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The overall progress of the Thai Binh 2 Thermal Power Plant project is currently more than 84 percent. Photo: PVN

Overall progress of more than 84 percent

Thai Binh 2 Thermal Power Plant project has a total investment (2nd adjustment) of more than VND 41 trillion, so far the overall progress reaches more than 84 percent. In particular, most of the main construction items of the project have been basically completed and are in the stage of completion.

According to the Vietnam Oil and Gas Group (PVN), the specific progress of the project is as follows: Design reaches 99.6 percent; signing the contract of procurement reaching 99.71 percent; processing, manufacturing and transportation reached 93.89 percent; construction of 82.2 percent and test run 3.6 percent.

This is one of the typical slow progress projects of PVN. According to PVN, up to now, the project has recorded some achievements, including important milestones in construction work. Specifically, from September 23 to September 26, Thai Binh Thermal Power Plant Project 2 successfully energised the T3 transformer and conducted 72 hours of electrical immersion.

At 9 o'clock on October 29, the general contractor and the test experts successfully energised the 933A, B circuit breakers from 220kV grid. The national electricity system was supplied to the medium and low voltage for trial operation of the plant. This self-powered power source is used to test plant systems such as water treatment system, air-conditioning system, fire protection system, auxiliary boiler system, etc.

To achieve these milestones, related work items such as 220kV distribution yard, Central Control House, medium voltage, low voltage electrical system, etc. must all be completely installed beforehand to be ready for receiving reverse power.

“These are very important items that are considered the heart of the factory. Successful energising ensures a more stable and higher quality power source for commissioning,” PVN said.

Still cannot solve the "vital" problem

Although there have been some new developments, according to PVN, during implementation, the Thai Binh 2 Thermal Power Project has encountered difficulties in many aspects, especially issues such as: Slow cash flow, difficulties in arranging capital and shortage of human resources, especially highly qualified human resources.

In addition, the recommendations of PVN to the Government to remove the financial mechanism for the project, though agreed by the ministries and branches, have not been finalised by authorities in solving difficulties and problems of the project, especially recommendations on the use of equity in excess of the capital structure ratio of the project.

"This is a vital issue to bring the project into operation in 2020, ensuring the effectiveness of the project for the national electricity source, contributing to the overall economic development of the country," PVN stated.

At the end of July, the Steering Committee of the national key electricity projects, Minister of Industry and Trade Tran Tuan Anh and the State Capital Management Committee at the enterprise and Relevant agencies and agencies had a direct meeting at Thai Binh 2 Thermal Power Plant project.

Speaking at the meeting, Tran Sy Thanh, Chairman of PVN's Board of Directors, said: “Currently, finance is one of the four main issues at Thai Binh 2 Thermal Power Plant. Everything requires money. If there is no early decision, the project will close early.”

Also according to Thanh, the project has many difficulties and Vietnam Petroleum Construction Joint Stock Corporation (PVC) has made many violations. In addition, when the financial institutions cut credit, the project can no longer borrow. However, it is more dangerous to replace a general contractor for a project. Currently, PVN has directly taken part in, directed and operated all issues from people, capital, and planned to carry out when they have money.

In the coming time, PVN said that, besides the efforts of PVN, the Project Management Board, it is necessary to pay close attention, close decisions and timely resolution of authorities to achieve the goals of commercial generating of unit 1 in December 2020 and unit 2 in the first quarter of 2021 as requested by the Prime Minister stated in the resolution of the Government's regular meeting of August 2019.