SP Group (SP) and BCG Energy Joint Stock Company (BCG Energy), a wholly owned subsidiary of Bamboo Capital JSC, formalised a joint venture to invest in rooftop solar and explore other renewable energy projects in Vietnam. This partnership marks SP’s first JV platform in Vietnam.
The joint venture (JV) is 51 per cent owned by BCG Energy and 49 per cent by SP. The
JV combines the expertise of both companies in developing innovative, sustainable
energy solutions, aimed at accelerating Vietnam’s clean energy transformation. With an
initial target to develop 500 Megawatts (MW) of rooftop projects by 2025, the JV will
support Vietnam’s green ambitions to be a carbon-neutral economy, and increase the
ratio of electricity produced from renewable energy sources to 30 per cent by 2030.
The JV also announced its first rooftop solar project with Vinamilk – Vietnam’s largest
dairy production company and among the world’s Top 50 dairy producers by total sales.
Under the agreement the JV will partner Vinamilk to install a combined 25 MW of rooftop
solar across nine factories and seven farms. This enables Vinamilk to generate 35,000
MWh (Megawatt-hour) of clean electricity annually – enough to power 8,140 four-room
flats per year in Singapore, or approximately 20,000 households in Vietnam. It also
amounts to avoidance of annual carbon emissions by close to 32,000 tonnes, equivalent
to taking approximately 7,000 cars off the road.
As part of the agreement, the JV will also make an initial acquisition of 28 MW of
operational rooftop solar assets across eight commercial and industrial sites located in
South and Central Vietnam.
BCG Energy Chief Executive Officer, Tuan Pham said, “In 2020, Vietnam successfully
completed and connected more than 100,000 rooftop systems to grid. There is strong
growth potential in this market segment given Vietnam’s developmental need. By
establishing a joint venture between BCG Energy and SP, both parties will work to
accelerate the implementation of up to 500MW of rooftop systems on industrial
complexes and facilities in the next few years in Vietnam. We believe this will promote
the use of clean energy in manufacturing companies and contribute to the sustainable
growth of the economy.”
SP’s Group Chief Executive Officer, Mr Stanley Huang, said, “This partnership with BCG
Energy is a key milestone for SP to grow our sustainability footprint in Vietnam. Our
combined expertise and ambition in renewable and sustainable energy solutions will offer
customers more options and encourage their transition to clean energy sources. Our
objective is to support Vietnam’s clean energy transformation, and significantly contribute towards the country’s decarbonisation targets.”
In November last year, SP established its Vietnam office located in Ho Chi Minh city.
Leveraging its capabilities in sustainable energy and digital solutions, SP aims to create
value-added solutions for its customers in Vietnam and establish SP’s position as a
leading sustainable energy solutions player in Asia Pacific.