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  • Electricity/Power Grid
8 January 2019

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  • Vietnam

Hanoi (VNA) – The National Power Transmission Corporation (EVNNPT), a subsidiary of the state-owned Vietnam Electricity (EVN) group, transmitted 184.5 billion kWh of electricity in 2018, up 11.03 percent from the previous year.

The statistics were released by EVNNPT General Director Nguyen Tuan Tung at a meeting in Hanoi on January 8 to review the firm’s performance last year.

He said the corporation has ensured the safe and stable operations of the nationwide transmission system, contributing to EVN’s efforts to supply sufficient power for socio-economic development and people’s daily needs.

Notably, the network’s operation has been substantially improved, with many projects to build and repair transmission facilities having been completed in recent years to address the transmission overload, Tung noted.

However, he also admitted certain problems, elaborating that the overload was still recorded in some areas. The 500kV north-south power lines are currently under strain as they will have to carry a huge power volume to serve the soaring demand in the southern region until 2020 and beyond, which may lead to higher power losses and breakdown risks, Tung said.

Meanwhile, the increase of renewable power plants joining the national grid from this year onwards will also affect the operation of transmission facilities, Tung added.

The General Director said numerous measures will be taken to continue ensuring the safe and stable operations of the transmission system.

EVNNPT has set the target of 203.2 billion kWh of electricity transmitted in 2019, up 10.15 percent from last year.–VNA

  • Renewables
8 January 2019

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  • Vietnam

PV Power, the country’s second largest power producer, will list on the Ho Chi Minh bourse this month with a market capitalization of $1.5 billion. The Ho Chi Minh Stock Exchange (HoSE) has approved that the firm lists 2.34 billion shares (trading code POW) on January 14 at VND14,900 (64 cents) per share. This would bring the market capitalization of PV Power to VND34.9 trillion ($1.5 billion).

PV Power finished its last transaction on UPCoM, the market for unlisted public companies, on December 27 at VND16,000 (69 cents) per share.

PV Power was established in 2007 with 100 percent capital from the state. The company finished equitization in the middle of last year with a charter capital of VND23.42 trillion ($1 billion).

State-owned oil and gas giant PetroVietnam remains PV Power’s largest stakeholder, with 79.94 percent of its charter capital. Foreign investors currently own 14.3 percent. The company is subject to a foreign ownership cap of 49 percent.

PV Power produces and sells electricity. It also imports and distributes coal and operates five electricity plants. It is the second largest power producer in the country after national utility Vietnam Electricity.

In the 2016-2018 period, PV Power’s revenues were VND28-30 trillion ($1.2-1.29 billion), 96 percent of which came from selling electricity.

As of September 30, 2018, its total asset value was VND61.4 trillion ($2.64 billion) and its equity was VND26.55 trillion ($1.14 billion).

Its dividend rate for last year is expected to be 3 percent and is set at 6 percent this year.

  • Coal
8 January 2019

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  • Vietnam

BANPU Plc, a leading integrated energy solutions company in the Asia-Pacific, is now in its second consecutive year of penetrating Vietnam’s coal markets. It aims to seal agreements to provide more than 2 million tonnes of coal to Vietnamese clients to respond to growing demand for coal.

Moreover, under its “greener and smarter” strategy, the company seeks new investment opportunities to sustain the Banpu Group’s future business growth.

Somruedee Chaimongkol, CEO of Banpu Public Co Ltd, said, “Vietnam is the 10th country that Banpu has entered to capture great business opportunity.”

As a country in the Asia-Pacific region, Vietnam is experiencing a rapid demand growth for electricity, he said. Vietnam’s official power development plan from 2017 expects to see a doubling of power demand to 130 GW by 2030 to feed the country’s rapid economic growth, with coal remaining the main source of power generation. Domestic supply of coal is insufficient to meet the country’s demand and so it is being imported.

“In 2018, Banpu sold 1.3 million tonnes of coal to Vietnam” said Somruedee. “We are ready and capable of providing high quality and customised specifications of coal from our own mines, including in Indonesia and Australia.”

Banpu also has a “strong partnership network to satisfy clients with a sophisticated logistics system,” she added. “In 2019, Banpu is increasing our target to achieve sales of over 2 million tonnes of coal to Vietnam from established trusts and diversified clients.”

Apart from Banpu’s strong historical positioning in coal production and commercial aspects, Banpu in 2018 set up an office in Ho Chi Min City to manage coal sales covering marketing, client services, research, sales contracts and logistic operations. This office also serves wind farm development, as well as evaluating possible further investments in solar farms and other power plants.

“Given the confidence of our stakeholders in every country in which we have business, our strong financial performance and our corporate governance, we are determined to grow sustainable business by looking for further investment opportunities that generate great returns and are in line with our Greener & Smarter strategy.

“We will focus on the development of three 3 core businesses – energy resources (coal and gas, including related operations such as marketing, training, logistics, fuel procurement and transmission), energy generation (coal-fired and renewables power plants) and energy technology (total solar energy solutions, energy storage systems and energy technology systems), in Vietnam and other countries in Asia-Pacific,” she said.

“These businesses are crucial for Banpu’s future growth and our potential to create added value and to maximise long-term returns for our shareholders.”

  • Bioenergy
8 January 2019

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  • Vietnam

HCM City (VNA) – Power generation from waste has a short break-even period and benefits the environment and so is attractive to investors.

Dong Minh Toan, Chairman and CEO of Binh Phuoc Import Export Company, which operates a waste-to-energy plant, said: “With the high electricity price, along with the fee for waste treatment, a waste-to-energy project only needs around five years to break even whereas it takes 10 years for solar and wind power plants.”

Waste-to-energy projects are an excellent investment in places where at least 500 tonnes of waste is generated per day and the treatment price is over 21 USD per tonne. There are five or six cities in Vietnam meeting these requirements.

Ho Chi Minh City is Vietnam’s biggest city and generates the largest volume of waste – 9,300 tonnes a day.

The city stipulates that waste-treatment facilities need to generate electricity from the waste besides certain other conditions and pays 21 USD per tonne for treatment.

To further support this, it has fixed a rate of 10.05 cent/KWh for the electricity generated from waste, higher than for solar and wind energy.

“We are ready to buy and connect our grid to waste-to-energy projects because all these projects are located in cities and large towns, where we have already had our grid,” a spokesman for the Vietnam Electricity (EVN) Group said.
“Besides, waste-to-energy projects are reliable since they are not dependent on the weather.”

However, these projects usually involve strict technical requirements from authorities. Besides, most technologies for generating energy from waste from the US, Europe and Japan require waste classification, something that is not yet done in Vietnam.

“This means enterprises need to invest also in waste classification systems,” an investor said.

EVN said it has signed contracts to buy electricity from three waste-to-energy projects, including Go Cat, Can Tho and Nam Son – though their total capacity is only 9 MW.-VNA

  • Oil & Gas
8 January 2019

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  • Thailand

Japanese utility Tokyo Gas, through its unit Tokyo Gas Asia, has set up the first fully private natural gas distribution business in Thailand.

The distribution company named Gulf WHA MT Natural Gas Distribution Company (GWHAMT) has been established through a joint investment by the Gas Energy Development Company, Thai privately held WHA Utilities and Power and MITG (Thailand), a joint venture between Tokyo Gas Asia and Mitsui & Co.

Tokyo Gas said the company has been established in WHA Eastern Seaboard Industrial estate, located in the Easter Economic Corridor, earmarked by the Thai government for investment promotion purposes.

GWHAMT, through its distribution channels, will supply gas to users in industrial estates owned by Hemaraj Land and Development, Tokyo Gas statement reads.

Tokyo Gas and Tokyo Gas Asia will seek to expand the gas distribution business in the Industrial Estate, leveraging know-how on gas distribution backed by years of experience and successful operation in Japan, together with know-how as to the LNG value chain such as energy solution, operation management and sales support, Tokyo gas said.

  • Bioenergy
8 January 2019

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  • Thailand

Gussing Renewable Energy’s gasification power plant in Nong Bua, which is meant to serve as a demonstration case for other communities.

An Austrian energy company has brought a new process for generating renewable energy to Thailand, with the hope that after initial success their model will spread to small towns across the country.

The carbon-neutral waste gasification plant in Nong Bua built by Gussing Renewable Energy (GRE) recently began supplying power to the area in November, turning agricultural and forest waste from the local community to energy that could power about 3,000 homes.

The company’s original power plant in Gussing, Austria improved the local economy by bringing jobs and supplying hot water and energy to the entire town, and GRE wants to replicate this system throughout Asia.

The plant has an electrical output of one megawatt (MW) and a fuel capacity of 4MW, with overall efficiency of around 75%. Some of the energy from the plant will be used for a 315-square-metre cold storage facility for farmers’ crops.

This is the first waste gasification plant built in Thailand.

The 250-million-baht project was a joint venture between GRE and Siam Cement Group (SCG), with research assistance from the Thailand Research Fund (TRF) and King Mongkut’s Institute of Technology Ladkrabang (KMITL).

Based on the success of the project, which took almost eight years to complete, GRE and SCG hope to open 1-5MW plants in small towns with populations of 10,000-50,000 throughout Thailand, for a total capacity of about 1,000MW.

The Nong Bua plant is essentially operating as a demonstration and test run for viability in other towns that wish to adopt the model.

“We chose Thailand because we could see communities were in need of the Gussing model, and there are ample raw materials available,” said Michael Messner, director of GRE Asia. “But it’s also about the local community, who are well educated about environmental projects and receptive to the idea of a renewable energy plant.”

The plant uses about 24 tonnes of biomass per day, which is essentially one truck load, a quantity that is readily available from the agricultural industry in Nong Bua.

Unlike many waste-to-energy plants that use dirty incinerators and have high emissions, the Gussing plant is “no burn”, but uses heat through the absence of oxygen to gasify biomass.

“Our principle is to reform this low-value carbon waste through our technologies into higher-value carbons in a carbon-neutral way that can be used for new forms of energy through electricity, heat, hydrogen and cold storage,” said Mr Messner.

The plant is technically carbon-neutral, as it accounts for the CO2 the biomass takes out of the atmosphere, which is then released after the final gas is burned as fuel. The system does not produce any waste water. The only byproduct is ash, which accounts for 2.5% of the mass put into the system, and can be reused as a soil conditioner in surrounding farms, or for cement.

In the future, the plant is expected to produce hydrogen and liquid kerosene that can be used in aeroplanes.

As part of the project, the TRF and KMITL researched a way to use biomass waste from the cassava root and palm oil industries. There is about 60,000 tonnes of cassava farmed per year in Nong Bua, but 10% is an inedible root that is wasted.

The test programme is not yet complete, but there have been positive results, said Dr Vilailuck Siriwongrungson, a professor and researcher at KMITL.

“This will be a great relief for the cassava and palm oil industries, and those who live around them, as before they burned their waste. Now it can be used for energy,” she said.

GRE worked with the local community to build enthusiasm for the project, which included public hearings to earn their support. The company sold the idea by showing how the plant could both manage local waste and provide cheap, clean energy to the town.

“Gussing saw the importance of working with local communities by looking at the local resources,” said Maj Gen Pairush Vimooktalop, chairman and senior adviser on the project. “The company has followed late King Bhumibol Adulyadej’s sufficiency economy guidelines by using few resources to maximise energy output. The government has really supported the idea.”

The Gussing model, according to Mr Messner, is to bring prosperity to “forgotten people” and towns, by allowing local control of energy, creating jobs and thus revitalising the community. As a result of GRE’s first plant in Gussing, the town was able to attract 50 new businesses and 1,500 new jobs by transforming the area into a green energy hub, all while cutting carbon emissions by 90%.

The town even earned praise from actor Arnold Schwarzenegger, who visited the GRE plant in 2012.

Whether this drastic revitalisation is transferable to small towns in Thailand is difficult to gauge, but GRE thinks there is a possibility.

“Gussing went from being very poor to very wealthy, and although it will be a big challenge, we hope we can do that here,” Mr Messner said.

  • Oil & Gas
8 January 2019

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  • Thailand

The economic loss from tropical storm Pabuk on January 4 in southern Thailand may reach Bt5 billion (US$156 million) according to local authorities.

The country’s most powerful storm in three decades disrupted flights and businesses while damaging more than 1,400 homes. The storm claimed three lives and forced over 34,000 people to evacuate as strong winds, large waves and heavy rain caused havoc across eight provinces, many of them with islands.

PTT Exploration & Production suspended energy production from its platforms near the path of the storm. Output of natural gas and crude oil has dropped and the government is attempting to reduce disruption to electricity through imports.

The storm disrupted the peak period for Thailand’s annual US$60 billion tourism industry. However, the damage wasn’t as bad as expected and many resorts have reopened and are operating as usual.

Thailand’s prime minister Prayuth Chan-Ocha has ordered the military, police, civil officials and volunteers to help rescue and rebuilding efforts.

Meanwhile, according to the Insurance Council of Australia, as of January 6, Australia’s insurers had received 81,194 claims with estimated insurance losses of A$673.9 million (US$480.2 million) from December 20’s hailstorm in New South Wales — 59,355 were motor claims and 17,175 were claims for residential buildings.

  • Renewables
8 January 2019

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  • Malaysia

JOHOR BARU: The Government’s move to liberalise the energy sector and to promote renewable energy would make it more affordable for consumers to switch to renewable energy, especially solar energy.

Ditrolic Solar Sdn Bhd chief executive officer Tham Chee Aun said the implementation of the Net Energy Metering (NEM) and Supply Agreement for Renewable Energy (SARE) policies beginning January 1 makes it cheaper for consumer to switch to solar energy.

“Previously, when a consumer wants to switch to solar energy, he have to install the whole system in their residence which would cost a lot.

“With the new policy, that barrier has been removed and consumers can now buy energy directly from renewable energy provider like Ditrolic Solar.

“Consumers now have a choice whether to buy from Tenaga Nasional Bhd or from third party provider like us,” said Tham.

Tham said the government also plans to increase the ratio of renewable energy from about 2 per cent at the moment to 20 per cent by 2025 .

“Solar energy is the best and cleanest source of renewable energy. It has very little environment impact and is the most reliable and predictable compared to other sources like wind,” said Tham.

Ditrolic Solar currently have a total install capacity of 60 MW in Malaysia and plans to increase it by another 50 MW this year.

In addition, it has a total capacity of 60 MW in Singapore, Bangladesh and the Philippines.

“At the moment, under our Sun Lease programme, 80 per cent of our customers are from the commercial and industrial sectors. We plan to expand the programme to the residential sector later this year,” said Tham.

He also said the cost installing solar energy system have decreased because of the global drop in solar panel price due to an oversupply issue as countries like China have withdraw certain policies on solar energy.

“We can now sell solar energy at a lower price than TNB. We estimate that using solar energy consumers would save between 10 and 20 per cent on their energy bills,” said Tham.

He said with the expansion of the Sun Lease programme, the company plans to attract about 1,000 customers from the residential sector in the first year.

“We are also committed to supply 500 MW of solar energy by 2025. We are very positive with the potential for this sector,” said Tham.

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