BCPG, the renewables unit of Thai oil firm Bangchak, is set to sell electricity to power-thirsty Vietnam from a proposed 600 megawatt wind project in neighbouring Laos, with the project expected to be the largest in the Association of Southeast Asian Nations (ASEAN).
ASEAN excludes the world’s biggest wind power market, China, where larger wind complexes are being developed.
BCPG is preparing to sign a power purchase agreement (PPA) with state-energy company Electricity Vietnam (EVN) in October, according to the Bangkok Post newspaper.
Construction would start after the signing of the PPA, the Thai company’s chief executive, Bundit Sapianchai, was quoted as saying, with operations seen starting in 2023.
BCPG is investing in the project through its subsidiary, Impact Energy Asia Development, with a 45% stake, according to the report. The other 55% is said to be held by Impact Electrons Siam.
While Upstream's sister renewable energy publication Recharge could not immediately confirm Sapianchai’s comments, the project appears to be the one that Impact Electrons Siam first referred to in a 2016 press statement. It also said at that time that the project would be completed in 2023, adding that Danish wind turbine manufacturer Vestas would provide the machines for the wind project.
BCPG also lists the southern Laos project on its website as being under development.
Vestas today told Recharge it does not comment on any projects before they are firm and unconditional.
BCPG will spend $840 million on the project — now called Swan — in southern Laos, relatively close to the Thai city of Ubon Ratchathani, the newspaper said.
Vietnam's fast-growing economy is currently one of Asia’s hottest wind power markets.
According to the newspaper, Bundit said that BCPG is also in the process of purchasing a solar farm, currently under construction, at an estimated cost of between $100 million and £200 million, and a capacity of up to 200MW.