Deputy Prime Minister Bui Thanh Son at the ceremony to announce the EU's support package for Vietnam within the second Global Gateway Forum, held in Brussels, Belgium on October 9, 2025. (Photo: VNA)

The European Union (EU) has announced a support package worth 430 million EUR (nearly 497.7 million USD) to advance the Bac Ai pumped-storage hydropower project, one of Vietnam’s key projects under the Just Energy Transition Partnership (JETP).

The announcement was made at the second Global Gateway Forum, held in Brussels, Belgium from October 9 to 10.

In his remarks at the event, EU Commissioner for energy Jozef Síkela emphasised that the Bac Ai project serves as a key foundation in the joint efforts of Vietnam and the EU to build a green, stable, and sustainable energy system while attracting private investment and promoting green growth. He affirmed that through the Global Gateway initiative, the EU is turning its commitments into concrete actions, for people, the planet, and shared prosperity.

The project is expected to enhance the stability of the national power system, facilitate the expansion of renewable energy development, and contribute to Vietnam’s goals of carbon emission reduction and sustainable development.

The 430-million-EUR support package is part of the Team Europe Initiatives, comprising the EU, its member states, and development finance institutions such as the French Development Agency (AFD), the European Investment Bank (EIB), the Germany’s KfW development bank (KfW), the Italian national development bank (Cassa Depositi e Prestiti – CDP) and PROPARCO - the private sector financing branch of the AFD.

During the 2021–2027 period, the EU has committed to providing Vietnam with at least 293 million EUR, while total contributions from European partners amounting to over 2.8 billion EUR for the JETP. This investment will help promote green infrastructure development and sustainable energy transition, and strengthen regional power connectivity within ASEAN./.

VNA