Leading renewables firm Enel to exit Vietnam, sources say
Enel planned to install 6 GW of renewable capacity in Vietnam
Exit would follow moves by other Western firms on renewables
Move is part of Enel's broader reorganisation, sources say
Vietnam has plans to double installed power capacity by 2030
By Francesco Guarascio
HANOI, Sept 10 (Reuters) -Italy's Enel ENEI.MI is preparing to exit Vietnam, three people briefed on the matter told Reuters, in what would be the latest move by a western firm to scrap renewable power projects in a country struggling to implement its decarbonisation plans.
The Italian utility had said in 2022 it wanted to invest in plants to generate up to 6 gigawatts (GW) of renewable energy in Vietnam, without specifying in which type but noting the country's potential in wind and solar energy.
Two of the people said the move was part of a broader reorganisation of Enel's global business.
It is unclear if or when the exit from the Southeast Asian nation will be announced. The company is scheduled to make its annual strategic planning presentation in November.
Enel declined to comment. The sources did not want to be identified because the information was not public.
Vietnam's industry ministry did not reply to a request for comment.
State-controlled Enel is one of the world's largest investors in renewable energy but since CEO Flavio Cattaneo took the helm last year it has shifted its focus towards grid infrastructure and pledged to devote a significant share of its investments domestically and reduce international exposure.
Enel's exit from Vietnam would be the latest blow for the Southeast Asian country's energy strategy, which hinges on ramped-up investment in power generated from renewables and gas to reduce reliance on coal.
Last month, Reuters reported that Norway's Equinor EQNR.OL cancelled plans to invest in Vietnam's offshore wind sector, while Denmark's Orsted ORSTED.CO said last year it would pause plans to invest in large offshore wind farms in the country.
Enel's renewables arm, Enel Green Power, manages more than 1,300 plants and has about 64 GW of installed renewable capacity worldwide, according to its website.
Of the 6 GW in capacity Enel planned to install in Vietnam, approximately 1 GW was "already at an advanced stage" in mid-2022, with the first unspecified power plant expected to come online this year, according to the company's web pages about Vietnam (https://www.enelgreenpower.com/countries/asia/vietnam).
Enel did not comment about the state of its projects in Vietnam.
RENEWABLES WOES
Vietnam's current installed electricity capacity is about 80 GW, which the government plans to nearly double by 2030, with wind alone forecast to account by then for nearly 20% of the total compared with a very low share in 2020.
The export-driven country, which hosts large manufacturing operations of several multinationals, has ramped up its renewables efforts in recent years, attracting multiple foreign investors.
However, Vietnam has struggled to integrate some of the new capacity, with many solar and onshore wind projects not connected to the grid.
Recently, progress has been hampered by regulatory hurdles including a lack of regulations to develop offshore wind, and protracted negotiations over the price the state would pay to power producers.
"I think companies are getting tired of having capital tied up in a market that is frozen," one Vietnam-based energy industry executive told Reuters, declining to be named because of the impact the remark could have on their business.
To address growing demand and avoid power shortages that scared investors last year, the country has vastly increased its consumption of coal.
Vietnam power mix Vietnam power mix https://tmsnrt.rs/42QliEa
Reporting by Francesco Guarascio in Hanoi; additional reporting by Francesca Landini in Milan and Phuong Nguyen in Hanoi; Editing by Tony Munroe and Muralikumar Anantharaman
免責聲明: XM Group提供線上交易平台的登入和執行服務，允許個人查看和/或使用網站所提供的內容，但不進行任何更改或擴展其服務和訪問權限，並受以下條款與條例約束：（i）條款與條例；（ii）風險提示；（iii）完全免責聲明。網站內部所提供的所有資訊，僅限於一般資訊用途。請注意，我們所有的線上交易平台內容並不構成，也不被視為進入金融市場交易的邀約或邀請 。金融市場交易會對您的投資帶來重大風險。
所有缐上交易平台所發佈的資料，僅適用於教育/資訊類用途，不包含也不應被視爲適用於金融、投資稅或交易相關諮詢和建議，或是交易價格紀錄，或是任何金融商品或非應邀途徑的金融相關優惠的交易邀約或邀請。
本網站的所有XM和第三方所提供的内容，包括意見、新聞、研究、分析、價格其他資訊和第三方網站鏈接，皆爲‘按原狀’，並作爲一般市場評論所提供，而非投資建議。請理解和接受，所有被歸類為投資研究範圍的相關内容，並非爲了促進投資研究獨立性，而根據法律要求所編寫，而是被視爲符合營銷傳播相關法律與法規所編寫的内容。請確保您已詳讀並完全理解我們的非獨立投資研究提示和風險提示資訊，相關詳情請點擊 這裡查看。
