Norwegian-headquartered Scatec Solar has signed a strategic collaboration agreement with a Vietnamese energy company MT Energy (MTE) for 485 MW of Solar Photovoltaic (PV) –a technology converting sunlight into direct current electricity.
Scatec Solar’s scope of work under the agreement is to develop, finance, construct and operate large-scale solar projects covering three projects located in Binh Phuoc, Quang Tri, and Nghe An provinces.
With a total capacity of 485MW, the three projects are expected to be realised under a new feed-in tariff regime and are shceduled to be launched later this year.
Proposed by the Ministry of Industry and Trade of Vietnam (MOIT), the new feed-in tariff regime, designed to speed up the investment in renewable energy technologies, will range from 6.59 cents/kWh to 9.85 cents/kWh, depending on the project’s location and technology.
According to Scatec Solar’s press release on May 24, 2019 , the agreement between Scatec Solar and MT Energy will be presented to Nguyen Xuan Phuc, Vietnam’s Prime Minister, Torbjørn Røe Isaksen, Norway’s Minister of Trade and Industry as well as other high-level officials at a Vietnam-Norway business forum held in Oslo during PM Phuc’s official visit to Norway taking place on May 24, 2019.
Scatec Solar CEO Raymond Carlsen said: “With this partnership, we take the first step in positioning Scatec Solar for the growing solar market in Vietnam. As an affordable, fast and reliable source of energy, we believe solar energy has tremendous potential in Vietnam.”
Scatec Solar also announced that it is expected to contribute the project’s equity funding and take a role as the turn-key EPC provider providing Operation & Maintenance as well as Asset Management services to the three projects.
In early May 2019, Scatec Solar previously announced its achievement in entering the commercial operation for the 65 MW Jasin solar plant in Malaysia. Jasin solar plant is the second of three 65 MW solar plants worth approximately $300m and undertaken by Scatec Solar in Malaysia together with a local ITRAMAS-led consortium.