The domestic trading and real estate company Sy Cat has submitted a plan to Ba Ria-Vung Tau province’s authorities to build a wind energy plant worth some US$26 million on Con Dao island off the southern coastal province, in line with the province’s plan to turn Con Dao into an eco-tourism island.
A source from the provincial Department of Planning and Investment told the Daily on Wednesday that the department appreciated the project, considering it necessary for Con Dao’s socio-economic development.
Therefore, the department has sent a statement to the provincial government requesting approval for the wind energy plant on the island, 180km offshore Vung Tau City.
Under the investor’s plan, the wind energy plant will be built on 45 hectares encompassing Nhat beach and Da Trang beach.
Development in the first phase will take three years, and the plant will have a designed generation capacity of 10MW. When the demand rises and upon approval from authorities, the investor will build more facilities to double the generation capacity to some 20MW.
The private investor estimates the cost at VND445 billion, or US$26 million, and it seeks to operate the wind energy plant in 30 years.
The power will be sold to the island district at a price of 16.5 US cents a kilowatt in the first 10 years of operation, down to 15.7 cents for the next 15 years and 13.2 cents from the 25th year.
The project, if licensed, will be the second wind power plant on the island. Last year, Aerogie.plus Vietnam, a subsidiary of Swiss energy firm Aerogie.plus Solutions AG, received a license to develop the first wind power station in Con Dao, touted as a solution to protect the environment, reduce carbon dioxide in the atmosphere and promote eco-tourism.
Hoang Nghia Doan, party secretary of Con Dao Island, had told the Daily on an occasion that wind power projects, including wind towers, should be designed in harmony with the natural landscape and contribute to the preservation of the environment and historic venues on the island.
The island district has only four diesel-fueled generators with a combined capacity of 3MW, which is far behind demand of electricity for daily activities of islanders and fish processing facilities.
As the cost for running diesel-fuelled generators is high, the annual budget used to offset losses from such operations amounts to some VND10 billion.
Con Dao Island is in fact an archipelago of 16 small islets with a total area of more than 7,670 hectares, and is some 45 minutes’ flight from HCMC. Con Lon is the largest island where there are currently four hotels and resorts.
The island is considered as one of the most attractive destinations in Vietnam owing to its long and tranquil beaches, good natural landscapes and historical relics.
Con Dao will have 50,000 residents by 2020, up 10 times compared to the current population, while the number of travelers to the islands is expected to reach 500,000 to 700,000 per year by then.