Tokyo Electric Power Company Holdings, Inc. (TEPCO) is looking to increase the efficiency of the 29.7MW Coc San Hydropower Plant in Vietnam after acquiring a 36.38% stake in project operator Viet Hydro Pte Ltd, the majority shareholder of Lao Cai Renewable Energy Joint Stock Company.
The company acquired the shares from InfraCo Asia Development Pte. Ltd. (InfraCo Asia), a company of the Private Infrastructure Development Group (PIDG).
TEPCO has been working to turn renewable energy into one of its primary energy sources to increase the company’s corporate value. As part of this strategy, TEPCO is newly pursuing the development of hydropower overseas and offshore wind power both in Japan and overseas. The company aims eventually to develop a total capacity of 2000-3000MW.
Coc San Hydropower Plant has been operating stably since launching commercial operations in April 2016, supported by a 20-year power purchase agreement with Northern Power Corporation, a power distributing subsidiary of Vietnam Electricity. Going forward, TEPCO said it expects to leverage its knowhow and experience from Japan to strengthen Coc San’s profitability through increased efficiency.
“As a respected international organization looking to grow its footprint in the renewable energy space, TEPCO is well-suited to build and expand upon InfraCo Asia’s role in the Coc San project,” said InfraCo Asia CEO, Allard Nooy. “InfraCo Asia invested in the project early on with the aims of creating strong development impact and serving as a catalyst for private sector investment, for both the Coc San project and Vietnam’s renewable energy sector. TEPCO’s acquisition of InfraCo Asia’s shareholding provides strong validation for the promise of clean, renewable power in Vietnam, and serves as a benchmark for other private sector players who are considering investing in the country. We would like to thank the TEPCO team for their efforts, and we look forward to more fruitful collaborations in the future.”
TEPCO said it will continue exploring opportunities to participate in other hydropower projects, mainly in Southeast Asia, and develop its overseas business by partnering with companies in Japan and overseas.
