A commercial contract worth 16.5 million USD on supply of materials and equipment for the Pleiku-Phu Lam 500kV power line upgrading project has been signed between the National Power Transmission Corporation, an arm of the Electricity of Vietnam (EVN NPT), and the General Electric Digital Energy (GE) company of the US.

Under the contract, GE will supply six series capacitor banks to EVN NPT and an on-site supervision service package for installation testing and commissioning.

The project utilises GE's latest fuseless capacitor technology to enable a 100 percent increase in the current capacity of the existing transmission lines and installed infrastructure.

According to Dang Phan Tuong, Chairman of the Board of Management of EVN NPT, the transmission line, which is 500km in length, is the backbone of Vietnam 's north-south power transmission. Increasing the capacity of the line to transmit power to 2,000 from 1,000 ampere plays an important role in ensuring electricity supply to the southern areas.

When it comes into operation in 2013, the project is expected to add approximately 800MW to the capacity of the south, Tuong said.

GE Digital Energy President in Asia Pacific Kenji Uenishi said the stable power infrastructure is vital to supporting economic growth.

He stressed that GE's advanced equipment and services and close partnership with local partners will help Vietnam manage power needs more efficiently, in line with the country’s efforts to enhance its current infrastructure.

This is the second equipment supply contract EVN NPT has signed with GE since 2011. The first worth 11.5 million USD between the two sides has been completed.-VNA