HÀ NỘI — The National Power Transmission Corporation (EVNNPT) and the Vietnam Development Bank (VDB) on Tuesday signed a State-capital investment credit contract worth VNĐ715 billion (US$26.98 million) to fund the 220kV Than Uyên–500kV Lào Cai transmission line project, a key energy link for the northwestern region.

The project, financed by EVNNPT and managed by the Northern Power Project Management Board (NPMB), will later be operated by Power Transmission Company 1 once construction is completed. It involves building a new 220kV double-circuit line stretching 73.5km from the 220kV Than Uyên transformer station in Lai Châu Province to the 500kV Lào Cai transformer station.

Once operational, the line will significantly boost transmission capacity, enabling the efficient transfer of electricity generated by hydropower plants in Lai Châu and Lào Cai to the national grid. It is expected to enhance power reliability, reduce transmission losses and improve the overall efficiency of Vietnam Electricity (EVN) operations, while fostering socio-economic growth across the region.

At the signing ceremony, NPMB acting director Lê Văn Khải said the project is an urgent undertaking that plays a vital role in ensuring national energy security. He added that the agreement marks an important milestone in the implementation process and reflects the strong trust and cooperation between major State agencies working towards sustainable energy development.

Deputy General Director of VDB Lê Văn Nam affirmed the bank’s commitment to maintaining close coordination with EVNNPT and its subsidiaries throughout the project, expressing confidence that it will be completed on schedule, deliver high efficiency and bring tangible benefits to the community. — BIZHUB/VNS