Construction of a hydropower project in a remote mountain province in northwest Vietnam will involve the relocation of 103 000 people, Reuters reports. A feasibility study for the Son La project was recently submitted to the government by Electricity of Vietnam (EVN).
Russian consultants assisted with the study for the 3600 MWe scheme. Vietnam will to underwrite 30 per cent of the cost, but the remainder will need to be raised from international financial markets and lending agencies. The environmental effects of the scheme are likely to prevent some agencies from supporting it.
Vietnam’s electricity demand is expected to rise at an annual rate of 11.6 per cent until 2010. Hydropower provides 63 per cent of Vietnam’s electricity supply. If constructed, Son La will be three times the size of Hoa Binh, currently the largest hydropower station in Vietnam.