LNG

Vietnam’s Vingroup has proposed dropping plans for what would have been Vietnam’s biggest LNG-fired power plant and replacing it with a renewable-plus-battery project. The 4.8 GW Hai Phong LNG-to-power project could be abandoned over high fuel costs.

Investors are seeking better incentives for integrated LNG and power projects in Vietnam as guaranteed electricity offtake levels are still too low to make projects break even. Developers said Power Purchase Agreements (PPAs) with 25-year tenures or a higher minimum offtake level, ideally 85-90%, would help secure predictable cash flows and attract international lenders.