Contractors mobilized manpower and specialized equipment to simultaneously carry out five tunnel construction fronts at Bac Ai Pumped-Storage Hydropower Plant.

Enhancing power system flexibility

According to statistics, by the end of 2025, the total installed capacity of the national power system reached approximately 87,600MW, an increase of about 6,400MW compared to 2024. Of this, renewable energy sources (wind, solar, biomass, etc.) accounted for around 24,453MW (27.9%); coal-fired thermal power totaled 28,100MW (32.1%); and hydropower reached 24,640MW (28.1%). As the proportion of renewable energy in the power system continues to rise—while its generation characteristics remain highly dependent on weather conditions—the risk of supply-demand imbalance increases, placing considerable pressure on system operation. In this context, developing energy storage solutions, particularly pumped-storage hydropower, is considered an inevitable direction.

Under the Revised National Power Development Plan for the 2021–2030 period, with a vision to 2050 (Power Development Plan VIII), total pumped-storage hydropower capacity is targeted to reach 2,400–6,000MW by 2030 and approximately 20,691–21,327MW by 2050. This demonstrates that pumped-storage hydropower is identified as one of the key solutions to ensuring long-term national energy security.

Accelerating project implementation

At present, most pumped-storage hydropower projects in Vietnam are in the stages of survey, research, and design. Only the Bac Ai Pumped-Storage Hydropower Plant Project has officially commenced construction. The project has a total installed capacity of 1,200MW, comprising four units (300MW each), with a total investment cost of VND 21,101 billion. It is invested by Vietnam Electricity (EVN), with Power Project Management Board 3 (EVNPMB3) acting as the owner’s representative. This is Vietnam’s first pumped-storage hydropower project, classified as a Group A, special-grade energy project. It is being built in Bac Ai Tay Commune, Khanh Hoa Province, to generate peak-load power and help flatten the system load curve by pumping water during off-peak hours and generating electricity during peak demand periods.

Mr. Pham Thanh Hoai, Director of EVNPMB3, stated that the project has been under implementation since early March 2025 and is currently being accelerated. The plant is expected to be completed and put into operation by the end of 2029 or early 2030, contributing to the absorption of renewable energy capacity and enhancing the flexibility of national power system operations. With its large scale, the project’s reservoir system will help establish an important regional energy hub, supporting capacity regulation, energy storage, and electricity generation at appropriate times—particularly in a system with a high proportion of renewable energy sources.

The practical implementation of the Bac Ai Pumped-Storage Hydropower Project demonstrates that when prepared comprehensively in terms of planning, resources, and technology, this type of power generation can operate effectively and support renewable energy integration.

Translator: Vân Ly