Vietnam approves $48.3mn power transmission project to support renewable energy, electricity imports from Laos

The 500-kilovolt (kV) Lao Bao–Quang Tri 2 substation transmission line will be developed by state utility Vietnam Electricity (EVN), according to a statement from the Quang Tri provincial government.

The 34.6-km double-circuit overhead line will run through several communes in the province's Huong Hoa, Dakrong, and Cam Lo Districts. 

The project aims to relieve transmission bottlenecks for renewable energy projects in western Quang Tri, prepare for electricity imports from Laos, and improve long-term energy security in the region.

Construction is scheduled to begin in the second quarter of 2026, with commissioning expected by the fourth quarter of 2027. 

The project will operate under a 50-year license.

EVN will benefit from preferential policies including corporate income tax incentives, import duty exemptions on fixed assets and raw materials, and reduced land use fees, due to the project's location in socio-economically disadvantaged areas.

Quang Tri currently hosts 20 operational wind power plants with a combined capacity of 742 megawatts (MW), and has 31 wind projects approved with a total planned capacity of 1,177 MW, according to the provincial Department of Industry and Trade.

Under Vietnam's national power development plan VIII, approved in 2023, Quang Tri's cumulative power capacity is projected to reach 1,800 MW by 2030, with an additional 560 MW allocated under a proposed adjustment to the plan.