The soaring price of gas and the dropping price of gasoline products in collaboration with the pressure from renewable energy are putting Nhon Trach 2 Thermal Power Plant in a tight spot.
|Nhon Trach 2 Thermal Power Plant is reducing its annual targets due to mounting difficulties |
According to the first-quarter financial statement of Nhon Trach 2 Thermal Power Plant, its net revenue decreased by 4.3 per cent to VND1.64 trillion ($71.3 million). The main reason was an 18.5 per cent decrease on-year in power output to 216.9 million kWh.
According to information published on the power plant's website, the price of gas in March increased by 21.4 per cent on-year. The figure was 14 per cent and 19.4 per cent in January and February.
The total power consumption of partners buying power from Nhon Trach 2 declined by 143.9 million kWh on-year.
Power consumption decreased at Nhon Trach 2 due to the rise of renewable energy generation and the COVID-19 pandemic disrupting manufacturing and trading activities. In 2020, the total power capacity of the country rose 19 per cent on-year, with the majority of new supply coming from renewables.
Due to the above disadvantages, Nhon Trach 2 has set 26 per cent lower after-tax profit target for this year at VND462 billion ($20.1 million).
Located in the southern province of Dong Nai, Nhon Trach 2 Thermal Power Plant has a total capacity of 750MW and uses natural gas which as its main fuel which has been registered under the United Nations’ Clean Development Mechanism (CDM).
This is a key national key project in PetroVietnam Nhon Trach Power Centre. The first 250MW turbine of the power plant went into commercial operation in February 2011.