ĐỒNG NAI — Prime Minister Phạm Minh Chính on Sunday inaugurated Việt Nam's first liquefied natural gas (LNG) power plants, marking a strategic shift toward cleaner energy.

The twin Nhơn Trạch 3 and Nhơn Trạch 4 facilities, built by State energy giant Petrovietnam at a cost of US$1.4 billion, will generate over nine billion kilowatt-hours annually with a combined capacity of 1,624 megawatts (MW). They will provide flexible baseload power to support grid stability as renewable energy sources increase their share in Việt Nam's energy mix, particularly in the southern region.

The facilities address Việt Nam's surging electricity demand, which requires capacity additions of 6,500-8,200MW annually. Current peak consumption stands at 54,500MW, with electricity growth needing to outpace GDP expansion by 1.5 to 2 times. The demand is driven by Việt Nam's push into high-tech manufacturing, semiconductor production, data centres and high-speed rail infrastructure.

"These plants are a crucial piece in strengthening national energy security and meeting the country's fast and sustainable development requirements," PM Chính said at the ceremony in Đồng Nai Province. He described the project as exemplary in overcoming obstacles while maintaining quality, safety and environmental standards.

The plants use GE's 9HA.02 gas turbines, currently the world's most advanced in terms of capacity and efficiency. The technology achieves 62-64 per cent efficiency and can blend up to 50 per cent hydrogen, with potential for 100 per cent hydrogen use in the future.

LNG-fired electricity generation reduces carbon emissions by 40 per cent compared to coal and 30 per cent versus oil, supporting Việt Nam's pledge to achieve net zero emissions by 2050.

The project faced significant hurdles during its construction. Work began in May 2022 during the COVID-19 pandemic without Government guarantees, requiring financing from international institutions under stringent standards.

Regulatory frameworks for LNG pricing and long-term power purchase agreements were incomplete when the project launched. Land acquisition and equipment logistics posed additional challenges as the country battled the pandemic.

Petrovietnam and main contractor Lilama-Samsung C&T worked round-the-clock shifts to complete construction on schedule. The EPC contractor selection process took just 11 months, among the fastest for a project of this scale. Domestic contractor Lilama accounted for roughly 40 per cent of the EPC work, the highest participation rate for a thermal power plant in Việt Nam.

The facilities will primarily serve southern Việt Nam, the country's economic engine and a key destination for high-tech foreign investment. The plants will establish Việt Nam's gas-fired power market and provide a template for 13 additional LNG projects outlined in the national power development plan.

PM Chính emphasised that stable energy infrastructure is fundamental to rapid economic development, noting that countries achieving fast, sustainable growth possess robust, modern energy systems.

Petrovietnam Chairman Lê Mạnh Hùng said the project's success lays the foundation for developing LNG power centres nationwide to ensure energy security and support the country's net zero emissions target.

The Politburo issued Resolution 70 in August on national energy security through 2030, with a vision to 2045. The resolution prioritises energy development to support over 10 per cent annual growth, with State-owned enterprises maintaining a leading role while the private sector serves as a key driver.

According to the PM, the project's success offers lessons for future energy initiatives, emphasising unity, practical problem-solving and inter-agency coordination, as well as balancing domestic and international resources and providing clear accountability with measurable results.

The Government leader pledged continued support for energy infrastructure projects, including streamlined regulations and improved investment conditions for the LNG supply chain. — BIZHUB/VNS