Iberdrola, one of the largest global energy companies, has acquired renewable energy assets in Vietnam from German SOWITEC Group.
|Iberdrola has bought the renewable energy assets of SOWITEC Group in Vietnam |
SOWITEC Group has sold its Vietnamese operations to Iberdrola which is looking for markets with growth potential in the Asia-Pacific. This decision reinforces the favourable outlook for the final stages of development and implementation of the 550MW renewable portfolio under development by SOWITEC Vietnam, distributed in six projects: five wind farms and a 50MW floating photovoltaic project.
The projects, with capacity between 50MW and 250MW, are scheduled to be completed between 2022 and 2024 and will form part of the country's energy strategy, which plans to cover the growth of energy demand, mainly through renewable projects.
SOWITEC has been active in Vietnam since 2017 and founded a local subsidiary named SOWITEC Vietnam. The portfolio is located in various Vietnamese provinces and was developed by the local team of SOWITEC.
Vietnam foresees the installation of more than 20,000 renewable MW before 2030 with foreign investment. The country foresees strong growth in electricity demand and GDP, and maintains a free trade and foreign investment protection agreement, signed in 2020, with the European Union.
"We are pleased to have found a strong investor for our Vietnamese project portfolio with Iberdrola. This sale is another important milestone and shows once again the great confidence in SOWITEC and in our projects," said Frank Hummel, CEO of SOWITEC.
Meanwhile, Iberdrola said it wants to build on its renewable energy leadership in Europe and America with increased presence in the Asia-Pacific region, to become the world’s largest renewable energy company.