Hung Yen kicks off $2 billion LNG power plant to meet clean energy goals

Hung Yen kicks off $2 billion LNG power plant to meet clean energy goals

Hung Yen has broken ground on a $2 billion liquefied natural gas (LNG) power plant, advancing Vietnam's clean energy transition and boosting ties with Japan.

On October 10, the construction of the Thai Binh LNG Thermal Power Plant commenced in Dong Thai Ninh commune, Hung Yen province. The plant is a key step in Vietnam's shift towards cleaner energy sources and reflects growing strategic cooperation with Japan in the energy sector.

Delegates press the button to start construction of Thai Binh LNG Thermal Power Plant

This large-scale project is of strategic importance for Vietnam's socioeconomic development and plays a critical role in ensuring national energy security.

The plant is being developed by Thai Binh LNG Power JSC, a joint venture including three stakeholders: Tokyo Gas of Japan holds a 40 per cent stake, Kyuden International (also of Japan) owns 30 per cent, and Vietnam's Truong Thanh Vietnam Group (TTVN Group) holds the remaining 30 per cent.

With a total investment exceeding VND47 trillion (approximately $2 billion), the plant is designed to deliver a capacity of 1,500MW, over roughly 269.43 hectares both onshore and offshore.

The facility will feature two high-efficiency combined-cycle gas turbine units using LNG, significantly reducing CO₂, NOx, and PM2.5 emissions, while emitting no SO₂. This aligns with Vietnam's commitment to achieve net-zero emissions by 2050.

Speaking at the ceremony, Yasushi Kuno, general director of Thai Binh LNG Power JSC, stated, “This is one of the key energy investments in the Red River Delta region, aiming at developing clean, stable, and environmentally friendly power sources.”

Once operational, the plant is expected to supply between 6 and 10 billion kWh of electricity annually. It will generate around 2,000 jobs during the construction phase and maintain approximately 300 permanent positions during operation. In addition, it is projected to contribute around $120 million to the state budget each year for the next 25 years.

Japanese Ambassador to Vietnam Ito Naoki reaffirmed theJapanese government's strong support for the project and expressed hope for continued guidance from the Ministry of Industry and Trade and Hung Yen authorities. Here described the initiative as a symbol of deepening cooperation between Japan and Vietnam.

A perspective of Thai Binh LNG plant with a capacity of 1,500MV

Nguyen Khac Than, Chairman of Hung Yen People's Committee, said the selection of Hung Yen as the project's location reflects investor confidence in the province's favourable, transparent, and dynamic investment environment.

“The Thai Binh LNG plant is of exceptional importance. It will add clean, stable LNG power to the northern grid, reduce reliance on coal-fired power, and enhance the flexibility, safety, and sustainability of the national power system, meeting peak-hour electricity demand effectively,”he said.

For the locality, the project is expected to generate substantial fiscal revenue through taxes and fees, create thousands of job opportunities for both local and regional workers, and serve as a catalyst for the development of an integrated energy hub.

"This hub will combine industry, services, and logistics, helping to attract further investment and drive the province's economic growth in a new development phase," he noted.

To ensure timely implementation and maximise investment efficiency, Chairman Than invites all investors to mobilise necessary resources, comply with technical standards, prioritise construction and labour safety, and ensure environmental protection.

“Contractors must closely coordinate with local authorities to avoid disrupting residents' lives and production. Meanwhile, Hung Yen Economic Zone Management Board, provincial departments, and Dong Thai Ninh commune authorities should continue to support and promptly resolve difficulties arising for smooth and effective project execution,” he said.

Expressing confidence in the project's success, Chairman Than concluded that the plant's timely operation will be a key driver of the province's development and contribute significantly to Vietnam's pursuit of green, sustainable energy amid the nation's ongoing industrialisation and modernisation.

VIR