The French Development Agency (AFD) will finance 100 million USD for the 520MW Huoi Quang hydropower project in the northwestern region.
A financing agreement to this effect was signed between representative from the Electricity of Vietnam (EVN) and the French Development Agency (AFD) in Hanoi on Nov. 9, according to the French Embassy in Vietnam.
The project concurs with France’s cooperation orientations with Vietnam.
The Huoi Quang hydropower project is located on Nam Mu River, a tributary of Da river in the northwestern province of Lai Chau.
It is one of the priority projects listed in the 6th Master Plan for Power Development in Vietnam for the period 2006-2015, with a vision toward 2025.
The project is expected to improve the reliability and the availability of power resources and contribute to both the reduction of energy production costs and the economic development of the northern region.
Moreover, the project will diversify energy production sources by replacing fossil sources of energy, such as coal, oil, by renewable ones, thus helping to reduce the production of greenhouse gases and other resulting pollutants.
The first turbine is expected to be put into operation by December 2014 and the second one by April 2015./.
