Denmark-based Ørsted, the world’s most sustainable energy company, and T&T Group, one of Vietnam’s leading companies with activities in several industries and 80,000 employees, signed on 9 September a letter of intent to launch a strategic partnership on offshore wind in Vietnam, according to this press release.
The signing took place in connection with an official visit to Brussels, which was led by the President of the Legislative Assembly of Vietnam, His Excellency Vuong Dinh Hue.
The collaboration between Ørsted and T&T brings together a multi-gigawatt portfolio of development projects within offshore wind. The projects are located off the coast of Binh Thuan and Ninh Thuan provinces, which are some of the most suitable areas in Vietnam for offshore wind development. Together, the Parties will mature the portfolio of offshore wind projects and work to support the development of an effective regulatory framework for offshore wind as part of a vibrant new industry in Vietnam.
With more than 3,200 km of coastline and high wind speeds, Vietnam has some of the best conditions for developing offshore wind in Asia. The World Bank estimates that Vietnam’s potential in offshore wind is as large as up to 500 GW. In addition to this enormous potential, the rapidly growing demand for electricity in Vietnam means that in the coming decades there will be an urgent need for new stable energy sources on a large scale. Combined with Vietnam’s great potential in the supply chain, these factors have convinced Ørsted and T&T Group that offshore wind will play a central role in Vietnam’s future energy mix.
Do Quang Hien, CEO, and CEO of T&T, says, “Ten years ago, we started researching and preparing for the development of renewable energy so that we could be ready when the time came. As a result, T&T has completed several major solar energy projects and is well on its way to completing five major onshore wind projects by the end of 2021. Energy is a strategic focus area for the T&T Group, and we look forward to accelerating our plans and adding valuable knowledge and international investment to the Vietnamese offshore wind industry, in collaboration with Ørsted, the world’s leading company in offshore wind. “
Martin Neubert, Commercial Director and Deputy CEO of Ørsted, says, “As the world’s leading company in offshore wind, Ørsted’s goal is to reach an offshore wind capacity of 30 GW by 2030. To support this ambitious expansion, we must work closely with partners such as T&T, which has in-depth experience in developing major energy projects in Vietnam and which can contribute to a deep understanding of the market. Our mission is to create a world that runs solely on green energy and it requires strong support, so it is a great pleasure for an industry leader like T&T to join us in creating a more sustainable future in Vietnam. “
Matthias Bausenwein, Regional Director for Ørsted in Asia and the Pacific, says, “This declaration of intent is a major step for Ørsted in establishing a strong foothold in Vietnam and showing our ambition to be a reliable, long-term partner in the country. Together with T&T, we look forward to using our multi-GW portfolio to build a thriving local offshore wind industry and to make Vietnam one of the leading offshore wind markets in Asia and the Pacific, believing that offshore wind is one of the best ways to Vietnam can meet its rapidly rising electricity consumption, as it is a reliable and national source of energy on a commercial scale, which can be competitive with coal and gas-fired power plants if implemented on a large scale and under the right regulatory framework. “