Vietnam Breaks Ground on Phase 2 of Bac Ai Pumped Storage Hydropower Plant

State-run Vietnam Electricity (EVN) held a groundbreaking ceremony on Saturday for Phase 2 of the Bac Ai pumped storage hydropower plant in Ninh Thuan Province, marking a key step in Vietnam’s renewable energy development.

The Bac Ai project, the country’s first pumped storage hydropower facility, will have a total installed capacity of 1,200 MW, comprising four pump/turbine-generator/motor units of 300 MW each. The project has a total investment of approximately VND21.1 trillion (US$826.64 million), financed through loans and EVN’s capital allocation.

The first generating unit is expected to begin operation in December 2029, with full project completion slated for May 2031. Designed to stabilize the national power grid, the facility will store energy by pumping water during off-peak hours and generating electricity during peak demand periods.

Phase 1 of the project, which involved constructing spillway structures within the Song Cai hydropower reservoir, commenced in January 2020 and was completed in March 2021.

The Bac Ai pumped storage hydropower plant, along with the planned Ninh Thuan nuclear power project, is expected to transform the province into a major clean energy hub in Vietnam and Southeast Asia. The project is seen as a critical component in balancing the increasing share of renewable energy sources in the national grid, particularly wind and solar power.