AFD and EDF IN signed two financial agreements valued at US$752,223, in Ha Noi yesterday. — Photo baodautu

HA NOI (Biz Hub) — The French Development Agency (AFD) and the Electricity de France International Networks (EDF IN) signed two financial agreements valued at US$752,223, in Ha Noi yesterday.

The agreement is expected to optimise investment planning of two major electricity distribution companies - Ha Noi Power Corporation and the Northern Power Corporation, both subsidiaries of Electricity of Viet Nam (EVN).

EDF IN would support the two companies in drawing up a master plan for two pilot areas jointly identified at a later date.

Viet Nam's aggregate energy demand, which has significantly increased over the last two decades, is projected to have a growth rate of 5 per cent to 10 per cent in the coming years.

Viet Nam is forecast to face several major challenges in the future, with reliable power supply requiring expansion of the country's investment capacity. In 2014, EVN invested nearly $6 billion for the construction of power lines, which represents a major effort compared to previous years. — VNS