As part of international cooperation on energy transition, the French Government has announced a 67 million euro grant to upgrade Vietnam’s power transmission infrastructure, marking the first public investment under the Just Energy Transition Partnership (JETP) framework
The financing agreement was signed between the French Development Agency (AfD) and the National Power Transmission Corporation (EVNNPT) during the official visit of French President Emmanuel Macron to Vietnam. The concessional loan will fund three sub-projects, including constructing two new 500 kV substations and transmission lines in Binh Duong and Dong Nai, two key southern economic regions with growing electricity demand.
The project aims to improve the stability and operational capacity of the national grid, making an essential contribution to ensuring energy security, supporting socio-economic development, and promoting Vietnam’s clean energy transition.
Photo: ITN. This is the first officially funded JETP project in Vietnam, marking a concrete beginning of the 15.5 billion USD commitment from the International Partners Group (IPG), which includes the UK, EU, France, Germany, the US, Japan, Canada, Italy, Norway, and Denmark. The funding package consists of both public finance and mobilized private capital over a 3 - 5 year period.
Currently, the JETP Vietnam Secretariat has selected eight priority projects to seek international financial support. Besides EVNNPT’s project, two others are also making notable progress: phase two of the Bac Ai pumped-storage hydropower plant, led by EVN, and the expansion of the Tri An hydropower plant. During 2023–2027, France has pledged to mobilize up to 500 million euro in concessional loans to support Vietnam’s transition to a low-carbon economy.