The Asian Development Bank (ADB) has signed a US$37.8 million loan deal with TTC Energy Development Investment Joint Stock Company (TTC Energy) to provide long-term financing to develop and operate a 50 megawatt (MW) photovoltaic solar power plant in Tay Ninh Province in Viet Nam.
ADB’s assistance for the Gulf Solar Power Project was provided through an innovative project finance structure, which ensured the bankability of the project. The loan is composed of an US$11.3 million A loan and a B loan of up to US$18.9 million.
An additional US$7.6 million loan was provided by the Leading Asia’s Private Infrastructure Fund, which is supported by the Japan International Cooperation Agency. The B loan will be funded by Bangkok Bank PCL, Siam Commercial Bank PCL, and Standard Chartered Bank (Thai) PCL.
The project is located about 50 kilometers northwest of Ho Chi Minh City. The solar power plant will directly serve the electricity demand of residents and businesses of Ho Chi Minh City and surrounding areas. It will reduce annual carbon dioxide emissions by 29,760 tons by 2020.
