Japanese firm buys 35.1 per cent stake in Việt Nam’s power company

Japanese firm buys 35.1 per cent stake in Việt Nam’s power company

TOKYO — JERA Inc., a power generation company of Japan, has signed a deal to buy a  三 五. 一 per cent stake at Việt Nam’s Gia Lai Electricity Joint Stock Company (GEC) to tap the Southeast Asian nation's growing demand for electricity and further its own decarbonisation efforts, Nikkei Asia reported.

JERA, a joint venture between Tokyo Electric Power and Chubu Electric Power, will invest  一 五 billion JPY (US$ 一 一 二 million) in the Vietnamese renewable energy company.

The purchase comes as JERA aims to increase its renewables generation capacity to  五,000 MW by  二0 二 五. The stake in GEC will add  一 九0 MW, bringing the company's total renewables capacity to  一, 九00 MW. JERA will also consider jointly developing solar and onshore wind projects with GEC.

JERA has already participated in renewable energy projects across Asia, including India and Thailand. It has operated a gas-fired power plant in Việt Nam since  二00 五.

GEC owns hydro, solar and wind power plants with a total generation capacity of about  六00 MW. It looks to raise this to  一, 七00 MW by  二0 二 五, according to JERA. — VNS