JERA plans gas-fired power plant investment in Vietnam

• 3 months ago (2024-09-12)
• David Flin

Asia 897 Gas 395

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Japan’s JERA has announced that it plans to invest in a natural gas-fired power plant in Vietnam, believing that there will be a shift from coal to gas in Asia.

Izumi Kai, Chief Executive for JERA Asia, said that power plants use domestic gas and LNG are set to become a crucial source of power in Vietnam, jumping to 37.33 GW, or 24.8 per cent of its total installed capacity, with most of this being LNG. Kai said: “We are now trying to collaborate with a local partner and also try to discuss with the Vietnam government.” He added that JERA was also open to investing in existing projects.

Kai said that Vietnam was trying to start operating multiple LNG projects in a very challenging time frame, adding that JERA was focusing on the best designs to work around potential delays.

JERA Asia’s investments in LNG or gas power projects in Asia hinge on energy transition policies and dwindling domestic natural gas reserves, Kai said, adding: “The shift towards LNG for power, this trend will continue.”