Green hydrogen Technology

Investor

VNEW ENERGY WORKS CO., LTD

Report

INVESTMENT PROPOSED
GREEN HYDROGEN MANUFACTURING

Report

CPA CONSTRUCTION INVESTMENT
JOINT STOCK COMPANY

February 2022


Investor

VNEW ENERGY WORKS CO., LTD

Report

INVESTMENT PROPOSED
GREEN HYDROGEN MANUFACTURING

Report

CPA CONSTRUCTION INVESTMENT
JOINT STOCK COMPANY

Khanh Hoa, February 2022

REPRESENTATIVE OF INVESTORS

REPRESENTATIVE CPA

GENERAL DIRECTOR

GENERAL DIRECTOR

Doan Van Phuoc


Green hydrogen Manufacturing

VNEW Co.LTD

TABLE OF CONTENTS
CHAPTER I. OVERVIEW ....................................................................................................... 3
I.1.

ABOUT TECHNOLOGY .................................................................................................. 3

I.2.

HOW BLUE HYDRO IS PRODUCED ............................................................................ 6

I.3.

INTERNATIONAL INTEGRATION ON CLIMATE CHANGE ................................ 9

CHAPTER II. PROFESSIONAL TECHNOLOGY OF THE FACTORY .......................... 11
II.1. PROFESSIONAL TECHNOLOGY OF COMBINATIONS ....................................... 11
II.1.1.

ELECTRICAL PARTS................................................................................................... 11

II.1.2.

AMMONIA GENERAL PARTS ................................................................................... 12

II.2. EXPECTED GAS PRODUCT ........................................................................................ 12
II.3. PRELIMINARY INVESTMENT CONSTRUCTION ITEMS OF THE
FACTORY ................................................................................................................................... 12
II.4. PRELIMINARY SOLUTIONS FOR TRANSPORTATION OF FINISHED GAS .. 13
II.5. INPUT MATERIALS ...................................................................................................... 13
CHAPTER III. HYDRO INDUSTRY DEVELOPMENT TREND IN THE WORLD......... 15
III.1. THE INTEREST OF GOVERNMENTS ....................................................................... 15
III.2. VIETNAM'S INTEREST ................................................................................................ 16
III.3. CHALLENGES THAT NEED TO BE REMOVED ..................................................... 16
CHAPTER IV. INVESTMENT ENVIRONMENT ................................................................. 17
IV.1. GOVERNMENT'S DETERMINATION IMPLEMENTATION OF NET-ZERO.... 17
CHAPTER V. FAIBLE FUTURE TECHNOLOGY .............................................................. 20
V.1.

ASSESSMENT ON CO2 EMISSIONS INCREASE ..................................................... 20

V.2.

ORIENTATION OF SOLUTIONS TO REDUCING CO2 Emissions ........................ 20

CHAPTER VI. PROJECT MODEL ......................................................................................... 23
VI.1. BASIC CONTENTS OF A HYDROGEN PROJECT .................................................. 23
VI.1.1. PROJECT OBJECTIVES : ............................................................................................. 23
VI.1.2. PROJECT SCALE FOR 12 ELECTRICAL MODULE FACTORY ............................. 23
CHAPTER VII. FUEL RESOURCES AND INVESTMENT RATE .................................. 27
VII.1. EVN'S ELECTRICAL SALE PRICE ............................................................................ 27
VII.2. REGULATIONS ON POWER BUYING TIMES......................................................... 27
VII.2.1. NORMAL HOURS......................................................................................................... 27
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VII.2.2. PEAK .............................................................................................................................. 28
VII.2.3. IDLE ............................................................................................................................... 28
VII.3. ESTAIMATED TIME FRAME FOR POWER BUYING ........................................... 28
VII.4. PRODUCTION INVESTMENT ELECTRICITY PRODUCTION COST ................ 28
VII.5. CONTINUOUS WORKING POWER ........................................................................... 28
VII.6. RESERVE TOTAL INVESTMENT LEVEL ................................................................ 29
CHAPTER VIII. FUTURE ORIENTATION ........................................................................ 30
VIII.1.

RESEACH ABOUT TECHNOLOGY .................................................................... 30

VIII.1.1. GENERAL PRINCIPLE................................................................................................. 30

VIII.1.2. STRUCTURE ................................................................................................................. 30
VIII.1.3. PRINCIPLE OF OPERATION ...................................................................................... 31
VIII.1.4. APPLICATIONS TO AUTO MANUFACTURING INDUSTRY ................................ 31
VIII.2.

ORIENTED DEVELOPMENT ............................................................................... 32

VIII.2.1. ORIENTATION OF ELECTRICAL PRODUCTION FROM HYDROGEN ............... 32
VIII.2.2. ORIENTATION ON HYDRO FUEL BATTERY FACTORY ..................................... 33
VIII.2.3. WORLD TREND ........................................................................................................... 34
VIII.2.4. DEVELOPMENT VISION ............................................................................................ 35
CHAPTER IX. LOCATION SELECTION AND PROPOSALS ........................................... 37

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CHAPTER I.
I.1.

VNEW Co.LTD

OVERVIEW

ABOUT TECHNOLOGY

Currently, the trend of shifting to using low-emissions energy forms is becoming

urgent in the world, including Vietnam.
The demand for energy from fossil fuel sources such as oil and coal is forecasted to
gradually decrease, replaced by more environmentally friendly forms of energy such
as liquefied natural gas (LNG). , biomass fuel, green hydrogen gas is produced from
carbon neutral sources. In particular, hydrogen and ammonia are emerging as a
potential solution because they not only meet clean conditions, do not produce CO,
CO2 but importantly, have an endless supply. After receiving the modulation, it can be
converted into other forms of energy such as heat and electricity. Not only applied to
energy systems, hydrogen and ammonia can be used as input materials for many
different industries such as chemical, petrochemical, metallurgy and even in the fields
of cosmetology and medicine. ...

Currently, hydrogen gas is still mainly produced through the thermochemical process
of fossil fuels such as natural gas, oil or coal due to cost advantages. However, this
process produces many emissions that cause environmental pollution and the
greenhouse effect. Therefore, other more environmentally friendly hydrogen and
ammonia production methods are being encouraged to develop and commercialize at
increasingly competitive costs.
In which, hydrogen production by electrolysis and then ammonia synthesis with
energy input from mainly environmentally friendly renewable energy sources will be
an advantage in the development path of the world. world today, towards an industrial
world applying green energy.
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The output product of these plants is Hydrogen gas, produced by water electrolysis
technology, serving domestic demand and export in the power, chemical,
petrochemical and metallurgical industries. The project, when put into operation, will
contribute to local socio-economic development, and at the same time encourage
Vietnam's Green Hydro Industry to develop, contributing to the Net-zero roadmap as
committed by the Governmen Vietnam.
Hydrogen is a fuel for many industries. Hydrogen has become a target in the energy
development strategy of many countries. In particular, green hydrogen is also expected
to be the key to a zero-carbon economy. It is also an efficient energy storage solution,
helping to promote the development of renewable energy sources such as wind power,
solar power, etc.

The peculiarity of our country is that areas with strengths in renewable energy
development are not the main load areas. This leads to the fact that there exist areas
with "stagnation" of energy sources without timely building infrastructure to release
capacity to consumption load centers. Typically, Ninh Thuan - Binh Thuan area, the
coastal area of the Mekong Delta, etc. These are areas with very strong development of
renewable energy, but the power grid through this area is not enough to load at full
capacity. This immediately forced the dismissal of a very wasteful energy, the next
effect is that the Plants do not continue to invest despite having great potential.
To overcome the excess of energy and balance the capacity, contributing to the
regulation of the national power system, the solution of energy storage needs to be
considered. For example, Ninh Thuan - Binh Thuan area has good potential energy
from adjacent mountainous areas that can build stored hydroelectric power plants.
However, the energy storage power plants have great environmental impacts, affecting
the forest ecosystem, etc. and it is only limited, solving the problem of balancing local
capacity according to peak-off-peak hours. And in the end, that storage source still has
to re-energize the regional grid during peak hours.
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Meanwhile, the solution of hydrogen production shows a storage efficiency equivalent
to that of a storage power plant, but has the superior advantage of being able to
transport dispersed hydrogen to load areas for power generation, or use directly for
generating heat to run turbines for other industries, or electrifying in very flexible fuel
cells (without stressing the on-site grid during both peak and off-peak hours, to make
room for other forms of storage). other fixed capacity).

Thus, electricity is used in the hydrogen production process (by electrolysis of water),
then it is generated by electrochemical processes (in fuel cells) or generated from gas
turbines. Running on hydrogen, hydrogen is a long-term and effective energy storage
method. Hydrogen produced from renewable energy can be considered as a form of
stored energy, for use within reasonable time frames; transport to areas where there is
no advantage or provide for transportation… Therefore, the development of Green
Hydro will also help promote the development of renewable energy and the trend of
energy transition. quality towards a zero-carbon economy.
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The combination of renewable energy plants ( solar power plants , wind power
plants...) with green hydrogen production facilities by electrolysis and power plants
using fuel cells or gas turbines powered by hydrogen to form an integrated electric-gas
energy system is also a solution to take advantage of both renewable energy and
hydrogen as an energy storage system.
The generation of electricity from renewable energy is increasingly cheaper, which is a
great advantage to develop the green hydrogen production industry.
The areas of Ninh Thuan, Binh Thuan, Mekong River Delta, and Gulf of Tonkin are
areas with great potential for renewable energy, the transmission of electricity from
offshore wind fields to the shore to connect to the transmission grid. Loading is both a
complex and expensive solution. Accompanying that is the issue of security and safety
of the undersea electric grid.
Applying hydrogen production technology right at sea will solve that difficult
problem. Hydro customers have easy access to move finished products around the
world via conduit mooring buoys without the need to build large-scale ports from land.

I.2.

HOW BLUE HYDRO IS PRODUCED

The technology is based on generating hydrogen, a very common and highly reactive
light fuel, through an electrochemical process.
This method uses an electric current to separate the hydrogen from the oxygen in the
water. Therefore, if there is electricity from renewable energy sources, people will be
able to produce electricity without having to emit CO2 into the atmosphere.

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According to the IEA, this approach will help reduce 830 million tons of CO2 emitted
annually in production processes using fossil fuels. Similarly, replacing all of the
world's gray hydrogen would require 3,000 TWh/year from new renewable energy
sources , an amount equivalent to the current electricity needs of the whole of Europe.
However, there are some questions about the viability of Green Hydrogen due to the
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relatively high production cost. But continuing to gradually decarbonize the earth will
help reduce the cost of producing renewable energy, alleviating doubts.
Hydrogen is the most abundant chemical element in nature. As noted by the IEA, the
global demand for hydrogen gas has tripled since 1975 and this figure has reached an
average of 70 million tons/year in 2018.
In addition, it is also a clean energy source because hydrogen production does not
produce any harmful emissions. Unlike coal and oil, hydrogen energy production
leaves no waste residue in the air.
Hydrogen has a long relationship with human industrial activities. This gas has played

a role in fueling cars, airships and even spacecraft, since the early years of the 19th
century.
The decarbonization of world economic activities is almost impossible to delay in the
near future and it will further highlight the role of hydrogen in human life.
In addition, if its production cost is reduced by 50% by 2030 as predicted by the World
Hydrogen Council, Hydrogen is definitely the fuel we are looking for in the future.
And also from those solid scientific foundations, major industrial manufacturers,
including the automobile and motorbike manufacturing industry, etc., have begun to
hesitate in getting ready for a source transformation revolution. internal combustion
fuel or transition to the electric vehicle era. Toyota has researched to convert and
successfully test a gasoline-powered car model to use Hydrogen fuel.

In fact, in the US, Russia, China, France and Germany, green hydrogen has been
considered as a fuel source. Some other countries like Japan even go further with the
vision of becoming a green hydrogen economy.
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So how will this fuel source impact in the future?
Hydrogen and oxygen reacting together in a fuel cell can generate electricity and
drinking water. This process has proven to be very useful on space probes because it
provides a sustainable source of water and electricity for the crew.
At the same time, green hydrogen has potential for energy storage because compressed
hydrogen tanks have the ability to store energy for a long time and are also easier to

use than lithium-ion batteries because they are lighter.
Thanks to Green Hydrogen, transportation can reduce the burden of emissions.
Hydrogen's versatility allows it to be used in activities where it is difficult to reduce
carbon emissions, such as heavy-duty transport, aviation and marine. There are already
a few projects underway in this area, such as the Hycarus and Cryoplane projectspromoted by the European Union (EU), which aim to be applied to civil aviation.
I.3.

INTERNATIONAL INTEGRATION ON CLIMATE CHANGE

On December 9, 2021, under the chair of President Niger, the President of the United
Nations in December, the United Nations Security Council (UNSC) held an Open
Discussion on Maintaining International Peace and Security in the United Nations.
climate change and terrorism.

Ambassador Pham Hai Anh, Chargé d'Affaires of Vietnam to the UN, affirmed the
need for a holistic approach to these issues, especially climate change, with the
participation of the entire UN system at the UN level. at a global level, in which the
Security Council plays a special role in addressing security risks, coordinating with
other agencies in preventing conflicts, and ensuring sustainable peace.
In this process, it is necessary to ensure consensus, solidarity, cooperation and support
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among members, with the participation of countries and communities affected by

many impacts, and of women and young people.
Ambassador Pham Hai Anh emphasized the need for forecasting, early preparation and
strengthening the resilience of countries and people in responding to climate change.
Vietnam calls on countries to implement emissions reduction commitments and
provide financial support made at COP26, ensuring the principle of shared but
different responsibility, based on the conditions and resources of each country. .
The Ambassador affirmed that, as one of the countries most severely affected by
climate change, Vietnam will continue to actively, actively and effectively participate
in the joint efforts of the United Nations and multilateral forums in the region. respond
to this challenge.
Thus, from the Net-zero commitment of the Vietnamese Government, now our
Government has been building a "green" image in the international arena, calling on
other countries to act together.
The call to "Ensure the principle of shared responsibility but different, based on the
conditions and resources of each country" has hidden behind a potential for renewable
energy development of Vietnam, and that is the difference and is a distinct advantage
of a tropical coastal country.

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CHAPTER II.

VNEW Co.LTD

PROFESSIONAL TECHNOLOGY OF THE

FACTORY

Green Hydrogen factory has 2 main parts, including Hydrogen electrolysis
(Electrolysis), ammonia synthesis (Ammonia synthesis). In which, electrolysis is the
most important part of the plant, ammonia is used as a hydrogen carrier compound for
the purpose of storing and transporting finished hydrogen.

II.1.

PROFESSIONAL TECHNOLOGY OF COMBINATIONS

II.1.1. ELECTRICAL PARTS
Electrolysis is the process of using electricity to separate water into hydrogen gas and
oxygen gas using an electrolysis machine. The electrolytic machine has the main
component of two anode (anode) and cathode (cathode) embedded in the electrolyte.
Alkaline electrolysis technology (Alkaline - ALK) with electrolyte using alkaline
solution. The electrolysis unit consists of electrolytic modules with rated capacity
depending on the scale. The current popular is each module 20 MW.

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II.1.2. AMMONIA GENERAL PARTS
The main parts of ammonia synthesis process include: Air separation unit, ammonia

synthesis unit, chemical reaction process for Ni-hydrated Hydrogen. silk under certain
industrial conditions to promote an efficient reaction.

II.2.

EXPECTED GAS PRODUCT

The production of Hydrogen and ammonia gas depends on the operating
characteristics of the Plant. A 200MW block producing Green Hydrogen is expected to
work for about 19 hours/day at nominal capacity, total working hours per year over
6800 hours. Refer to the technical parameters of alkaline electrolysis technology and
ammonia synthesis unit, the production of Hydrogen and ammonia gas produced by
the Plant each year is about 266 million Nm3 H2/year, respectively (equivalent to
about 24,000 tons of H2). /year) and 150,000-180,000 tons of NH3/year. Ammonia is
produced from H2 gas through electrolysis and N2 is synthesized from air.
NH3 is produced not only to supply the export market, but can also be supplied to the
domestic market such as factories and thermal power centers, contributing to
stabilizing output as well as contributing to the greening process. Thermal power
plants as the roadmap to reduce carbon emissions committed by the Government.
Besides the main product is Hydrogen contained in ammonia compounds, the
electrolysis process also produces oxygen with high purity. The total annual
production of oxygen gas is about 133 million Nm3 O2/year, equivalent to about
195,000 tons of O2/year. The oxygen produced can be used for metallurgical
industries, industrial production and medical ...
II.3.

PRELIMINARY INVESTMENT CONSTRUCTION ITEMS OF THE
FACTORY

Preliminary construction investment items of the Factory include:

-

The common construction part includes: operator house, workshop, water
supply and drainage system, fire protection system.

-

The electrical part includes: high-voltage substation, connection line,
distribution transformer in the factory, rectifier, inverter.

-

Part of the Plant includes: electrolysis system, air compression system and gas
pipeline, gas storage system, cooling system, water treatment system, control

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system .
II.4.

Auxiliary part: auxiliary solutions for plant operation.
PRELIMINARY
FINISHED GAS

SOLUTIONS

FOR

TRANSPORTATION

OF

The Plant's technological solutions and the transportation plan for finished Hydrogen
gas will be calculated and clarified in the FS phase of the Plant when a specific
location has been determined. However, in terms of the overall solution, priority is still
given to shipping by waterway to optimize costs, so the study site needs to be attached
to the logistics zones of the Deep Sea Port to make the most of the infrastructure.
available floors.
The transportation option from the factory to the ship's mooring position will be the
gas pipeline system to the "Gas-eating dock" located at the most convenient location or
coordinating with the deep-water port in the area.
In case of necessity, considering the transfer of a certain distance by road, use a
specialized refrigerated tank truck or convert Hydrogen to NH3 for convenience in
road transport (Liquefied hydrogen needs to storage at sub-zero temperatures down to
-200°C is a relative obstacle to the direct overland transport of Hydrogen).
II.5.

INPUT MATERIALS

Hydrogen (Hydrogen - H2) is a common chemical element, making up about 75% of
the total mass of the universe and more than 90% of all atoms.
Hydrogen is a secondary energy source, created from a primary source such as water
or other Hydrocarbon compounds, so it has a huge reserve. There are many methods to

produce hydrogen. For example, the method of thermochemical combustion of
Hydrocarbon fuels ( such as methane, oil, etc.), using the thermal technology of
natural gas by steam, gasification of Heavy Hydrocarbon including petroleum and coal
at high temperature under conditions lack of oxygen… However, this method causes
CO2 greenhouse gas emissions; The hydrogen produced by this method is called Gray
Hydrogen. Hydrogen is produced by the thermochemical method of Hydrocarbon,
which combines a CO2 capture and storage technology called Blue Hydrogen.

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Hydrogen is also produced by electrolysis of water (using electricity to split water into
H2 and O2), using electricity from renewable energy sources such as solar power,
wind power, etc. This method does not cause emissions. CO2 is considered a clean,
sustainable technology, the trend of the future. Hydrogen produced by this method is
called green hydrogen.

Current popular hydrogen production technologies

Model of combined hydrogen production technology
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CHAPTER III.

III.1.

VNEW Co.LTD

HYDRO INDUSTRY DEVELOPMENT TREND IN
THE WORLD

THE INTEREST OF GOVERNMENTS

Hydrogen is interested in many countries around the world as a clean energy source to
replace fossil fuels. Hydrogen is also focused on as an energy storage strategy to take
full advantage of the benefits of renewable energy, meet the needs of the energy
transition, and solve environmental problems while ensuring security. national energy.

In 2020, the European Commission (EC) announced the "New Hydrogen Strategy",
lasting from 2020 to 2050, which aims to phase out greenhouse gas emissions in all
sectors across the European Union, while further developing reusable Hydrogen.
Currently, the EU has more than 70 hydrogen research and development projects
underway by governments, universities and businesses. Within the EU, Germany is
aiming to become the world's leading producer and supplier of Hydrogen. In June
2020, with the "National Hydrogen Strategy", the German Cabinet agreed to spend 9
billion euros ($10.2 billion) to realize this goal. Meanwhile, the French government
aims to use 10% of green hydrogen in industry by 2022 and increase to 20-40% by
2027. Romania also sends a strong signal of support for hydrogen. Green by
establishing ROHYDROHUB Center dedicated to research activities in the field of

Hydrogen.

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In Asia, Japan is a pioneer in research and technology development and towards the
Hydrogen economy. Since 1992, Japan has established the International Clean Energy
Network using Hydrogen - a program focusing on research and development of
hydrogen technologies for 10 years. Since then, Japan has launched many plans and
national strategic roadmaps on Hydrogen and fuel cells. Korea also aims to be the
world leader in the market share of hydrogen-powered cars and hydrogen fuel cells.
The Government of this country has agreed to apply the "Hordy Power Generation
System" (HPS) until 2022 in order to systematically disseminate hydrogen fuel cells
with a focus on expanding the hydrogen economy.
III.2.

VIETNAM'S INTEREST

Recently, at COP26, the Prime Minister pledged to reduce net emissions to net zero
(Net zero). And with that, more than 60 countries signed the pledge. To achieve net
zero emissions by 2050, Vietnam needs a lot of international support, especially in
terms of technology and low-cost ODA sources.
III.3.

CHALLENGES THAT NEED TO BE REMOVED

Hydrogen technology is currently facing a number of challenges such as limited
storage infrastructure in terms of capacity, high cost of hydrogen production from
electrolysis, difficult transportation, etc. However, with the investment research and
development investment of many governments and businesses, when these challenges
are solved, hydrogen will be a promising source of energy, promoting renewable
energy and together with renewable energy becoming a major source of energy.
energy of the future.

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CHAPTER IV.
IV.1.

VNEW Co.LTD

INVESTMENT ENVIRONMENT

GOVERNMENT'S DETERMINATION IMPLEMENTATION OF NETZERO

Recently, COP26 President Alok Sharma visited and worked in Vietnam. The visit
showcases the UK's efforts to deliver on its commitments under the Glasgow Climate
Agreement at COP26.

COP26 President Alok Sharma visits and works in Vietnam
During his working visit to Vietnam from February 13 to 15, the COP President met
and worked with Prime Minister Pham Minh Chinh, Minister of Natural Resources
and Environment Tran Hong Ha - Head of the negotiating team of Vietnam on climate
change, Minister of Industry and Trade Nguyen Hong Dien and Minister of Planning
and Investment Nguyen Chi Dung.
During the visit, Mr. Sharma welcomed the ambitious commitments made by Prime
Minister Pham Minh Chinh at COP26, including the pledge to achieve net zero
emissions by 2050 and the endorsement of the global joint declaration. demand for the
transition from coal to clean energy. He also emphasized the UK's determination to
work with Vietnam to fulfill the above commitments, as well as to come up with a
National Action Plan on climate change to 2030 in line with the goals. Paris
Agreement target – under a global warming temperature target of no more than 1.5
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degrees Celsius.
The COP26 President also recognized the importance of the scale of public investment
for Vietnam to make the transition to clean energy and the financial resources to
support Vietnam in realizing its ambitious climate commitments. . This includes the
potential opportunity from the “Green - Clean Initiative”, an initiative to assist
developing countries to take advantage of green technology and sustain economic
growth.

During an exchange with civil society organizations, Mr. Sharma learned about the
opportunities and challenges of Vietnam and these organizations in responding to
climate change. Mr. Sharma emphasized that the key to the success of COP26 is the
active work and interaction with the above organizations, which play an important role
in the success of COP26 and in the implementation of its commitments. Glasgow
Climate Convention.

The COP26 President also held a breakfast with representatives of international
businesses to discuss the great potential of renewable energy in Vietnam. This
potential was highlighted in the COP26 Energy Transition Council's coal power
mitigation report - chaired by the UK. Accordingly, if Vietnam switches to using wind,
solar and gas energy, by 2030, Vietnam can reduce emissions by 59%, create 280,000
jobs and save $120 billion in import costs. fuel import.
COP26 President Alok Sharma said: “Great progress has been made at COP26,
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including countries agreeing to the Glasgow Climate Compact, keeping the goal of
limiting global warming to no more than 1.5. degrees Celsius at hand. However, this is
a slim victory. By 2022, countries should work to fulfill their commitments in the
Treaty, starting with reviewing and accelerating their emission reduction targets.
During this visit, the UK Government's COP26 Special Envoy, Mr. John Murton, also
co-chaired the discussion with the World Bank's Country Director for Vietnam and
Deputy Finance Minister Tran Xuan Ha. finance for climate change. Discussion

focused on opportunities and challenges of Vietnam in mobilizing the international
financing needed for the country's transition towards a net-zero emissions economy .

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CHAPTER V.
V.1.

VNEW Co.LTD

FAIBLE FUTURE TECHNOLOGY

ASSESSMENT ON CO2 EMISSIONS INCREASE

Currently, total CO2 emissions are increasing rapidly, the annual per capita annual rate
of 1.96 tons in 2015 has increased to 2.95 tons in 2019. Energy emissions per USD
GDP increased from 1.4 kg of oil equivalent (KgOE) in 2015 to 1.8 kg of oil
equivalent (KgOE) in 2019.

The energy development model with the structure of traditional and fossil energy
sources accounting for a high proportion has been causing negative impacts on the
environment. The use of energy in the past time has not been efficient and has not met
the requirements of sustainable development.

V.2.

ORIENTATION OF SOLUTIONS TO REDUCING CO2 EMISSIONS

The draft Power Master Plan VIII sets out the requirement to "prioritize the
development of renewable and new energy sources of electricity"... in line with the
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roadmap towards Net-zero by 2050 as committed by the Government. Vietnamese
government.
However, due to the characteristics of our country, areas with high renewable energy
development efficiency are not large power consumers, even far from large load
centers of the country.
The plan to develop the transmission grid as shown in the past time has shown that it
has not kept up with the speed of development of renewable energy sources, leading to
the reduction in moderation, creating a great waste for the economy.

Not to mention, at present, there is still great potential for RE development, but
investors are still afraid to invest due to fear of source layoffs that will affect the
project's payback time, even imbalance the problem. economic - financial of the
Investor.

In order to limit the layoffs of renewable energy plants, the green-hydrogen production
solution is considered an effective energy storage solution, helping to consume the

excess capacity of the plants that cannot be generated on the grid. .
Corporations producing vehicles that consume fossil fuels are currently also studying
to convert fuel sources to using environmentally friendly materials. Toyota is a typical
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example, they have successfully converted the internal combustion engine of a
gasoline car to run on liquefied hydrogen fuel. The remaining problem of conversion
research is the safety of the fuel tank (since Hydrogen needs to be in the liquid state to
reach minus -200 degrees Celsius), another problem is the construction of fuel
injection points (such as gas station) is relatively expensive. However, this is still the
direction that developed countries have been studying and approaching and is
considered a revolution. We need to be ahead to join that revolution to avoid falling
behind the world.

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CHAPTER VI.
VI.1.

VNEW Co.LTD

PROJECT MODEL

BASIC CONTENTS OF A HYDROGEN PROJECT

VI.1.1. PROJECT OBJECTIVES :
- Producing Hydrogen and products from Hydrogen for domestic and international
markets, towards a clean green energy solution according to the roadmap that the
Prime Minister has committed to reduce net emissions to zero at COP26 (Net zero) .
The four key points of the commitment to net zero emissions by 2050 include:
o Rapid scaling of clean electricity;
o Eliminate coal power by the 2030s for major economies, and by the
2040s globally;
o Stop issuing new permits, new construction, and new or direct
government support for coal power projects;
o Strengthen national and international efforts to ensure a robust
framework for equitable transition.
- 220/35kV substation and connection line will meet the load demand of Green
Hydro Factory. Enhance stability and safe operation of the power grid.
- The main load of the 220/35kV substation is to power the electrolytic modules of
the green hydrogen production line (~20MW/electrolyte Module plus
~4MW/storage module plus ~1MW for related ancillary solutions each electrolytic
module). The total capacity for an electrolytic module is about 25MW. If the plant
is expected to have 12 modules, it will need 300MW continuously. Therefore, in
transformer grams to determine the continuous working capacity and standby
power. Normally will choose gamut of substation 220/35kV-3x175MVA. Then 2
2x175MVA machines are enough for production, 01 175MVA leveling machine
and hot backup to stabilize production.

VI.1.2. PROJECT SCALE FOR 12 ELECTRICAL MODULE FACTORY
VI.1.2.1.

Factory construction scale

The factory to be built in this phase includes:
-

12 electrolytic modules, with each module having a capacity of about
20MW.

-

01 substation 220/35kV to supply power to the Factory.

-

Cold storage system to store Hydrogen and products from Hydrogen.

-

Operation control center.

-

Auxiliary buildings (Expert House, Shift Hostel, Garage, Permanent House,
Perspective of the whole Factory...).

Investment Proposal Report

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