring progress, and meeting the requirements for quality and environmental protection. The party committees, authorities of Hau Giang province, and people in the project area actively supported and created conditions for PVN in the process of investing and contracting the plant.

The Prime Minister evaluated the very important event that overcome difficulties caused by Covid-19, disputes regarding the legal procedures and costs. Putting Song Hau 1 power plant into operation contributed to ensuring energy security - one of the large balanced factors of the economy in the current difficulties contributed to promoting growth and economic structure transition of the country and Hau Giang province towards industrialization.

The annual turnover of the project should be expected about 15-20 billion VND which will contribute an important part to the turnover of PVN and pay consideration volume for national and local budgets.

In Song Hau 1 construction progress, it was saved 500 billion VND compared to the approved total investment which shows Vietnamese human resources strongly grow up. Song Hau 1 thermal power plant uses state-of-the-art and friendly environmental equipment.

“In recent time, competent authorities conclusively direct to handle the weak, prolong projects to put them into operation as Thai Binh 2, Song Hau 1 thermal power plants. In the coming time, MOIT, Committee for capital management in Enterprises, relevant agencies and enterprises continue to handle the thermal power plants as Long Phu 1 (in Sok Trang province), projects of Lot B chain and O Mon thermal power plants (Can Tho city) in direction spirit of the Prime Minister (PM) at recent meetings”, the PM asked.

PM required the relevant agencies to develop plans for smart using electricity, operate Song Hau 1 power plant in safety, stability and efficiency, Hau Giang Provincial Peoples Committee to update and adjust planning related to suitable and efficient plan and planning development combined with advantage potential for more rapid sustainable development contributing to improving daily life standard ò the people.

PM expressed that, in recent times, we have paid attention to allocating much capital for developing the electricity industry. With our efforts, so far the national power system ensures sufficient electricity supply to meet the development needs of the country with increasing quality and reliability. Today, Vietnam reaches a total power capacity of over 76,000 MW and is one of the leading countries in Southeast Asia.

The PM emphasized that the planning and development of power projects must follow the public, transparent and scientific direction on all 5 factors power plants, transmission grids, distribution networks, electricity use, and electricity price). It is to comprehensively consider arranging power plants in accordance with the specific characteristics of each region, and locality, for the common interests of the country and the people.


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