Orsted and T&T Group in Vietnam have signed a memorandum of understanding (MoU) to launch a strategic collaboration on offshore wind in Vietnam.
The collaboration between Orsted and T&T brings together a multi-GW pipeline of greenfield offshore wind projects located off the coasts of the Binh Thuan and Ninh Thuan provinces, Vietnam’s most suitable areas for offshore wind development.
The signing took place in connection with the Vietnamese high-level visit to Brussels, led by the President of Vietnam’s National Assembly, His Excellency Vuong Dinh Hue.
Both partners will apply their groups’ joint capabilities to mature this offshore wind pipeline and work to support the development of an effective regulatory framework for offshore wind and a vibrant new industry in Vietnam.
With more than 3200 km of coastline and high consistent wind speeds, Vietnam has some of the best conditions for developing offshore wind in Asia.
The World Bank Group estimates Vietnam’s offshore wind potential to be up to 500GW.
Do Quang Hien, T&T group president and general director, said: “Ten years ago, we began researching and preparing for the development of renewable energy in order to be ready when the time was right.
“This has resulted in T&T completing several large solar PV projects and being on track to complete five big onshore wind projects by the end of this year.
“Energy is a strategic focus for the T&T Group, and with this collaboration with Orsted, the global leader in offshore wind, we look forward to accelerating our plans and bringing valuable experience and international investment capital to the offshore wind sector in Vietnam.”
Matthias Bausenwein, president of orsted Asia Pacific, added: “This MoU is a major step for Orsted in establishing a strong foothold in Vietnam and in showcasing our aspiration to be a reliable long-term partner in this country.
“Together with T&T, we’re excited to use our multi-GW pipeline to build a vibrant local offshore wind industry and to make Vietnam one of the leading offshore wind markets in Asia Pacific.
“We believe that offshore wind is one of the best ways for Vietnam to meet its rapidly growing power demand as this is a utility-scale, reliable, and domestic power source which, if deployed at large scale and with the right framework, can be competitive with coal and gas-fired power stations.”