There are some positive signals coming from the clean energy sector in Vietnam with a number of energy saving investment projects getting the green light.
Korean LED lighting manufacturer Fawoo Technology and Kim Dinh International Group Joint Stock Company have just set up a new joint venture Fawoo-Kidi Company Limited (FK Tech) to kick-off an energy saving project in Saigon Hi-Tech Park (SHTP) in Ho Chi Minh City.
The $12.3 million project, which was licenced this month and scheduled to start production in 2012, aims to research, develop and manufacture high quality, power-saving and cost-efficient LEDs. The products will be used in homes and as decorative public lighting.
Also, FK Tech will invest in research and development so that in the long-term the company can supply LED lighting technology to key sectors in Vietnam such as the agriculture, fisheries and petroleum industries.
Le Thai Hy, head of SHTP’s management board, said FK Tech’s project, which SHTP was giving priority to, was in line with the government’s programmes of developing technologies using alternative energy. This was also the first new energy project to be granted an investment certificate in SHTP in 2011.
Of the current 50 projects underway in SHTP, only two involve using alternative energy sources. These are FK Tech’s and another project from Vietronics Thu Duc Company to manufacture LED lamps and decorative lighting, which was granted an investment certificate last year.
Quang Trung Software City (QTSC) Development Company chairman Chu Tien Dung said QTSC was also seeking clean technology projects to set up in the park.
Currently, QTSC is only allowed to issue investment certificates to projects operating in software and digital content, or training labour for the software industry.
Dung said QTSC was asking the Ho Chi Minh City Municipal People’s Committee to consider readjusting investment objectives in the park to include clean technology projects that do not need a manufacturer and which are related to software, digital content and information technology.
“This move will help us lure potential investors in clean technology projects,” Dung said.
Huynh Kim Tuoc, head of the Ho Chi Minh City Energy Saving Centre, said: “Public awareness of the importance of saving energy has improved gradually.”
Over the past five years, nearly 600 businesses in the city had invested more than VND1.2 trillion ($57.9 million) in energy saving projects, according to the Ho Chi Minh City Energy Saving Centre.
This had led to a reduction in power usage of nearly 790 million kilowatt/hour since 2006, equivalent to 5.26 per cent of the city’s total annual consumption of electricity. The city is now aiming to reduce its electricity consumption by 5 per cent per year.
Tuoc said that in the long-term, the government needed to provide assistance to businesses across the nation to help them save energy.
Recently, the Ministry of Finance has announced plans to lend $40 million to energy saving projects ($30 million) and recycling projects ($10 million) with long-term credits and preferential interest rates being offered.
