Mr. Nicolas Warnery - French Ambassador to Vietnam
The Southern Power Distribution Grid project consists of 33 sub-projects that will help improve the efficiency of electricity supply for the Southern region, mitigate power shortages and overloads in many areas, improve the quality, the safety and reduce power loss on the transmission system, and at the same time absorb energy from some renewable energy sources in the region. The project will contribute to enabling people and the economy to enjoy good quality electricity, thereby promoting economic and social development in the Southern provinces.
For EVN, the project funded by AFD will support the Group to promote its value and realize an efficient energy transition.
Mr. Ho Sy Hung - Vice Chairman of the Committee for Management of State Capital at Enterprises:
Appreciating the achievements in the cooperation relationship between EVN and AFD in particular, as well as the support and cooperation of AFD for projects in the Power sector in general.
In order to successfully implement the project, EVN should take the initiative to comprehensively monitor, manage, and ensure that the loan will be used for the right purposes, in a safe and effective manner, fully and timely paid back to AFD in accordance with the provisions of the law. At the same time, EVN should direct EVNSPC to implement the project on schedule, in compliance with legal regulations on construction investment; urgently complete procedures to arrange finance, including the counterpart fund, for the project, meeting funding requirements under any circumstances.
Mr. Duong Quang Thanh - Chairman of the Board of Directors of EVN:
EVN and AFD have had a strong cooperative relationship for more than 20 years. EVN highly appreciates AFD's support and cooperation in arranging non-sovereign loans for power projects, especially in the context that sovereign borrowings are increasingly limited.
With the commitment of the Prime Minister of Vietnam at the COP26 Conference on the target of net-zero carbon emissions by 2050, AFD and European partners have been currently actively cooperating with and supporting EVN to play a "leading" role in the energy industry, contributing to the national energy transition program to realize the above target.
EVN is committed to directing EVNSPC to implement the project in line with the project objectives and use the loan efficiently.
Mr. Herve Conan - Director of AFD Vietnam:
This Euro 80 million non-sovereign loan is the first cooperation project between AFD and EVN in the form of a loan provided by AFD to a subsidiary of EVN. This is a concessional loan, partially subsidized by the French Government's budget, with a long-term repayment period of 15 years including a grace period of 5 years in line with the project construction and development time, so that EVNSPC can have a source of earnings to repay the loan.
With EVN, we have built a long-lasting partnership and we expect to develop this partnership on a long-term basis, in response to EVN's strong investment and transformation needs. In the future, we will support EVN in the energy transition and provide technical assistance to EVN to facilitate the energy transition.