Vietnamese Deputy PM Bùi Thanh Sơn and EU Commissioner for energy Jozef Síkela at the signing ceremony for the EU's support for Việt Nam as part of JETP. — VNA/VNS Photo

BRUSSELS — The European Union (EU) has announced a support package worth EUR430 million (nearly US$497.7 million) to advance the Bác Ái pumped-storage hydropower project, one of Việt Nam'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 Bác Ái project serves as a key foundation in the joint efforts of Việt Nam 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 Việt Nam'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 Việt Nam with at least EUR293 million, while total contributions from European partners amounting to over EUR2.8 billion for the JETP. This investment will help promote green infrastructure development and sustainable energy transition, and strengthen regional power connectivity within ASEAN. — VNA/VNS