The power sector has become increasingly attractive to foreign investors with a large number of foreign-invested projects taking shape nationwide, the Dau Tu (Investment) newspaper reported.

In late May this year, Thailand’s One Asian signed a memorandum of understanding (MoU) with the central province of Quang Tri to build a 1,200 megawatt thermal power plant at an estimated cost of 2.4 billion USD.

The project is scheduled to commence in 2017 and finish in 2019.

One Asian has also shown interest in developing an energy complex in the Southeast Economic Zone in Quang Tri, which links the My Thuy deep-water seaport and thermal power plants.

The firm is also keen on building gas power plants to make full use of offshore gas fields with total estimated reserve of over 30 billion cubic metres in the central region of Vietnam.

Quang Tri has also attracted another Thai investor, EGATi, who has invested in a 1,200 megawatt thermal power plant worth 2.26 billion USD.

In the middle of last year, the Ministry of Industry and Trade and EGATi signed an MoU on implementing the project in the form of BOT (build-operation-transfer), which is scheduled to be completed in 2021.

At the end of May this year, representatives from the Republic of Korea’s Posco Group toured the central province of Nghe An to study investment possibilities for the Quynh Lap 2 thermal power project as part of its efforts to expand its energy business portfolio in Vietnam.

The 1,200-megawatt Quynh Lap 2 project is part of the Quynh Lap thermal power project, which covers 283 hectares in Dong Hoi industrial park. The project has a total capacity of 2,400 megawatts, with four 600-megawatt turbines.

Meanwhile, the Vietnam National Coal-Mining Corporation is making preparations to launch the Quynh Lap 1 thermal power project.

Posco has previously signed an MoU with the northern coastal province of Quang Ninh on a 1,200-megawatt BOT thermal power project with a total cost of 2 billion USD following the success of its investment in the Mong Duong 2 thermal power plant in Quang Ninh.

Among 86 projects included in the 7th Power Master Plan for 2011-20, 18 are available for foreign investment, leading to fierce competition among foreign firms.

Besides some licensed projects including Phu My 3, Phu My 2, Mong Duong and Vinh Tan 1, many are waiting for procedures.

During the Vietnam Business Forum (VBF) earlier this month in Hanoi, the VBF working group for infrastructure voiced their concerns on complicated procedures in conducting BOT projects in the power sector, including regulations related to the implementation of a decree on public-private partnership (PPP).

The Government has urged accelerating the implementation of the 7th Power Master Plan.