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Vietnamese Government acts as guarantee for Duyen Hai 3 TPP xpansion to borrow foreign loan

Vietnamese Government acts as guarantee for Duyen Hai 3 TPP xpansion to borrow foreign loan - 

The Prime Minister directed Ministries of Finance, Justice,Industry and Trade, State Bank and Electricity of Vietnam (EVN) on guarantee for Duyen Hai 3 TPP Expansion to borrow foreign loan.

The Prime Minister will approve the guarantee for the project condition that EVN signs a contract for assets formed in future as security with the Ministry of Finance before granting

guarantee in accordance with the regulations of current law on the government guarantees. EVN to commit 15% equity in a written commitment with the Ministry of Finance before granting the guarantee with a fee level of 0.25% per year on the debt balance of the guarantee loan.

Ministry of Industry and Trade to monitor financial situation and closely supervise the project implementation of EVN and report the Prime Minister as soon as there are signs of financial difficulty.

The Prime Minister to approve the content of the letters of guarantee and assign the Ministry of Finance on behalf of Government to sign the guarantee letter for the foreign loan contracts of the projects.

The Ministry of Justice to provide with has the legal ideas on credit agreement and borrower, guarantee letter and guarantor for foreign loan.

Duyen Hai 3 TPP Expansion with a 660 MW unit included to Duyen Hai Power Centre (Dan Thanh commune, Duyen Hai District, Tra Vinh province). The total investment level of the

project including quay construction and sea bed dredge in front of the harbor No2 area for coal and oil receiving in the future, is estimated over VND 22,000.

Duyen Hai 3 TPP Expansion has been approved by the Prime Minister as an urgent project to provide electricity for the southern region before 2018.

Signing these financial and credit contracts will take part to guarantee implementation progress of Duyen Hai 3 TPP Expansion to overcome power shortage in the southern region in coming time and promote electricity supply safety for the National power system as well.

VietnamEnergy.vn

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