Hydropower investors in Quang Ngai are tired of waiting for policies

Project faces difficulties, investors are in trouble

Quang Ngai has great potential for renewable energy, especially hydropower.

In 2017, the People's Committee of Kon Tum province (old) agreed to assign Chien Thang Power Development Investment Joint Stock Company (Hoa Binh Industrial Park, Dak Bla ward) to study and prepare an investment report, survey the potential of low-water hydropower poles on Dak Bla and Sa Thay rivers.

According to the Provincial People's Committee, the goal of the project is to participate in flood prevention for downstream during the rainy and stormy season and limit drought in the dry season.

In essence, low-voltage hydropower plants have a smaller power generation capacity than high-voltage hydropower plants, because energy mainly depends on flow, not elevation. The difference between the reservoir water level and the downstream water level is relatively small.

Mr. Nguyen Van Hai - Director of Chien Thang Power Development Investment Joint Stock Company said: "For nearly 10 years, we have devoted our efforts to surveying and researching the potential of hydropower plants. Thanks to that, the Sa Thay 1, 2, 3 and Dak Bla 3 hydropower projects have been approved by the Ministry of Industry and Trade to supplement the National Small Hydropower Planning and included in the list of Power Plan VII and Power Plan VIII.

However, due to problems with mechanisms and policies in the Adjustment of Power Plan VIII, the projects have not been granted a decision approving the investment policy. After many years of pursuing and pouring billions of VND into the project, investors are now in a difficult situation, at a standstill....

Need to resolve to avoid wasting social resources

The terraced hydropower system on the Sa Thay River in the west of Quang Ngai province has a stable water source, flowing through the communes of Ia Dom, Ia Toi, Ia Day and then joining the Se San River on the Cambodian side.

For a long time, the Sa Thay River is located in a remote, border area, so it is difficult to attract investment due to weak traffic infrastructure, difficult construction, and large investment. However, investors assess that if low-water hydropower plants are built with water source regulation properties, it will benefit people in remote areas.

Because the water column is low, the reservoir will retain water when floods rise and the water will automatically flow through the dam to the downstream area to provide water for agricultural production. It is known that the total installed capacity of the 4 projects is 39.8 MW; the investment capital demand is 1,389 billion VND.

Regarding the renewable energy sector, Mr. Tran Phuoc Hien - Vice Chairman of the People's Committee of Quang Ngai province - said: in the current context, ensuring national energy security, providing enough electricity for economic growth and daily life is an important task.

Provinces and cities across the country in general and Quang Ngai in particular hope to soon implement the Adjustment of Power Plan VIII, which was approved by the Prime Minister in Decision No. 768/QD-TTg dated April 15, 2025. This is the basis for attracting investment, promoting the development of renewable energy sources, helping businesses and localities speed up the progress of projects.

Vice Chairman of the People's Committee of Quang Ngai province Tran Phuoc Hien also requested investors in the renewable energy sector to have sufficient financial capacity, choose reputable consultants, use quality equipment, reliable construction units and implement projects in accordance with legal regulations.