Four local commercial banks have teamed up to provide a credit worth 14.5 trillion VND (690.47 USD) for the Lai Chau hydroelectricity project in northern Lai Chau province.

A contract on the credit was signed in Hanoi on July 10 by Vietcombank, Vietinbank, BIDV and Agribank with Electricity of Vietnam (EVN).

The plant is rested on the Da river in Muong Te district and preparatory work to block off the river began in early 2011.

EVN is the main investor in the 1,200MW project, worth 35.7 trillion VND (1.8 billion USD). It will be the third biggest power plant in Vietnam, just behind Son La and Hoa Binh.

The first turbine is expected to run in early 2016 and the plant is estimated to produce 4,670 million kWh of electricity annually on average.

It will also improve irrigation in downstream areas, especially in the dry season.

At the signing ceremony, EVN General Director Pham Le Thanh said the group needs 100 trillion VND (4.65 billion USD) each year to invest in electricity projects.-VNA