SP Group has signed a memorandum of understanding with BCG Energy Joint Stock Company, a wholly owned subsidiary of Bamboo Capital, that provides it exclusive rights to purchase 49 per cent of the latter’s subsidiary, Skylar Joint Stock Company.

Under the agreement, SP will acquire an initial 61.1 MW of rooftop solar assets from Skylar in 14 provinces across Viet Nam.

It will mark SP’s entry into Viet Nam’s renewable energy sector, a strategic growth market for it as it continues to expand its sustainable energy solutions footprint in the region.

The two sides will also jointly explore opportunities to invest and develop solar power projects to enhance Viet Nam’s electricity supply and support its ambitious goal of increasing the rate of electricity produced from renewables to 32 per cent by 2030 and 43 per cent by 2045.

Skylar specialises in rooftop solar and the installation of solar rooftop assets on factories and industrial parks.

BCG Energy is regarded as a pioneer in Viet Nam’s renewable energy industry. In recent years it has focused on researching into and implementing renewable energy projects to create an alternative supply.

It has been working closely with the world’s leading players in the solar industry on solutions, technologies, construction plans, environmental solutions, and analysis of local energy needs, thereby boldly making proposals to invest in large renewable energy plants in Viet Nam.

SP’s group chief executive officer, Stanley Huang, said: “This collaboration with BCG Energy will create a strong platform for us to support Viet Nam’s growing demand for electricity via a renewables-led path.

“Our track record in Singapore and China highlights our operational and technical expertise in sustainable energy projects that deliver on both business and environmental outcomes.

“We are confident this partnership with BCG Energy, a leader in renewable energy in Viet Nam, will offer operational synergies and innovation opportunities to advance Vietnam’s transition to low carbon energy and meet its sustainability ambitions.”

BCG Energy chief executive officer Pham Minh Tuan said: “Our aspiration is to build a leading renewable energy company in Viet Nam and Asia that will build significant market share in its fields. We believe that BCG Energy's cooperation with SP will contribute to promoting Viet Nam's energy industry to develop in a sustainable, environmentally friendly manner and enhance its ability to adapt to climate change.”

BCG aims to develop 1.5 GW by 2023, including 500 MW rooftop solar focusing on industrial zones and manufacturing factories across Viet Nam. The new collaboration with SP Group will based on a win-win partnership and fasten up the company’s target pipeline.

In December last year SP established its Vietnam office in HCM city.

By extending its capabilities in sustainable energy and digital solutions, SP aims to create value-added solutions for its customers in Viet Nam and establish SP’s position as a leading sustainable energy solutions player in Asia Pacific.

SP Group is a leading utilities group in the Asia Pacific that seeks to enable a low-carbon, smart-energy future for its customers.

It owns and operates electricity and gas transmission and distribution businesses in Singapore and Australia, and sustainable energy solutions in Singapore and China.

As Singapore’s national grid operator, it benefits around 1.6 million industrial, commercial and residential customers with its world-class transmission, distribution and market support services.

These networks are among the most reliable and cost-effective anywhere in the world.

Beyond traditional utilities services, SP Group provides a suite of renewable and sustainable solutions including solar energy, microgrids, cooling and heating systems for business districts and residential townships, electric vehicle fast charging, and green digital energy management tools for customers in Singapore and the region.

BCG Energy is one of the pioneers in the renewable energy market in Viet Nam.

In recent years BCG Energy has focused on solar farms, solar rooftop and wind energy. It has successfully put into operation BCG-CME Long An 1 (49.6 MW) and BCG-CME Long An 2 (100.5 MW) solar power plants, VNECO Vinh Long solar farms (49.3 MW), Phu My Solar Power Plant (330 MW) and almost 50 MW of rooftop solar in Viet Nam.

In 2021 BCG Energy's revenues are expected to grow rapidly since it has added more than 453 MW of power to the grid.

In the near future BCG Energy will speed up solar energy projects, especially rooftop solar, in industrial zones.

Skylar JSC, its subsidiary, concentrates on rooftop solar, and is hailed by its partners for its ability to implement projects on schedule.

In 2020 it installed nearly 50 MW of rooftop solar in many provinces and cities across Viet Nam.

In 2021-22 it is expected to instal another 250 MW. — VNS