TNB Renewables, a wholly-owned subsidiary of Malaysian utility company Tenaga Nasional Berhad (TNB), will buy a 39% stake in five rooftop solar projects developed by Singapore-based Sunseap Group in Vietnam. The process will be completed by March 2021.
Sunseap Group is a clean energy solutions provider in Singapore, with over 300 MW of contracted rooftop solar projects, out of which 168 MW have been completed on more than 1,500 buildings in Singapore.
The projects to be acquired are in southern Vietnam and have a total capacity of 21.6 MW. They were completed in December last year under Vietnam Electricity’s ‘Feed-in-Tariff 2’ program.
The five solar power projects have a power purchase agreement for 20 years with the state-owned Vietnam Electricity to supply power to the national grid at a tariff of $0.0838 (~₹6.11)/kWh.
Earlier, the Prime Minister of Vietnam, Nguyen Xuan Phuc, announced that the country would go back to conducting solar auctions, doing away with the feed-in-tariff mechanism. He said that the development of the solar sector required an auction system for ground-mounted solar projects.