ADB, Phu Yen JSC sign Vietnam’s first certified green loan for 257 MW solar power project

VCN - The Asian Development Bank (ADB) and Phu Yen TTP Joint Stock Company (Phu Yen JSC) today signed a $186 million loan for the development and operation of a 257 megawatt (MW) solar power plant in Hoa Hoi, Phu Yen Province, Viet Nam, representing the country’s first certified green loan.
Vietnam among fastest growing economies in Asia despite COVID-19: ADB Vietnam among fastest growing economies in Asia despite COVID-19: ADB
ADB: Vietnam to lose 0.41% of GDP due to COVID-19 ADB: Vietnam to lose 0.41% of GDP due to COVID-19
0030-tyi-xuyng
Illustrative photo: internet

Phu Yen JSC is owned by B.Grimm Power Public Company Limited and Truong Thanh Viet Nam Group Joint Stock Company (TTVN).

The financing comprises a $27.9 million loan funded by ADB, a $148.8 million syndicated loan (B loan) funded by commercial banks with ADB as Lender of Record, and a $9.3 million loan provided by the Leading Asia’s Private Infrastructure Fund (LEAP). The B loan is the first green B loan in Asia and the Pacific certified by the Climate Bonds Initiative, and one of the largest B loans mobilized in Viet Nam. Participating commercial banks include Bangkok Bank, Kasikorn Bank, Kiatnakin Bank, Industrial and Commercial Bank of China, and Standard Chartered Bank. Green loans are used to fund new or existing projects that deliver environmental or climate-related benefits.

“ADB is committed to supporting B.Grimm, one of our most valued clients in the region, with its long-term expansion into Viet Nam and its important work in renewable energy. We’re also excited to work for the first time with TTVN,” said Infrastructure Finance Division Director for East Asia, Southeast Asia, and the Pacific at ADB's Private Sector Operations Department Jackie B. Surtani. “This project will support the rapid development of solar power capacity in Viet Nam, advance the country’s low-carbon growth goals, and, we hope, catalyze further commercial bank financing for renewable energy.”

The project is the largest single operating solar power plant in Viet Nam, one of the largest in Southeast Asia, and will help to reduce 123,000 tons of carbon dioxide annually. The power plant directly serves the electricity demand of Quang Ngai and Nha Trang cities and surrounding areas in a region emerging as one of Viet Nam’s key tourist centers.

“This transaction will support the development of clean and sustainable energy in Viet Nam and help promote the green loan market in Southeast Asia,” said B.Grimm Power President PreeyanartSoontornwata. “This project is a further demonstration of B.Grimm Power adopting international best practices, and this landmark green transaction is proof of our focus on doing business sustainably. We would like to express our sincere appreciation to ADB for their leadership role in the transaction, and to our B loan lenders whose invaluable support builds on our long-standing relationships forged over multiple transactions.”

“TTVN is proud to be the local partner for the development, construction, and operation of this solar farm in Hoa Hoi, Phu Yen,” said TTVN Chairman Dang Trung Kien.“TTVN has successfully worked with B.Grimm from day one to reach commercial operation within a short period, thereby contributing to the energy security goals of Viet Nam. We are pleased to see the project operating very well and value the partnership and support from ADB and participating commercial lenders in achieving this financing milestone in the Vietnamese renewables market.”

Established in 1993, B.Grimm Power is one of Thailand’s largest private power producers with a total capacity of 2.9 gigawatts, including 24 solar power plants. B.Grimm Power is part of the B.Grimm Group, which has 142 years of history doing business in Thailand.TTVN was established in 2012 and is involved in clean energy investment in Viet Nam. The company has an equity interest in three operating solar farms with a total capacity of 357 MW,and is also implementing wind and rooftop solar projects.

LEAP was established in 2016 with a $1.5 billion capital commitment from the Japan International Cooperation Agency. It is focused on delivering high quality and sustainable private sector infrastructure projects that reduce carbon emissions, improve energy efficiency, and offer accessible and affordable health care, education, and communication services to ADB’s developing member countries.

Wind power, solar power operating massively, worries about Wind power, solar power operating massively, worries about "clogging" of transmission
Solar Power Trading: Deadlock due to lack of clear regulations Solar Power Trading: Deadlock due to lack of clear regulations

Climate Bonds Initiative is an investor-focused not-for-profit, promoting large-scale investment in the low-carbon economy and also administers the international Climate Bond Standards and Certification Scheme.

By Huyen Trang

Related News

ADB: Vietnam

ADB: Vietnam's GDP growth forecast in 2023 is only 5.8%

VCN - According to the recently released report, the Asian Development Bank (ADB) has revised down its growth forecast for Vietnam in 2023 from 6.5% to 5.8% and from 6.8% to 5.8%. 6.2% in 2024.
ADB projects Vietnam to grow 7.5% in 2022

ADB projects Vietnam to grow 7.5% in 2022

The Asian Development Bank (ADB) has revised up its economic growth forecast for Vietnam to 7.5% this year, from 6.5% as projected in September, given regional and global gloom.
Bond yields rise in emerging East Asia

Bond yields rise in emerging East Asia

VCN - According to a report by the Asian Development Bank (ADB), aggressive monetary tightening in advanced economies has pushed up bond yields and worsened the downturn of financial conditions in emerging East Asia.
State Bank’ rate hike necessary to defend VN dong, control inflation: ADB Country Director

State Bank’ rate hike necessary to defend VN dong, control inflation: ADB Country Director

ADB Country Director Andrew Jeffries has talked to the Vietnam News Agency on the recent interest rate hike by the State Bank of Vietnam in the context of the Fed, ECB and a number of countries raising their rates to curb inflation.

Latest News

Increasing consumption demand, steel enterprises face many opportunities

Increasing consumption demand, steel enterprises face many opportunities

VCN - Vietnam's steel industry is benefiting from increasing domestic and export demand for steel. However, entering 2025, the industry still faces many challenges.
VN faced with increasing trade defence investigations on rising protectionism

VN faced with increasing trade defence investigations on rising protectionism

Việt Nam’s exporters faced a significant increase in the number of trade defence investigation cases this year, on the back of rising protectionism worldwide, according to the Ministry of Industry and Trade.
Việt Nam expects to officially export passion fruit to the US next year

Việt Nam expects to officially export passion fruit to the US next year

Negotiations on technical issues were already completed in August. Now, legal procedures are underway for the official export of fresh passion fruit to the US.
UK’s carbon tax to affect VN exports

UK’s carbon tax to affect VN exports

The UK’s carbon border adjustment mechanism will take effect in 2027.

More News

Removing obstacles in granting certificates of exploited aquatic products

Removing obstacles in granting certificates of exploited aquatic products

VCN - Prime Minister Pham Minh Chinh requested to review all regulations related to the organization and issuance of certificates of origin of exploited aquatic products (SC) at fishing ports, issuance of certificates of origin of exploited aquatic products (CC), and amend inappropriate regulations that cause difficulties and hinder production and business activities in the field of exploitation, processing and export of seafood.
Promoting agricultural exports to the Japanese market

Promoting agricultural exports to the Japanese market

VCN - Japan's high-quality standards have become a driving force for continuous improvement in Vietnamese agricultural products to meet global consumer expectations and build a strong brand for Vietnamese agricultural products on the world map.
Agricultural exports in 2024 to exceed 60 billion USD?

Agricultural exports in 2024 to exceed 60 billion USD?

VCN - The agricultural sector has basically achieved and exceeded the set targets when the export turnover of agricultural, forestry and fishery products in the first 11 months of 2024 reached 56.74 billion USD, up 19% over the same period in 2023, the trade surplus reached nearly 16.5 billion USD, up 52.8%. This year's agricultural exports are expected to exceed 60 billion USD if the export value in December reaches over 5 billion USD.
Seafood exports expected to exceed $10 billion in 2025: expert

Seafood exports expected to exceed $10 billion in 2025: expert

The achievement of the $10 billion export milestone in 2024 is attributed in part to efforts to open and strengthen connections with key markets such as the US and the EU.
Top 10 Reputable Animal Feed Companies in 2024: Efforts to survive the challenges of nature

Top 10 Reputable Animal Feed Companies in 2024: Efforts to survive the challenges of nature

VCN - In the Report announcing the Ranking of Top 10 Reputable Animal Feed Companies in 2024 on December 12, 2024, Vietnam Report Joint Stock Company said that Vietnam's animal feed industry has faced many challenges from natural disasters and epidemics. But overcoming all, the industry continues to survive and has confidence in the future.
Vietnam's import-export surges 15.3%

Vietnam's import-export surges 15.3%

Vietnam's total import-export turnover reached 745 billion USD as of December 14, marking a robust 15.3% growth compared to the same period in 2023, according to the General Department of Vietnam Customs.
More Vietnamese firms interested in Saudi Arabia: Ambassador

More Vietnamese firms interested in Saudi Arabia: Ambassador

An increasing number of Vietnamese enterprises are showing interest in Saudi Arabia, particularly in the sectors of Vietnam's advantages and the Middle East country's needs, a diplomat has said.
“Give and Take” in the Value Chain of the CPTPP Market

“Give and Take” in the Value Chain of the CPTPP Market

VCN - Vietnamese businesses have many opportunities and advantages if they take advantage of resources from imports and technology transfers when joining the supply chains of FDI companies within the CPTPP.
Binh Dinh province works to attract investment from Japan

Binh Dinh province works to attract investment from Japan

The People’s Committee of Binh Dinh province on December 18 inked a cooperation deal with the Japan - Vietnam Friendship Association of Sakai city as part of the south-central province’s efforts to attract more investment and development resources from the Northeast Asian country.
Read More

Your care

Latest Most read
Increasing consumption demand, steel enterprises face many opportunities

Increasing consumption demand, steel enterprises face many opportunities

VCN - Vietnam's steel industry is benefiting from increasing domestic and export demand for steel. However, entering 2025, the industry still faces many challenges.
VN faced with increasing trade defence investigations on rising protectionism

VN faced with increasing trade defence investigations on rising protectionism

Việt Nam’s exporters faced a significant increase in the number of trade defence investigation cases this year, on the back of rising protectionism worldwide, according to the Ministry of Industry and Trade.
Việt Nam expects to officially export passion fruit to the US next year

Việt Nam expects to officially export passion fruit to the US next year

Negotiations on technical issues were already completed in August. Now, legal procedures are underway for the official export of fresh passion fruit to the US.
UK’s carbon tax to affect VN exports

UK’s carbon tax to affect VN exports

The UK’s carbon border adjustment mechanism will take effect in 2027.
Removing obstacles in granting certificates of exploited aquatic products

Removing obstacles in granting certificates of exploited aquatic products

Prime Minister Pham Minh Chinh requested to review all regulations related to the organization and issuance of certificates of origin of exploited aquatic products (SC) at fishing ports
Mobile Version