American-based General Electric (GE) and Vietnam’s trade ministry have agreed on a massive wind power deal that will supply the country with 1,000 megawatts of power by 2025.
GE and the Vietnamese government signed a memorandum of understanding in front of Vietnamese president Tran Dai Quang and United States president Barack Obama earlier this week, reports Nasdaq.
The agreement calls for GE to help local developers vet potential wind power projects which would provide 1.8 million Vietnamese families with electricity.
GE already operates a wind turbine equipment and components factory in Hai Phong to supply local projects such as these, according to Thanh Nien.
"Developing renewable energy is one of Vietnam's priorities in handling energy challenges to support socioeconomic development," Dang Huy Cuong, head of the energy department of the Ministry of Industry and Trade, told reporters.
The first phase of the new wind power plan will see GE supply 62 turbines for a 99.2-megawatt wind farm in Bac Lieu province.
On the sidelines of Obama’s first visit to Vietnam, the country has signed off on a series of pacts with American businesses over the past three days, including a VietJet order for 100 Boeing 737s and US$3 billion worth of Pratt & Whitney engines. High-value deals with US weapons manufacturers are likely on the horizon as well now that the lethal arms ban has been lifted.
[Photo via Flickr user Michał Sacharewicz]
