Investment Report - Rev5 PDF

TABLE OF CONTENT
CHAPTER 1: EXECUTIVE SUMMARY ............................................................. 1-1

1.1. General introduction ...................................................................................... 1-1
1.2. Project Information ........................................................................................ 1-2
1.3. Legal basis ..................................................................................................... 1-2
1.4. Project location .............................................................................................. 1-3
1.5. Project Necessity and Scale ........................................................................... 1-3
1.6. Power Plant Main technical solutions ........................................................... 1-4
1.6.1. Fuel supply..................................................................................................... 1-4
1.6.2. Selection of main plant equipment ................................................................ 1-4
1.6.3. Auxiliary systems .......................................................................................... 1-5
1.6.4. Plant electrical system ................................................................................... 1-5
1.6.5. Connect plant to the power system ................................................................ 1-5
1.6.6. Control and Instrument system of Plant ........................................................ 1-6
1.6.7. Architect and construction solution ............................................................... 1-6
1.6.8. Technical Infrastructure of plant ................................................................... 1-6
1.7. Site clearance and compensation, resettlement ............................................. 1-7
1.8. Environment impact assessment .................................................................... 1-7
1.9. Investment Form ............................................................................................ 1-7
1.10. Project Schedule ............................................................................................ 1-7
1.11. Project cost estimate ...................................................................................... 1-8
1.12. Financial – Economic analysis of the project ................................................ 1-8
CHAPTER 2: PROJECT SCALE AND NECESSITY ......................................... 2-1
2.1. Social – Economic development of Hoa Binh province ............................... 2-1
2.1.1. Natural conditions .......................................................................................... 2-1
2.1.2. Social condition ............................................................................................. 2-1
2.1.3. Natural resources ........................................................................................... 2-2
2.1.4. Social – economical development of Hoa Binh in 2012 ............................... 2-3
2.1.5. Infrastructures, industrial zones planning systems of province..................... 2-3
2.1.6. Social – economical development plan in 2011-2015 period. ...................... 2-4
2.2. Current situation of power system in Hoa Binh ............................................ 2-5
2.2.1. Power grid ...................................................................................................... 2-5
2.2.2. Power consumption of Hoa Binh up to the end of 2012 ............................... 2-6
2.2.3. Power Generation in Hoa Binh ...................................................................... 2-6
2.3. Forecast power demand of Lac Thinh industry zone .................................... 2-7
2.4. Forecast of Hoa Binh power demand ............................................................ 2-7
2.5. Power grid developing planning for Hoa Binh province............................... 2-7
2.5.1. 220kV power grid .......................................................................................... 2-7
2.5.2. 110kV power grid .......................................................................................... 2-8
2.5.3. Power generation ........................................................................................... 2-9
2.6. Forecast of Power demand of the whole country ........................................ 2-10
2.7. Power source development plan .................................................................. 2-10
2.8. Evaluation of Energy and Power balance .................................................... 2-10
2.9. Conclusion about necessity of power plant and anticipated schedule ......... 2-12
2.10. Role of project ............................................................................................. 2-12
2.10.1. Role of project for power system ................................................................ 2-12
2.10.2. Role of project for development area .......................................................... 2-12
CHAPTER 3: FUEL SELECTION ........................................................................ 3-1
3.1. Overview of Fuel ........................................................................................... 3-1
3.1.1. Fuel Oil .......................................................................................................... 3-1
3.1.2. Gas fuel .......................................................................................................... 3-1
3.1.3. Coal ................................................................................................................ 3-2
3.1.4. Biomass.......................................................................................................... 3-2
3.1.5. Conclusion ..................................................................................................... 3-2
3.2. Supply sources, Reserves, Specification of Coal .......................................... 3-3
3.3. Localized Coal Mining Plan .......................................................................... 3-4
3.4. Coal Specification .......................................................................................... 3-4
3.5. Saw dust specification ................................................................................... 3-5
3.6. Coal Transportation Plan for The Plant ......................................................... 3-5
3.7. Fuel oil specification ..................................................................................... 3-6
CHAPTER 4: SITE DESCRIPTION ..................................................................... 4-1
4.1. Requirements of site selection ....................................................................... 4-1
4.2. Site description .............................................................................................. 4-2
4.2.1. Technical requirement for power plant ......................................................... 4-2
4.2.2. Lac Thinh Industrial Park .............................................................................. 4-2
4.2.3. Thermal Power plant site ............................................................................... 4-3
4.3. Selected site evaluation ................................................................................. 4-5
4.4. Conclusions.................................................................................................... 4-6
CHAPTER 5: TECHNICAL SOLUTIONS........................................................... 5-1
5.1. Overview of Boiler Technologies.................................................................. 5-1
5.1.1. Type of Natural Circulation boiler ................................................................ 5-2
5.1.2. Type of Forced Circulation boiler ................................................................. 5-2
5.1.3. Stoker Fired Boilers ....................................................................................... 5-2
5.1.4. Fluidized Bed Combustion (FBC) Boiler ...................................................... 5-4
5.1.5. Pulverized Fuel Boiler ................................................................................... 5-4
5.1.6. Conclusion and Recommendation ................................................................. 5-4
5.2. Steam turbine and Unit Capacity Selection ................................................... 5-6
5.3. Selection of Steam Parameter for Boiler, Turbine ........................................ 5-6
5.4. Balance of Plant Systems .............................................................................. 5-7
5.4.1. Coal handling system..................................................................................... 5-7
5.4.2. Quicklime internal handling system to FGD ................................................. 5-8
5.4.3. Ash Handling System .................................................................................... 5-8
5.4.4. Water Supply System and Waste Water Treatment System ....................... 5-10
5.4.5. Cooling Water System ................................................................................. 5-12
5.4.6. Fuel Oil Supply System ............................................................................... 5-13
5.4.7. Compressed Air System .............................................................................. 5-14
5.4.8. Pollution Gas Treatment System ................................................................. 5-14
5.4.9. Fire Fighting System ................................................................................... 5-15
5.5. Plant electrical system ................................................................................. 5-15
5.5.1. Power generation and power transmission .................................................. 5-15
5.5.2. Auxiliaries system of power plant ............................................................... 5-17
5.5.3. Other electrical............................................................................................. 5-20
5.6. Connect power plant to power grid ............................................................. 5-22
5.6.1. Voltage level selection ................................................................................. 5-22
5.6.2. Expected connection plan ............................................................................ 5-23
5.6.3. Transmission ability calculation for power grid .......................................... 5-27
5.7. Control and Instrumentation system ............................................................ 5-27
5.8. Architect and construction solution ............................................................. 5-28
5.8.1. General of plant layout ................................................................................ 5-28
5.8.2. Leveling selection ........................................................................................ 5-29
5.8.3. Foundation treatment solution ..................................................................... 5-29
5.8.4. Foundation ................................................................................................... 5-30
5.8.5. Architectural and civil solution ................................................................... 5-31
5.8.6. Design method and standard........................................................................ 5-32
5.8.7. Loads and antiseismic design requirement .................................................. 5-34
5.8.8. Main items of plant ...................................................................................... 5-35
5.8.9. Technical Infrastructure of plant ................................................................. 5-36
CHAPTER 6: COMPENSATION & RESETTLEMENT PLAN........................ 6-1
6.1. General ........................................................................................................... 6-1
6.2. Legal document ............................................................................................. 6-1
6.3. Land demand and compensation requirement ............................................... 6-2
6.3.1. Land demand ................................................................................................. 6-2
6.3.2. Land demand for clearance and compensation ............................................. 6-2
6.4. Compensation and resettlement policy: ......................................................... 6-2
6.4.1. Principles ....................................................................................................... 6-2
6.4.2. Assistance policy ........................................................................................... 6-3
6.5. Implementation methods ............................................................................... 6-3
6.5.1. Organization .................................................................................................. 6-3
6.5.2. Responsibility of local authorities ................................................................. 6-3
6.5.3. Responsibility of the Lac Thinh Industrial Park Co. Ltd. ............................. 6-5
6.6. Compensation and ressetlement estímate cost .............................................. 6-5
CHAPTER 7: ENVIRONMENTAL IMPACT ASSESSMENT ......................... 7-1
7.1. Lac Thinh existing site conditions ................................................................. 7-1
7.1.1. Climate. .......................................................................................................... 7-1
7.1.2. Current status of quality of physical environment ........................................ 7-2
7.2. Land compensation impact. ........................................................................... 7-3
7.3. Environment impact during construction stage. ............................................ 7-3
7.4. Environment impact during the operation stage ............................................ 7-4
7.4.1. Waste water and mitigating measures ........................................................... 7-4
7.4.2. Air pollution and mitigating measure ............................................................ 7-6
7.4.3. Dust impact and mitigating measures ............................................................ 7-7
7.4.4. Ash handling system. ..................................................................................... 7-8
7.5. Mitigating measures of bad impacts, prevent and cope with environment
accidents ........................................................................................................ 7-9
7.5.1. Risk from flood and flash flood ..................................................................... 7-9
7.5.2. Risk of firing and explode ............................................................................. 7-9
7.5.3. Risk of contact with chemical and oil leakage ............................................ 7-10
7.5.4. Risk of environment equipment .................................................................. 7-10
CHAPTER 8: PLANT OPERATION AND MAINTENANCE ......................... 8-1
8.1. Overview........................................................................................................ 8-1
8.1.1. The roles of power plant in Lac Thinh industrial park .................................. 8-1
8.1.2. Operating regime ........................................................................................... 8-1
8.1.3. Maintenance of the power plant .................................................................... 8-2
8.2. Plant operation ............................................................................................... 8-2
8.2.1. Plant control and operation organization ....................................................... 8-2
8.2.2. Operation staff. .............................................................................................. 8-3
8.2.3. Operation documents ..................................................................................... 8-3
8.2.4. Operation Training......................................................................................... 8-4
8.3. Plant maintenance .......................................................................................... 8-5
8.3.1. Maintenance strategy ..................................................................................... 8-5
8.3.2. Maintenance plan ........................................................................................... 8-6
8.3.3. Maintenance Training .................................................................................... 8-6
8.3.4. Maintenance Worksites ................................................................................. 8-6
8.3.5. Maintenance Tools and Maintenance Equipments ........................................ 8-7
8.4. Plant organization .......................................................................................... 8-7
8.4.1. Management .................................................................................................. 8-7
8.4.2. Generating operation and maintenance departments ..................................... 8-7
8.5. Power Plant Personnel ................................................................................... 8-7
CHAPTER 9: TOTAL COST ESTIMATE AND FINANCIAL – ECONOMIC
ANALYSIS ....................................................................................... 9-1
9.1. Total cost estimate ......................................................................................... 9-1
9.2. Financial – Economic analysis of the project ................................................ 9-1
9.2.1. Targets ........................................................................................................... 9-1
9.2.2. Input data for financial analysis..................................................................... 9-2
9.2.3. Project economical effectivness .................................................................... 9-3
9.2.4. Project economical evaluation ....................................................................... 9-4
9.2.5. Financial analysis result................................................................................. 9-4
CHAPTER 10: CONCLUSION AND RECOMMENDATION ............................ 1
10.1. Conclusions........................................................................................................ 1
10.2. Recommendations.............................................................................................. 2
BTG HOLDING S.R.O 2X25MW LAC THINH COGENERATION POWER PROJECT
EASIA JSC Investment Report on the Construction of work
CHAPTER 1: EXECUTIVE SUMMARY
1.1. General introduction
Hoa Binh is a mountainous province, is contiguous Hong Delta River, having

many roads, water ways to Phu Tho, Ha Tay, Ha Nam, Ninh Binh and is
gateway of Northwestern region of Vietnam. It is bordered by Phu Tho and Ha
Tay in the North, Ninh Binh and Thanh Hoa in the South, Ha Nam in the East,
and Son La in the West. Hoa Binh province locates 73 km from Hanoi, 93 km
from Noi Bai international airport, 170 km from Hai Phong Port. This is
advantage position in the gateway of North-West region for trade and
economical exchange.
Target of Hoa Binh province is to develop equal to average level of the whole
country. Inclined to the open economy, developed social – cultural, to go with
preserve cultural identity of the nations in Hoa Binh province. To develop
modern industrial and services, agriculture, friendly with environment, to get
living standards of the population in the province will be the same level with
the whole country.
Economic development: to concentrate to the solutions, mobilize the resources
to speed up economic growth at least reached growth rate 15%. Structure of
economy at 2015: agriculture reduce to 12-15%, industrial – services take
more the 65-88%.
Investment attractive have good result, 43 investment licenses were given in
2012 (04 of them from foreign investment with the registered capital more
than USD 174 million and 39 domestic investors with registered capital VND
2,230 billion).
There are five industrial parks are planned in Hoa Binh Province: Luong Son
Industrial Park, Industrial Park on the left bank of Da river, North Luong Son
industrial park, South Luong Son Industrial park, Lac Thinh industrial park
and Industrial parks in districts and villages.
2 x 25MW Lạc Thinh cogeneration power plant is one of the project BTG
Slovenko group planned to develop in Lac Thinh Industrial Park.
The purpose of the Owner is to install the Lac Thinh Power Plant to supply
power, steam for the plants in the Industrial park, the exceed power will be
supplied to the power system. Estimate the power supply to Industrial Park is
19MW, Plant auxiliary consumption is 5.5MW and supply to the power
system about 25.5MW.
Investment Report on Construction of Work of the Lac Thinh power plant
project including:
 General report
 Attachment No 1: Legal document
 Attachment No 2: Calculation sheets
Chapter 1: Executive Summary
November, 2013 1-1
 Attachment No 3: Drawings
1.2. Project Information
Project name: 2 x 25MW Lac Thinh Cogeneration Power Plant Project

Project location: in Lac Thinh Industrial Park (Phase 1), Yen Thuy District,
Hoa Binh Province
Project Owner: BTG HOLDING S.R.O GROUP
Address: Pribinova 4, Bratislava 811 09, Slovakia
Representative: Mr. STEFAN ZMAJKOVIC - Director
Consultant prepared the report: EAST ASIA INVESTMENT &
CONSTRUCTION CONSULTANT JOINT STOCK COMPANY (EASIA).
Address: 7/1 Thanh Thai, Ward 14, District No 10, Ho Chi Minh city.
Electricity Activity License: No.13/GP-ĐTĐL issued date 17/9/2008 by
Electricity Regulatory Authority of Vietnam/Ministry of Industry and
Trade (ERAV/ MOIT).
1.3. Legal basis
Investment Report based on the following:

 Decree No.12/2009/ND-CP dated February 12, 2009 “on Management of
Investment Projects on the Construction of Works and Decree 83/2009/NĐ-
CP dated October 15, 2009 on “Revision and Supplementation some
articles of Decree No.12/2009/NĐ-CP dated February 12, 2009
promulgated by the Government.
 Decision No 2350/TTg – KTN dated 31 December 2008 by the Prime
Minister on “Update the Industrial Parks of Hoa Binh Province in the list of
Industrial Parks development in Vietnam”
 Decision No. 917/QD-TTg dated June 11, 2013 by Prime Minister on
“Approval General Social – Economical Development Plan of Hoa Binh
province up to 2020”
 Decision No 1505/QĐ-UBND dated August 6th, 2009 by Hoa Binh People
Committee on “Approval Industrial Parks development Plan of Hoa Binh
Province up to 2020”.
 Decision No 1271/QĐ-UBND of Hoa Binh people committee dated
22/7/2011 on approval “Detail Master Plan of Lac Thinh Industrial Park in
Yen Thuy District, scale 1/500”.
 Decision No. 1444/QĐ-UBND dated 17/10/2012 on: ”Approval
Environmental Impact Statement on trading and construction investment
project of infrastructure of Lac Thinh Industrial Park – 1st stage located on
Lac Thinh and Yen Lac commune, Yen Thuy District, Hoa Binh Province.

November, 2013 1-2
 Decision No. 0424/QĐ-BCT dated 25/1/2011 of MOIT on: “Approval the

Power development Plan of Hoa Binh Province in the period 2011-2015
with vision to 2020”.
 Notice No 2019/TB-EVN-NPC dated 8/6/2011 between Northern Power
corporation and Lac Thinh Industrial Park Ltd. Co on: “Agreement on the
power supply option to the consumers in Lac Thinh Industrial Parks, Yen
Thuy District, Hoa Binh Province.
 Minute of Understanding between Hanoi Coal Trading company and Lac
Thinh Industrial Park Ltd dates 15/10/2013 on: ”Agreement to provide
200,000-250,000 tons coal per year for 2x 25MW Lac Thinh Power
cogeneration Power Plant”.
 Consulting Services contract No 04/LTIP-EASIA/HĐKT/2012 between
Lac Thinh Industrial Park Co., Ltd and East Asia Investment and
Construction JSC at 19/12/2012.
1.4. Project location
Lac Thinh Power Plant project planned to construct in Lac Thinh Industrial
Park (1st stage), which located in Lac Thinh – Yen Lac villages, Yen Thuy
district, Hoa Binh Province. This site was approved by the Province in the
Decision No. 1271/QĐ-UBND dated 22/7/2011.
Power plant will be located in the South – East area of the Industrial Park with
the area of 19.52 ha, in which 11.52 ha is inside the plant boundary and 8ha is
outside plant boundary for ash yard.
1.5. Project Necessity and Scale
According to the planning of Lac Thinh – Yen Thuy Industry Park, estimate
power demand is about 70MW. The Industrial park will be supplied power
from:
 Main source: 2x25MW Lac Thinh Power cogeneration plant.
 The insufficient capacity will be purchase from the national grid
 Stand – by: from national grid
Beside the power, plant will supply the 24 t/h -30t/h of steam for the brewery
plant in Lac Thinh IP.
Lac Thinh Power Plant will ensure to supply stabilize, reliable power supply
for Lac Thinh Industry Park in particular and Hoa Binh area in general.
Plant will use local low quality coal and biomass which is environment
friendly.
Planning schedule to build Lac Thinh power plant as follows:
 Unit #1 will be operation in April 2017.
 Unit #2 will be operation in October 2017.
November, 2013 1-3
1.6. Power Plant Main technical solutions
1.6.1. Fuel supply.
Coal will be main fuel for the plant and the biomass will be for salvage the
waste to protect environment. The black carbon and gas from the Pyrolysis
plant will be used when enough capacity.
Coal reserve in the province is 6,751 million tons, resource estimate more than
15 million tons. With reasonable exploration organization these reserve can
be used for the plant operation for period more than 30 years.
There is Minute of Understanding (MOU) between Hanoi Coal Trading
company and Lac Thinh Industrial Park Ltd dates 15/10/2013 on: ”Agreement
to provide 200.000-250.000 tons coal per year for 2x 25MW Lac Thinh Power
Lac Thinh Power Plant Project planned to use local coal and coal from
surrounding provinces such as Thai Nguyen or Quang Ninh. According to the
coal analysis provided by the Owner coal is low heat value, high ash content
and high sulphur content, equal the dust coal No. 6, 7. Beside coal is main fuel
Owner consider to use biomass as fuel for the power plant. Start up fuel is DO.
Coal demand estimate is about 213,000ton/year, coal mines is about 20km
from the plant site and will be transported to the site by truck, the number of
truck is about 25 per day. In case biomass will be used the coal demand will
be reduce to 100,000ton/year and the biomass demand about 600,000 m3/year.
During the Feasibility Study preparation the coal survey must be carry out
more detail to evaluate the coal reserve, coal properties to ensure the coal
supply for long term for the plant operation design
1.6.2. Selection of main plant equipment
Boiler: the Gravity-Fed Traveling Grate stocker furnace type is selected. This
system permit the use of any kind of biomass after mills in pieces around 6
mm size, and coal with low caloric value in pieces around 6 mm too. These
fuels go into furnace helped by air flow, and have 2 burners to start process
and can burn in same time the gas or diesel from the Pyrolysis plant.
The boiler consists of a furnace made of "membrane" tube walls. It is fitted
with two drums. The convection vaporisation bank consists of vertical tubes
which are expanded into the two drums. In all steam generating circuits the
water and the water/steam mixture is entrained by force of gravity in a natural-
circulation system.
This system have 3 parts, one for burn the Biomass, other to burn the Coal and
other to burn the light fuel oil for start process or gas and diesel from the
Pyrolysis Plant when have enough production. The 2 first are located in the
front part of the Boiler and the other in the side
Steam Turbine is formed by one cylinder body, connected to condenser in the
November, 2013 1-4
exhaust part.
1.6.3. Auxiliary systems
 External cooling water system with Cooling Towers.

 Chemical water treatment plant.
 Firefighting water system.
 Waste water treatment plant.
 Compressed air system.
 Light Oil storage and handling system.
 Ashyard and handling system.
 Coalyard and handling system.
 Biomass yard and handling system.
 De-SOx Absorbent (Quicklime) station handling system.
 Warehouse and workshop.
 Administration and dressing room building.
 2 Gate house
1.6.4. Plant electrical system
 Power generation and power transmission system: generator and auxiliary,

step –up transformer, busduct, generator circuit breaker, 110kV switchyard.
 Auxiliary system: unit auxiliary transformer, MV, LV, AC auxiliary
system, emergency diesel, DC/UPS system, cable system, motor and MCC
 Other electrical: measuring and relay protection system, communication
and SCADA system, lightning and earthing system, lighting and small
power system, HVAC.
1.6.5. Connect plant to the power system
The Lac Thinh power plant is planned to supply power for the consumers in
the Lac Thinh IP about 70MW. Plant will connect to the grid by 110kV for
purchase the power or selling (if needed).
The Lac Thinh power plant connected to the power system by one of the
following option:
 Option 1: Power Plant will be connect to the power system by transit of
110kV Lac Son – Yen Thuy transmission line by double circuit
transmission line, about 2km
 Option 2: Power Plant will be connect to the power system by single circuit
transmission line by to 110kV Yen Thuy substation, about 5km
 Option 3: Power plant will be connect to the power system by single circuit
November, 2013 1-5
transmission line by to 110kV Lac Son existing substation, about 20km.

The final decision will be make in next stage when the report on Plant
connection to the power network will be prepared.
Notice No 2019/TB-EVN-NPC dated 8/6/2011 between Northern Power
Thuy District, Hoa Binh Province, agreed that 110kV transmission line will be
available at the fence of the IP and Northern Power Corporation is responsible
for it.
1.6.6. Control and Instrument system of Plant
The Control and Instrumentation (C&I) system for the ac Thinh Thermal
Power plant of 2x25MW shall be Integrated Control & Monitoring System –
ICMS, this system shall provide safe, reliable and efficient operation of all
units and station/common plant.
The Integrated Control and Monitoring System (ICMS) shall consist a Unit
Control and Monitoring Systems for the two units of 25MW (UCMSs) and a
Station Control and Monitoring Systems (SCMS)
1.6.7. Architect and construction solution
Architectures in the Lac Thinh power plant are designed according to modern
industrial architecture suitable to surrounding landscape.
Selected materials shall ensure its function and condition of the region. System
of roofs, walls of the construction works shall ensure sound proof, insulation,
and water proof. Further, the roofs shall have slope for water drainage suitable
to regional weather condition.
Consider about the plant elevation, plant layout, soil improvement solutions.
The reinforced concrete foundation with bored pile will be applied for: boiler,
turbine generator area, central control room, ESP, stack.
Reinforced concrete and Pre-cast pile reinforced concrete foundation shall be
applied for other area.
1.6.8. Technical Infrastructure of plant
The common items with Industry Park are expected to include:

 Portable water treatment and water supply system to power plant
 Fire fighting water system
 Internal road system
 Power supply system, communication system and steam supply system
 Run off water drainage system

November, 2013 1-6
1.7. Site clearance and compensation, resettlement
Plant area is about 19.52 ha in which 11.52 ha inside the plant boundary and
8ha outside the boundary for ash yard. After project approved by the
authorities, Lac Thinh Industrial Park (IP) Co.Ltd. will hand over the site to
the Owner.
Lac Thinh IP Co. Ltd will agree with the local authority to set up the
compensation committee and the leading by the local authorities.
Compensation committee will set up the option to inventory to determine the
cost for compensation according to the current rate and regulation, agreed with
the PAP and submit to Hoa Binh People committee for approval.
Compensation committee to operate independently, cost for compensation will
be paid by the Lac Thinh Industrial Park Co. Ltd.
Cost for compensation will be carry out by Lac Thinh IP Co. Ltd after detail
survey in the Resettlement Action Plan. Estimate the cost for compensation of
power plant is about VND 12,000,000,000 (twelve billion VND).
1.8. Environment impact assessment
According to Appendix II, Decree No. 29/2011/ND-CP dated 18 April, 2011

on “Providing strategic environmental assessment, environmental impact
assessment and environmental protection commitment”, the Environmental
Impact Assessment (EIA) report of 2 x 25MW Lac Thinh thermal power plant
project must be prepared and submit to Hoa Binh Department of Natural
Resources and Environment (DONRE) for approval
In this report the preliminary mitigating measures were considered to limit the
project impact to the environment by: dust, ash, flue gas, waste water, noise…
1.9. Investment Form
2 x 25MW Lac Thinh Power Plant Project will be invested as Independent

Power Plant (IPP).
1.10. Project Schedule
Project estimate:
 March 2013: Complete investment dossier report
 May 2013: Owner submit the report to the authority
 November 2013: Authority approved report
 From December 2013 to April 2014: Feasibility Study Report Preparation
and EPC biding, bid evaluation, negotiation and contract signing.
 April 2014 - Start EPC contract execution
 April 2017 – Unit 1 put into operation

November, 2013 1-7
 October 2017 – Unit 2 put into operation
1.11. Project cost estimate
Total cost estimate comprising following costs:

 Equipment cost
 Construction cost
 Compensation and resettlement
 Administrative construction investment consulting cost
 Contingency cost
 Other costs ...
Project Cost estimation:
 Before tax: USD 89,294,336.16
 VAT: USD 8,592,000.00
 After tax: USD 97,886,336.16
1.12. Financial – Economic analysis of the project
The result financial analysis as below:

Financial analysis result
Indicator Value Unit
Power sell price 5.62 6.51 CentUSD/kWh
Net present value (NPV) 0.00 20.50 Tr. USD
Internal rate of return (IRR) 8.00% 13.00% %
Benefit/ cost 1.000 1.347
Payback period 25 12 years
From the analysis result: the power tariff at break-even point is 5.62 Cent
USD/kwh and in order to get IRR is 13%, power tariff must be 6.51 US
Cent/kWh at the busbar, while the NPV is 20.50million USD, and the payback
period is 12 years
Recommendation: power tariff 6.51 US Cent/kWh at the busbar, while the
NPV is 20.50 million USD, IRR is 13% and the payback period is 12 years.

November, 2013 1-8
MAIN CHARATERISTIC OF POWER PLANT PROJECT

1- Name of Project Lac Thinh Cogeneration Power
Plant
2- Require area 19.52 hectares (11.52ha inside the
plant boundary and 8.0ha outside the
plant boundary for ash yard.
3- Installed capacity 2 x 25MW
- Unit configuration 01 boiler + 01 steam turbine + 01

generator
4- Energy output
- Auciliary consumption (%) 11 %
- Operating hours Tmax 6,500 h/year
- Enery production output 325 (GWh/ year)
5- Fuel for plant
- Main fuel Local anthracite from Hoa Binh or

other coal mining in Vietnam
- Coal transportation Truck.
- Coal demand 213,000 ton/ year
6- Fuel for start up

- Oil DO
- Oil transportation truck
- Oil demand 400 ton/ year
7- Other material
- Quicklime from Hoa Binh Province.
- Quicklime transportation Truck
- Quicklime demand 4,415 ton/ year
8- Main equipment
Boiler
- Type Gravity-Fed Traveling Grate

stocker furnace
- Number of unit 02
- Steam flow for one boiler 113 (t/h)

November, 2013 1-9
- Steam parameters 60 bar/ 445oC
- Steam for industrial use 30t/h/10bar/230 oC
Steam Turbine
- Type Condensing, one cylinder
- Number of unit 02
- Capacity 25 MW
- Steam at turbine inlet 58 bar/ 443oC
- Number of steam extraction 03
- Condenser vacuum 0.1 bar
Generator
- Capacity 25 MW
- Number of unit 02
- Power factor 0,85
- Rated generator voltage 10,5kV
ESP
- Capacity 296,820 Nm3/h
- Number of unit 01 set
- Efficiency >98%
FGD
Quicklime quicklime in dust, and have
reaction with the sulphur into gas
and obtain CaSO3, CaSO4, and
CaCO3 like final products
Diesel engines
- type Diesel engine with generator
- number of unit 02
- capacity 2x480 kW
- Fuel DO
9- Water cooling sytem Cooling towers. Two towers for

each unit
November, 2013 1-10
10- Connect plant to the power

system
- At voltage 110kV
- Terminal point: 110kV Lac Son – Yen Thuy
transmission line or 110kV Yen
Thuy Substation or 110kV Lac Son
existing substation.
11-I&C system ICMS
12- Plant efficiency
- Energy efficiency 28.16% (HHV – gross)
25.90% (HHV - net)
- Total plant efficiency
(Energy + heat) 41,14 % (LHV-net)
13- Project cost estimate USD 97,886,336.16. (after tax)

14-Project capital 30% of owner equity
70% ECA loan
15- Power tariff 6.51 US Cent/kWh
16- Financial indexes IRR=13%; NPV=20.50 M USD;
payback period is 12 years
17- Project schedule Unit 1: April 2017
Unit 2: October 2017

November, 2013 1-11
CHAPTER 2: PROJECT SCALE AND NECESSITY
2.1. Social – Economic development of Hoa Binh province
2.1.1. Natural conditions
Hoa Binh is a mountainous province in the Northwestern region of Vietnam,

locates at 200°19' - 210°08' Northern latitude, 104°48' - 105°40' Eastern
longitude. The area of Hoa Binh is 4,662.5 km2, take 1,41% total area of
Vietnam with the population 832,543 parsons (July, 2009).
Hoa Binh is contiguous Hong Delta river, having many roads, water ways to
Phu Tho, Ha Tay, Ha Nam, Ninh Binh and is gateway of Northwestern region
of Vietnam. It is bordered by Phu Tho and Ha Tay in the North, Ninh Binh
and Thanh Hoa in the South, Ha Nam in the East, and Son La in the West.
In province there are 11 districts, town: Da Bac, Mai Chau, Tan Lac, Lac Son,
Kim Boi, Luong Son, Lac Thuy, Yen Thuy, Ky Son, Cao Phong and Hoa Binh
city with 214 communes, wards, town.
The topography is combined by mountains and narrow valleys, complicated
divided, high slope with direction North West – South East, divided in to two
region: high mountain in the North –West with average elevation 600-700m,
difficult of access, area is of 212,740 ha, take 44.8% total area of province;
lower mountain area is in the South – East, 262,202 ha, take 55.2% total area
of province, average slope is 20 – 250, average elevation is 100 – 200 m.
Topography is difficult to access.
Hoa Binh is in tropical climate, cold and dry in the winter, hot and rainy in the
summer.
River system in province is equally located with the big rivers such as: Da,
Boi, Buoi, Lang, Bui.
Storms mostly from June to September with the annually average rainfall 1800
- 2200 mm. Whirl wind and ice rain are very often. Annual average
temperature is 24.7oC; highest 41.2oC; lowest 1.9oC. July is hottest, average
temperature is 27-29oC; January is coldest, average temperature is 15.,5-
16.5oC. Frequency of the salt flog: 0,9 day/year.
2.1.2. Social condition
Hoa Binh including one city 10 districts with total 214 communes, ward and
towns. Hoa Bin city is township of Hoa Binh province, which locates 73 km
from Hanoi, 93 km from Noi Bai international airport, 170 km from Hai
Phong Port. This is advantage position in the gateway of North-West region
for trade and economical exchange.
According to population statistic in the year of 1999, there are 6 nationalities
living in Hoa Binh, biggest is ethnic group occupy 63,3%; Kinh is
27,73%; Thai ethnic 3,9%; Dao ethnic 1,7%; Tay is 2,7%; Mong is 0,52%;
Chapter 2: Project scale and necessity
November, 2013 2-1
and Chinese are scattered in many places of province.

Income per capita: USD 730 (equivalent VND 15,300,000– data in December
2011). Income per capita of the population in province is equal only 52% of
the country average income per capita.
2.1.3. Natural resources
2.1.3.1. Land resource:

Total natural land of province is 4,596.6 km2, forest land is more than 250,000
ha, occupy 54.4% of the area, agricultural land is more 57,000 ha, take 14% of
the area. Wasteland is more than 93,000 ha. With these potential in the future
Hoa Binh can develop agriculture, forest and processing industries. Hoa Binh
has mineral resource with the medium and big reserves for developing the
industry and civil material such as: granite, lime stone, coal, clay, kaolin, gold,
iron, mineral water...
2.1.3.2. Forest resource:

Forest is one of valuable resource, importance factor create the natural balance
of Hoa Binh. In 2009, forest cover of the province was 54.4%, equivalent
250,168 ha, in which: natural forest was 160,377 ha, planted was 89,792 ha.
2.1.3.3. Water resource:

The water resources of Hoa Binh are plentiful. Located in the tropical area
having big average rainfall (1.500 - 2.500) mostly in the rainy season (85 -
90%), water is in excess in rainy season (from May to October) and is in
shortage in dry season (from November to April). The surface water of Hoa
Binh is rather big; rivers and stream network locates largely, specially Da river
is the biggest rise from China through Mai Chau, Da Bac, Tan Lac, Ky Son
with total length is 151km, river basin is 51,800km2.
Hoa Binh located in the main three river system: Da river, Ma river and Day
river with about 400 small rivers and streams on province territory. In which
there are five rivers with the normal flow more than 31m3/s. Total average
flow of province is about 5 billion m3, in which mainly is from Da river
system.
2.1.3.4. Mineral resource:

There are 12 minerals resources in Hoa Binh. Material for porcelain: clay,
lime stone, granite, stone...; minerals such as: iron ore – small field not survey
the reserve yet, Iron, multi metal ore (copper, lead, zinc, mercury,
bourmonite), stream gold, nonmetallic minerals pyrite, phosphoric, kaolin...;
coal is explored in Kim Boi, Lac Thuy, Lac Son, there are some open quarries
with reserve 1 million ton for exploration.
Coal is most importance mineral of province, it was earliest discovered and
most detail studied. In Hoa Binh province there are four coal mines in Doi
Hoa, Lang Vo, Suoi Hoa Bao Hieu and three other places Nhan Dao, Muong

November, 2013 2-2
La Doan Ket. Coal reserve is estimated about 15 million tons.
2.1.3.5. Tourism resource

There are many attractive destinations, natural conservation, Kim Boi thermal
spring, Da river basin, and Hoa Binh hydro power plant; Mountain hamlets
and traditional villages such as Giang Mo of Muong nation in Ky Son, Van
village of Thai nation in Mai Chau, Xong Duong of Dao nation in Da Bac...;
Suoi Ngoc-Vua ba in Luong Son and many historical relics, cultural,
architectural monument, traditional profession, cultural festivals, social
customs, folk arts of nations in province abundant, multiform, originals
creating “Hoa Binh cultural production”.
2.1.4. Social – economical development of Hoa Binh in 2012
Despite affecting by the inflation and the disinflation policy, the grow rate of
economic of Hoa Binh increase about 10.2% in 2012. In which: agricultural,
forestry, fishery is 3.9%; industry – construction is 15.2% (industry is 15.7%,
civil is 13.8%); service is 9.8%.
Investment attractive have good result, 43 investment licenses were given in
2012 (04 of them from foreign investment with the registered capital more
than USD 174 million and 39 domestic investors with registered capital VND
2,230 billion).
Industrial production is increasing quarterly but lower corresponding period of
preceding year. The biggest difficulties is capital demand increase highly
because the price of the materials for production is increased, difficult to
access the loan credit, impact to production, impair investment and waste of
mobilized resources.
Development of agricultural, forestry, fishery keeping the importance role in
economic stabilization and rural living. Foods production corn is about more
than 360,000 tons.
Export get high growth rate, foreign investment companies continuing to lead
in the export production. Turn-over of the export estimated USD 72.7 million,
increasing 15% corresponding period of preceding year, get 102.4% of
planning. Turn – over of imported production is about USD 40.6 million,
increased 2% corresponding period of preceding year, get 100.2% of planning.
The growth rate of the services is higher than common growth rate; Total
turnover and retail services is VND 8,564 billion, get 101.2% planning in
2012. Tourism turnover annually is increase 15% of planned.
2.1.5. Infrastructures, industrial zones planning systems of province
 Luong Son industrial park: Hoa Son village, Luong Son District, Hoa Binh
province. Total area: 71.53 ha.
 Industrial park on the left bank of Da river: Huu Nghi Ward, Hoa Binh
town. Total area: 71.53 ha

November, 2013 2-3
 North Luong Son industrial park: Yen Binh village, Luong Son district,
total area about 150 ha.
 South Luong Son Industrial park: Thanh Lap – Trung Son villages, Luong
Son district, total area is about 300 ha.
 Lac Thinh industrial park: Lac Thinh – Yen Lac villages, Yen Thuy district.
Total area 220 ha.
 Industrial parks in districts and villages: People committee planned in each
district and village to develop at least industrial group with area about 15 -
20 ha.
2.1.6. Social – economical development plan in 2011-2015 period.
Target of Hoa Binh province is to develop equal to average level of the whole
country. Inclined to the open economy, developed social – cultural, to go with
preserve cultural identity of the nations in Hoa Binh province. To develop
modern industrial and services, agriculture, friendly with environment, to get
living standards of the population in the province will be the same level with
the whole country.
Economic development: to concentrate to the solutions, mobilize the resources
to speed up economic growth at least reached growth rate 15%. Structure of
economy at 2015: agriculture reduce to 12-15%, industrial – services take
more the 65-88%.
Main economical development plan:
Item Plan for 2011-2015
 Average annual GDP growth rate: 13%
(excluding Hoa Binh Hydro Power Plant)
+ Agriculture, forestry, fishery 4,2%
+ Industrial, construction 18%
+ Services 14,2%
 Structure of economy (excluding Hoa Binh
hydro power Plant)
+ Agriculture, Forestry, fishery

23,6%
+ Industry, construction
39,7%
+ Services
36,7%
 Turnover and retail services and revenue for 15,530 bil.VND
service consumption in 2015
 Turnover of export, import in the year of 2015 USD 150-160 mil.

November, 2013 2-4
Item Plan for 2011-2015

USD 100 mil.
+Export
USD 50-60 mil.
+ Import
 Budget in 2015 (average annual growth rate is 2,200 bil. VNĐ
about 12.7% per year)
 Foods production corn in the year of 2015 360,000
 .....
2.2. Current situation of power system in Hoa Binh
2.2.1. Power grid
2.2.1.1. 500kV power grid

According to EVN planning, two transmission line 4xACSR330/43 were
operated in 2010 (including Pitoong Son La – Hoa Binh; Sơn La Hydro Power
Plan – Nho Quan) with 177km double circuit transmission line Sơn La – Man
Duc, 36km single circuit transmission line Man Duc – Hoa Binh and 86km
single circuit transmission line Man Duc – Nho Quan.
500/220kV substation of Hoa Binh Hydro power plan with (2x450) MVA,
500kV Hoa Binh substation have 500kV outgoing transmission line Hoa Binh
– Nho Quan with 4xACSR330 conductor type, 89,22km length. This
transmission line across to Hoa Binh province with 65km length.

220kV transmission lines in Hoa Binh province have outgoing from Hydro
power plan including:
 Double circuit transmission line Hoa Binh Hydro PP – Nho Quan with
2xACK-300 conductor type, 92.5km length;
 Single circuit transmission line Hoa Binh Hydro PP – Chem with ACK-500
conductor type, 70km length;
 Two transmission line Hoa Binh Hydro PP – Ha Dong with ACK-500
conductor type, 59km and 65km length;
 Single circuit transmission line Hoa Binh Hydro PP – Xuan Mai with ACK-
500 conductor type, 38.8km length;
 Double circuit transmission line Hoa Binh Hydro PP – Hoa Binh 220kV
substation;
 Single circuit transmission line Hoa Binh Hydro PP – Viet Tri with ACSR-
520 conductor type, 97.5km length (buy energy from China);

110kV power system in Hoa Binh was supplied from Hoa Binh 220/110kV
November, 2013 2-5
Substation and Xuan Mai 220kV substation, there are three 110kV substation
in Hoa Binh province including:
Table ‎2-1: Existing 110kV substation in Hoa Binh area
S U
No. List Connection plan Scope of supply
(MVA) (kV)
Supplied direct from 110kV bus Supply power for Hoa Binh City
of 220kV Hoa Binh substation and neighbors area including: Da
Hoa
1 25+40 110/35/6 via double circuit transmission Bac, Tan Lac, Mai Chau, Cao
Binh
line with 2xAC-185 type, 3.3km Phong, Kim Boi and Ky Son
length. district.
Supplied via 110kV transmission
line from Hoa Binh – Moc Chau
Supply power for Lac Son, Yen
Lac – Son La – Thuan Chau – Tuan
2 25+16 110/35/22 Thuy, a part of Kim Boi and Lac
Son Giao – Dien Bien via transit line
Thuy District.
with AC-120 conductor type,
23.8km length.
Supplied via 110kV transmission
line from 220kV Xuan Mai
Luong Supply power for Luong Son
3 1x25 110/35/22 substation – Luong Son with AC-
Son District.
185 conductor type, 8.25km
length.
Furthermore, in Hoa Binh province is developing to build 110kV transmission

line and substation projects including: 110kV Hoa Binh Cement, 110kV Phu
Thanh substation and 110kV Trung Sơn substation.
2.2.2. Power consumption of Hoa Binh up to the end of 2012
Power consumption of Hoa Binh up to the end of 2012 as follows:

 Industrial 113,869,343 MWh
 Services, hotels.. 9,368,675 MWh
 Production consumption 214.008.563 MWh
 Other 16,191,691 MWh
 Total 353,438,272 MWh
Table 2.2. Power consumption in Hoa Binh up to the end of 2012
No. Item Unit 2010 2012
1 Total sale output GWh 305,5 353,5
2 Pmax MW 75 82
Grow rate of sale
3 % 7,6
output
Planned grow rate of
4 % 18,7
sale output
2.2.3. Power Generation in Hoa Binh
There is Hoa Binh hydro Power plant in Hoa Binh with 1,920MW power
include 8 units. It’s one of biggest hydro Power plant in Vietnam. These plants
generate 8 billion kWh into National power grid via 500kV and 220kV system
every year.

November, 2013 2-6
Furthermore, there are 2 small hydro power plant in Hoa Binh province with
5.8MW power include So Lo and Van Mai connect to MV system. They
almost operate in 3 months in raining season to supply to Mai Chau area. Suoi
Rap small hydro power plant is building with 4MW power to supply into local
power grid 17.6 Million kWh every year.
2.3. Forecast power demand of Lac Thinh industry zone
Lac Thinh IP power demand estimation is 70MW
2.4. Forecast of Hoa Binh power demand
According to Power development planning of Hoa Binh province in 2011-

2015 period and orientate to 2020, Hoa Binh province power demand as
bellows:
Table ‎2-3: Hoa Binh province power demand to 2020
No. Item Unit 2010 2015 2020
1 Total Energy sales (TES) GWh 305,5 721 1.541,6
2 Energy Receive GWh 341,3 794,95 1.681,5
3 Pmax MW 75 170 325
4 TES per person (average) kWh/per.yr 325,1 825,0 1.690,0
2006-2010 2011-2015 2016-2020
5 Growth rate TES % 14,2 18,7 16,4
2.5. Power grid developing planning for Hoa Binh province
According to Power development planning of Hoa Binh province in 2011-

2015 period and orientate to 2020, forecast of power grid demand in Hoa Binh
province as bellows:
2.5.1. 220kV power grid
Table ‎2-4: 220kV new constructed transmission line to 2020
Scale
Operation
No. Project Conductor type No. of
x km Time
circuit
1 Hoa Binh – Quoc Oai 2ACSR-300 2 x 61 2013
2 Trung Son Hydro PP – Tan Lac ACSR-500 2 x 56 2016
3 Transit Hoi xuan Hydro PP ACSR-500 2 x 24 2018
4 Transit Yen Thuy ACK-300 4 x 0,5 2019
Table ‎2-5: 220kV new constructed and extension substation to 2020

P U Time of
No. Project Connection plan Remarks
(MVA) (kV) operation
T1 transformer
1 Hoa Binh 2x250 220/110 2011-2015 Power extension operate in 2013
and T2 in 2016
Transit connection in 2 T1 transformer
2 Tan Lac 220kV 2016
circuit 220kV Hoa Binh - operate in 2012
November, 2013 2-7
P U Time of
Nho Quan transmission line and T2 in 2014
Transit connection in 2 T1 transformer

3 Yen Thuy 1x250 220/110 2019 circuit 220kV Tan Lac -Nho operate in 2013
Quan transmission line and T2 in 2015
2.5.2. 110kV power grid

Table ‎2-6: 110kV new constructed transmission line to 2020
Scale
Conductor Operation
No. Project No. of Remarks
type x km Time
circuit
Connect by Transit via
Transit via Trung Son 110kV transmission line
1 AC-240 2 x 1 2012
substation incoming 110kV Hoa
Binh Cement
Transit via Ky Son 110kV Hoa Binh – Phu
2 AC-185 2 x 8 2013
substation Minh Water plant
transmission line
Connect to 110kV double
220kV Hoa Binh circuit transmission line
3 AC-185 2 x 3 2013
Substation – Hoa Binh which supply power for
Phu Minh water station
Transit via Vinaconex 110kV Luong Son –
4 AC-240 2 x 1 2013
Cement substation Thanh Nong Water plant
transmission line
Transit via Mai Chau
5 AC-185 2 x 0,5 2013 110kV Hoa Binh – Moc
substation
Chau transmission line
First transmission line in
6 Lac Son – Yen Thuy AC-240 2 x 22 2014
2014
7 Hoa Binh – Ha Bac AC-185 1 x 10 2015 Operate at 35kV level
Transit via Kim Boi 110kV Luong Son –
8 AC-240 2 x 21 2017
substation Thanh Nong transmission
line
9 Yen Thuy – Phu Thanh AC-240 2 x 28 2018
Transit via Tan Lac
10 AC-185 2 x 0,5 2019 110kV Hoa Binh – Moc
substation
Chau transmission line
220kV Xuan Mai 110kV Luong Son –
11 AC-240 2 x 4,7 2013
Substation – Luong Son Thanh Nong transmission
line
Table ‎2-7: 110kV reclaimed and increased size transmission line to 2020
Scale
Operation
No. Project Size No. of Remarks
x km time
circuit
1 Hoa Bình - Phu Minh AC-185 2 x 17,5 2013 Line # 2
2 Luong Son – Phu Thanh AC-240 2 x 45,5 2013 Line # 2
3 Lac Son – Yen Thuy AC-240 2 x 22 2018 Line # 2
4 Tan Lac – Lac Son AC-240 2 x 23,5 2019 Line # 2

November, 2013 2-8
Table ‎2-8: 110kV new constructed and increased size substation to 2020
P U Time of
T1 transformer
Phu Minh Water Connect to exist 110kV
1 2x25 110/35 2012 operate in 2012
plant transmission line
and T2 in 2015
Connect Transit to 110kV T1 transformer
2 Trung Son 2x25 110/35/6 2012 Transit transmission line operate in 2012
Hoa Binh Cement plant and T2 in 2014
Connect by Transit via 110kV T1 transformer
VINACONEX
3 2x25 110/6 2013 Luong Son – ThanhNong operate in 2013
Cement
transmission line and T2 in 2015
Connect by Transit via 110kV
T1 transformer
4 Mai Chau 2x25 110/35/22 2013 Hoa Binh – Moc Chau
operate in 2013
transmission line
Connect by Transit via 110kV T1 transformer
5 Ky Son 2x25 110/35 2013 Hoa Binh – Phu Minh operate in 2013
transmission line and T2 in 2016
6 Yen Thuy 1x25 110/35/22 2015
7 Kim Boi 1x25 110/35/22 2017 Luong Son – Thanh Nong
transmission line
8 Tan Lac 1x25 110/35 2019 Hoa Binh – Moc Chau
transmission line
9 Da Bac 1x25 110/35 2019
Table ‎2-9: 110kV reclaimed and increased size substation to 2020

Present condition Future
Operation
No. Project S S Remarks
U (kV) U (kV) time
(MVA) (MVA)
1 Hoa Binh 25+40 110/35/22-6 2x40 110/35/22 2012 Replace T1
2 Ky Son 2x25 110/35 2x25 110/35 2013 Erect T2 trans.
Thanh Nong (Phu
3 25 110/35/22 25+40 110/35/22 2016
Thanh)
2.5.3. Power generation

Table ‎2-10: Small hydro power plants propose to build and connected plan in Hoa
Binh province.
Power
No. Project name Location Connect options
2010 2015
Dong Chum 1 Dong Chum, Da

1 4 4
(Suoi Rap) Bac
Connect to 35kV line Da Bac
Dong Chum, Da
2 Dong Chum 2 3
Bac
3 Mien Doi Mien Doi, Lac Son 1 Connect to 35kV line Da Bac
4 Mien Doi 1 Mien Doi, Lac Son 1,6 1,6

Connect to 35kV Lac Son – Tan Lac
line
5 Mien Doi 2 Mien Doi, Lac Son 1,2

November, 2013 2-9
2.6. Forecast of Power demand of the whole country
According to the Decision No. 1208/QĐ-TTg dated July 21, 2011 approving
the National power development plan for period of 2011 – 2020 with
perspective up to 2030 (Master plan VII), forecast of growth rate of power
demand and power demand according to base scenario as follows:
Table ‎2-11: Forecast of growth rate of power demand
Period Growth rate of GDP Growth rate of power demand

(%/year) (%/year)
2011-2015 7.5% 14%
2016-2020 8.0% 11.1%
2021-2030 7.83% 7.8
Table ‎2-12: Forecast of power demand of whole country

Units 2010 2015 2020 2025 2030
Sale Power GWh 87.665 169.821 289.882 430.867 615.205
Generation power GWh 108.880 194.304 329.412 489.621 695.147
Pmax MW 16.048 30.803 52.040 77.084 110.215
2.7. Power source development plan
According to Master plan VII, power source development plan for whole
country as follows:
Table ‎2-13: Power source development plan for whole country to 2030
Year 2010 2015 2020 2025 2030
Coal Fired Power plant (%) 17,0 35,0 46,4 46,1 56,1
Gas Power plant (%) 34,0 24,9 19,4 17,9 12,7
Hydro Power plant (%) 43,2 33,6 25,7 20,3 15,3
Import (%) 3,7 2,5 2,6 4,7 4,6
Regeneration Energy (%) 2,1 4,0 4,5 5,0 3,5
Nuclear Power plant (%) 1,4 6,0 7,8
Total (MW) 21.250 43.152 70.115 97.430 137.600
2.8. Evaluation of Energy and Power balance
According to announcement no. 368/TB-VPCP about concluded idea of

Hoang Trung Hai deputy Prime Minister to points out the difficulties in
implementing power plant project. Specially, coal fired power plants in the
southern region as follows:

November, 2013 2-10
Table ‎2-14: Start schedule of Power plants in 2012-2013 period
Capacity Schedule (Master Start
No. Project name Owner
(MW) Plan VII) schedule
I Projects started in 2012
1 Duyen Hai 3 III thermal PP 1200 EVN 2015; 2016 12/2012
2 O Mon I #2 Gas PP 330 EVN 2014 9/2012
3 Trung Son hydro PP 260 EVN 2015 11/2012
4 Dong Nai 5 hydro PP 150 TKV 2016 12/2012
I Projects started in 2013
Thang Long
1 Thang Long thermal PP 600 PP JS Co. 2017; 2019 2013
2 Vinh Tan I thermal PP 1200 CSG (BOT) 2016 2013
3 Hai Duong thermal PP 1200 BOT 2016; 2017 2013
4 Thai Binh I thermal PP 600 EVN 2016; 2017 2013
5 Vinh Tan IV thermal PP 1200 EVN 2017; 2018 2013
6 Na Duong II thermal PP 100 TKV 2018 2013
Table ‎2-15: Building schedule of Power plants

Schedule
Capacity
No. Project name Owner (Master Plan Operation schedule
(MW)
VII)
1 Vung Ang I #1 600 PVN 2012 Quarterly IV/ 2013
2 Vung Ang I #2 600 PVN 2013 Quarterly II/ 2014
3 Vinh Tan II #1,2 1200 EVN 2014 2014
4 Duyen Hai I #1 600 EVN 2014 2015
5 Thai Binh II #1 600 PVN 2014 2016
6 Thai Binh II #2 600 PVN 2015 2016
7 Mong Duong II #1 600 AES/BOT 2015 12/2014
8 Mong Duong II #2 600 AES/BOT 2015 2015
9 Long Phu I #1 600 PVN 2015 2016
10 Duyen hai I #2 600 EVN 2015 2015
11 Lai Chau #1 400 EVN 2016 2016
12 Mong Duong I #1 500 EVN 2016 2015
13 Long Phu I #2 600 PVN 2016 2017
14 Lai Chau #2,3 800 EVN 2017 2017

November, 2013 2-11
Schedule
Capacity
No. Project name Owner (Master Plan Operation schedule
(MW)
VII)
15 Mong Duong I #2 500 EVN 2017 2015
Evaluation: with the exits power source, power source schedule in master plan
VII and power source schedule as announcement no. 368/TB-VPCP, the
Southern will continue shortage power in 2013-2017 period, especially in dry
season when the hydro power plants is effected weather. In this period, the
Northern will be supply power to the Southern by 220kV and 500kV power
grid.
2.9. Conclusion about necessity of power plant and anticipated schedule
The power demand of Lac Thinh IP will be about 70MW, Lac Thinh
cogeneration plant will supply power and steam for the IP, to ensure supplying
stabilize, reliable power for Lac Thinh industry Park.
The power plant will use the low heating value local coal and biomass which
are environmental friendly.
Project staff is 153 persons, it will be job creation for the local population.
Lac Thinh IP Ltd. Co. is 100% foreign investment company, who get the
investment to implement the infrastructure it will facilitate and attract the
foreign investors to Lac Thinh IP and contribute to social – economical
development of Hoa Binh – the mountainous region still having difficulties in
the attracting the foreign investment.
Planning schedule to build Lac Thinh power plant as follows:
 Unit #1 will be operation in April 2017,
 Unit #2 will be operation in October 2017.
2.10. Role of project
2.10.1. Role of project for power system
The Lac Thinh Power Plant with modern technology and high efficiency will
help to reduce electricity price and to protect environment.
The Lac Thinh Power plant will supply not less than 180 GWh to Vietnam
power system.
2.10.2. Role of project for development area
The operation of Lac Thinh Power plant will brings following benefits:
 The Lac Thinh Power plant will contribute an important role in the
development of Lac Thinh Industry zone in general and Hoa Binh area in
particular.
 Attract the investor to invest in the Lac Thinh industrial zones. This will
November, 2013 2-12
contribute in the economic development of the region and create

employment for local people
 The Lac Thinh Power plant will contribute development the country's
economy to grow at high level to achieve the target to become an
industrialized country to 2020.

November, 2013 2-13
CHAPTER 3: FUEL SELECTION
3.1. Overview of Fuel
Normally, fuel used for power plants may be natural gas, liquid fuel, fuel oil
or coal. However, the fuel is selected for the plants must be guarantee that
operation of the plant shall be stability and reliable during lifetime of plant,
fuel cost must to be low.
The current, the developing countries will still need more electrical energy for
economic development, power transmission to rural areas and most of power
is generated by burning coal. Fossil fuels provide 86% of the world's energy
demand, and this will not change until 2025, although demand of energy
development at that time up to 50%.
Due to limited reserves of oil, renewable fuels such as solar energy, wind
energy are being sought to use with a significant economic effect. Fuel cell,
using hydrogen as fuel, is also a promising new technology to replace oil in
the future. However, all the source of energy will still depend on fossil fuel
sources. Although creating up 60% of carbon dioxide, coal still needs more
because it is abundant, economical and easy to transport.
3.1.1. Fuel Oil
Vietnam's crude oil is light oil type, low sulfur content, it may be used to burn
directly in steam power plants without processing. This technology has to been
applied at Japan. However, crude oil cost is higher than coal so it is not
economical.
Heavy fuel oil segment is obtained by distillation of crude oil paraffin and
asphalt at atmospheric pressure and in vacuum. Boiling point temperature of
FO is high. In technical field, sometimes, FO is divided into two types include
LFO and HFO. FO is common liquid fuel and low cost. FO used to burn in
boilers usually contain a large amount of sulfur, its concentration varies
depending on the type of oil. The use of FO as compared to coal costs is still
higher, so FO should only use for combined cycle power plant to combine
easy with gas fuel, or used as a supported fuel for coal fired power plant.
Furthermore, due to importance of economy, petroleum is also reason of
political conflicts that cause unstable petroleum cost.
3.1.2. Gas fuel
Natural gas be used as a input fuel for many field of industrial such as petro
chemistry, glass, blast furnace, process foodstuff and cement
industry,…Natural gas is also used more as a type of fuel for gas turbine in
combined cycle power plants.
In general, gas fields discovered in Vietnam, mainly located in the southern
continental shelf and offshore, there are only Tien Hai C and D14 which are
on mainland discovered in 1975 and that is also the first gas field which be
Chapter 3: Fuel selection
November, 2013 3-1
exploited in Vietnam from June 1981 to serve for power generation and local
industries of Thai Binh province.
Because of natural gas is gaseous, it is difficult to transport by means of
conventional natural gas distribution so it is often distributed to use for the
area near gas fields, storage or gas processing plants.
Hoa Binh is a northern province of Vietnam is not located in the fuel gas
development area so gas fired power plants should not consider to build when
unidentified source gas in this area.
3.1.3. Coal
Coal is abundant fuel source in the northern region of Vietnam, transportation

is convenient and fuel prices are relatively low, so the choice of coal for Lac
Thinh power plants is the most feasible option. In addition, the choose of coal
as fuel for Lac Thinh power plants also have the effect to promote the
development of Vietnam's coal industry.
According to the letter No 819/STNMT-KS dated 16/9/2013 of Hoa Binh
Industrial and Trade Department states that according to the survey result the
coal reserve in the province is 6,751 million tons, resource estimate more than
15 million tons. With reasonable exploration organization these reserve can
be used for the plant operation for period more than 30 years.
Recently in Hoa Binh there are 9 companies having the exploration
permission, but only two companies are in activities with the capacity 35,000
tons/year. If coal demand will be in the province it will be facilitate the coal
exploration development in the province.
Minute of Understanding between Hanoi Coal Trading company and Lac
200.000-250.000 tons coal per year for 2x 25MW Lac Thinh Power
3.1.4. Biomass
Biomass in the province estimate about 72,000 tons/year (20% of 360,000

tons crops seed ). If this biomass can be used we can save 100,000 tons coal
every year. Beside that plant will be designed to burn black carbon and gas
from the Pyrolysis plant will be used when enough capacity.
3.1.5. Conclusion
Coal will be the main fuel for power plants due by the following advantages:
- Hanoi Coal Trading company and Lac Thinh Industrial Park Ltd commit to
supply 200.000-250.000 tons coal per year for 2x 25MW Lac Thinh Power
cogeneration Power Plant
- Coal demand for plant is about 213,000 t/year
- Coal reserve in Hoa Binh is big enough for plant operation in 30 years
- Coal is abundant in the northern region of Vietnam
November, 2013 3-2
- Transportation is convenient
- Fuel prices are relatively low
- Promoting the development of Vietnam's coal industry
In addition to coal, may consider other sources of biomass fuels suitable for
combustion technology of the power plant to increase flexibility in the use of
fuel, limiting the discharge of solid waste as well as increases economic
efficiency for the plant.
3.2. Supply sources, Reserves, Specification of Coal
In Vietnam, coal is distributed in the areas: Quang Ninh (anthracite basin),

Hong river plain coal basin, inland coal mines, brown coal mines...
Anthracite region of Quang Ninh: Located northeast of Vietnam, lasted from
Pha Lai cross Dong Trieu to Hon Gai - Cam Pha - Mong Duong - Cai Bau -
Van Hoa is about 130km long, from 10 to 30 km wide, with total reserves of
10.5 billion Tons, including: taking the high level -300 is 3.5 billion Tons have
been looking for relatively detailed exploration, this coal mines is being
exploited at present. However, taking the high level -1,000m have estimated
reserves about 7 billion Tons and they is being invested for exploration. In
general, Quang Ninh anthracite coal has good quality, distributed near seaport
and clues of traffic…so it is very convenient for the extraction and
consumption of products.
Hong river plain coal basin: Located fulfilled in the Hong river delta area with
peak is Viet Tri and the bottom edge is coastline stretching from Ninh Binh to
Hai Phong, belong to the province/city such as: Thai Binh, Hai Duong, Hung
Yen, Hai Phong, Bac Ninh, Bac Giang, Hanoi, Son Tay, Ha Nam, Phu Ly,
Phuc Yen, Vinh Yen and is expected to drag on the continental shelf of
Vietnam's East Sea ...This is coal mine with large reserve (estimated about 210
billion Tons) and spreading over a large area of about 3500 km2. The coal
seams are generally distributed at a depth of -100 to-3500m and potentially
even deeper. The coal is kind of sub bituminous B, which is very suitable for
thermal power technology, cement, steel and chemicals. Due to the
distribution of coal located in the plain region, crowded populated so the
extraction will be very difficult. However, due to large reserves and coal
quality is suitable for the energy sector so the current, it is being focused on
mining technology research.
Domestic coal mines have reserve about 400 million Tons is distributed in
several provinces, including many different types of coal: brown coal (Na
Duong, Dong Giao coal mine, sub-anthracite coal (Nui Hong, Khanh Hoa,
Nong Son coal mine), lignite coal (Lang Cam, Phan Me, Khe Bo coal mine)…
At present, there are many coal mine which are being exploited.
The coal slurry is distributed in most the 3 regions: North, Middle and South
of Vietnam but mainly concentrated in South Vietnam, this is the kind of coal
have high ash level, low heat value. In some areas, coal may be exploited to be

November, 2013 3-3
used as a fuel, remaining coal amount mainly to be used as fertilizer for

agriculture. Total brown coal reserves in the country is expected to be about 7
billion cubic meters.
3.3. Localized Coal Mining Plan
Hoa Binh province has six small coal mines in Kim Boi, Lac Thuy, Yen Thuy,
Lac Son, Da Bac, Ky Son district. Coal is kind of mineral which be the earliest
discovered and exploited in the province and the most detailed study. Within
the province of Hoa Binh has discovered four small-scale coal mines Doi Hoa,
Lang Vo, Suoi Hoa, Bao Hieu and three point of coal are Nhan Dao, Muong
La, Doan Ket. Forecasted coal reserves of the province an estimated about 15
million tones. According to coal industry plan approved by the Prime
Minister, from now until 2015, the local coal mines need to be expanded
investment, renovation and new construction on the basis of selected
organizations and individuals have the capacity and conditions to carry out the
exploration and exploitation of coal for local demands.
Beside the coal, limestone material of Hoa Binh province in general very
profuse that present in many different stratigraphic. Limestone of the province
have large reserves with over 700 million tons are produced for making traffic
roads, irrigation and construction. This is one of the very favorable conditions
for the project..
3.4. Coal Specification
According to the information provided by the Lac Thinh Industrial Park Co.
Ltd in January 2013 local coal specification is as following:
Table ‎3-1: Local coal analysis
No. Parameters Unit Test method Result
1 Gross calorific value Kcal/kg TCVN 200 3,865
2 Ash % TCVN 173 47.68
3 Total moisture % TCVN 172 9.27
4 Total sulphur % TCVN 175 1.82
The coal properties will be defined when the Coal supply agreement will be
signed between Lac Thinh Thermal Power Plant and Coal supplier.
In the Table 3.2 is coal characteristic from Thai Nguyen area, which is
recently supplied to the CFB boiler of power plants of Vinacomin Power for
reference.
Table 3-2: Thai Nguyen coal characteristics for Vinacomin Power CFB boiler

November, 2013 3-4
Fuel Analysis Unit Performance Fuel Range of Fuel for

(Ultimate Analysis) Performance Testing
Classification Semi-anthracite Semi-anthracite

Colliery name Khanh Hoa Nui Hong - Khanh Hoa Nui Hong
Carbon, C % 51.72 44.32 – 57.28
Hydrogen, H % 2.08 1.51 – 2.61
Oxygen, 0 % 2.22 1.59 – 2.88
Nitrogen, N % 0.95 0.82 – 1.12
Sulphur, S % 2.34 2.34
Moisture, H2O % 14.01 11.50 – 18,50
Ash % 26.68 23.23 – 31.81
HHV Kcal/kg 4690 4066 – 5130
LHV Kcal/kg 4500 3840 – 4980
Volatile matter % 9.61 6.48 – 12.61
3.5. Saw dust specification
Sawdust as well as coal must be studied very detailed in the next stage to
confirm the supply capability for long term
According to the information provided by the Lac Thinh Industrial Park Co.
Ltd in January 2013 local acacia sawdust specification is as following:
Table 3-3: Acacia sawdust specification
No. Parameters Unit Test method Result
1 Gross calorific value Kcal/kg TCVN 200 3480
2 Ash % TCVN 173 2.11
3 Total moisture % TCVN 172 37.85
3.6. Coal Transportation Plan for The Plant
Coal consumption for the plant will be about 630 tons/day. Because terrain of
the project area is not suitable for waterway traffic so coal is used for the plant
will be obtained from various sources and transported to the plant by truck.
With the mode of transport by truck about 25 tons, the vehicle density
correspondence will be 25 trips/day.
Hanoi coal trading company will deliver coal to the plant or at port in the
region such as: Son Tay, Hoa Binh, Ninh Binh, and will be transported by
trucks to the plant (see MOU).
Coal from the local area will be transported by trucks from Lac Thuy, Lac
Son, Kim Boi…
Coal will be transported to plant by truck and the same truck will be
November, 2013 3-5
transported ash from the plant to the ash yard.
3.7. Fuel oil specification
Fuel oil will be used for startup boiler, support burning at low load and run
emergency generator. The fuel oil price is very high and not recommended to
be used as main fuel for Lac Thinh Power Plant.
Table 3-4: Distillate oil No 2 sample specification
Specifications Unit Typical Range
Component of Distillate Oil
Carbon % 86,19 85,3-86,5
Hydrogen % 13,11 12,6-13,8
Nitrogen % 0,1
Oxygen % 0,1
Sulfur % 0,5 1,0, Max
Moisture % 0
Ash % 0 0,01, Max
Total %
44800-
Gross Calorific Value KJ/Kg 45225 46050
Low Heat Value (LHV) KJ/Kg 42600
Viscosity at 40oC cSt 1,3-5,5
Flash point oC 50, Min
Pour point oC -6, Max
Water and sediment %Vol 0,05, Max
Carbon residue on 10% bottoms %Wt 0,35
Distillate temperature 90% point oC 282-338
Total metal strip corrosion

(V + Pb + Zn + Ni) ppm 1, Max
In case of emergency, diesel generator will serve for lighting, maintain power
November, 2013 3-6
for control system of plant. Estimated consumption of fuel oil is about

400 tons/year.

November, 2013 3-7
CHAPTER 4: SITE DESCRIPTION
Project site is selected in the Lac Thinh industrial Park in Yen Thuy district,
which was approved by the Hoa Binh People committee in the decision No
1271/QD-UBND dated 22 July, 2011. Lac Thinh Industrial Park has total area
220ha, will be developed in two stages, first stage – 110ha, second stage –
110ha.
BTG S.R.O Group planned to construct the infrastructure in the Lac Thinh
Industrial Part including: Sec Slovakia breweries project capacity 200 mil.
liters/year, Insulation production plant project for thermal power plant and
industry; Boiler manufacture plant project capacity 100-1000 MW; Milk and
milk products processing plant project; Solar cells production plant project.
BTG S.R.O group planned to construct 2 x 25MW power plant to supply
steam and power for the plants in the industrial park
4.1. Requirements of site selection
Site for power plant must be meet the following conditions:

 Must be in the planning area and agree with the social- economical
development plan of local authorities.
 To meet the power plant capacity including the extension in the future.
 Fuel supply to the power plant must be available for long term, coal
planned from local coal mines.
 Technical water and cooling water supply.
 Near the load consumers, reducing the transmission fee.
 Easy to connect power plant to the power network, to guarantee the
capacity and energy transmission is reasonable and effective.
 Layout: excavation and filling up volume is not much, compensation value
is minimum, good conditions of soil, topography, hydrological.
 Transportation is good, easy to connect to the national roads and water
ways system.
 To meet the environment requirements and must be approved by the local
authorities and MONRE.
 Other technical requirements.
Chapter 4: Site Description

November, 2013 4-1
4.2. Site description
4.2.1. Technical requirement for power plant
Items Requirement
Land area inside the plant boundary 11.52 ha
Ash yard outside the plant area 8.0 ha
Plant capacity 2 x 25MW
Auxiliary power consumption 5.5MW
Net capacity 44,5MW
Available operation hour 7,884 hours
Main fuel Local coal or Coal

from Quang Ninh,
Thai Nguyen…
Stand by fuel Distillate oil (DO)
Other fuel Biomass
Water demand (estimate) 251 m3/hour
Annual coal consumption (100% coal burning) 213,000 ton/year
Annual biomass consumption (100% biomass 600,000 m3/year

burning)
Ash for treatment 39,000 ton/year
Annual quicklime consumption 4,415 ton/year
Waste water for treatment 120 m3/hour
4.2.2. Lac Thinh Industrial Park
Hoa Binh province develop Lac Thinh Industrial Park with the target to
construct the complete industrial park, effectively land use, attract the
investment for industrial projects, push up the social - economic development
and creating the jobs for population in the area.
 Industrial park coordinate:
+ From 1050 34’50’’ to 1050 35’ 55’’ East longitude;
+ From 200 23’ 21’’ to 200 24’ 19’’ North latitude.

November, 2013 4-2
 Location: Lac Thinh – Yen Lac village, Yen Thuy district.

 Land acquisition: 220ha, Yen Lac (114.14ha) and Lac Thinh (105.84ha)
 In the North: Ho Chi Minh road.
 In the South: is near Nong Truong lake, Yen Lac village, cross Thuong Tien
commune and farm, acacia (keo) planted area on the border between Yan
Lac va Lac Thinh villages.
 In the East and North East: is near Tan Thanh commune, Khanh Linh and
farm belong to Yen Lac village.
 In the West: bounded by Sau, Lang communes and rice – field alternate
rock-field of Lac Thinh village.
 Average elevation is from 61m to 62m, highest is 69m and lowest is 52m.
 Scattered population.
There will be 20 projects will be developed in the Industrial Park in two
stages. The detail plan was approved: land use, architecture design,
transportation system, technical preparation, run-off water system, water
supply system, power network, communication system, wastewater treatment
system, solid waste treatment system …
4.2.3. Thermal Power plant site
2 x 25MW Lac Thinh power plant will be located on the South – East of the
industrial park, with the area is about 11.52 ha inside the plant’ boundary and
8ha outside the plan boundary.
4.2.3.1. Topographical condition

The average altitude of area is 61-62m, highest altitude is 69m and lowest
altitude is 52m. The central area has the highest altitude creating the slope
evenly dividing to 2 sides East and West. The topography of area is not
complicated, specifically has some mounds and alternated stone field creating
the small partition of topography surface. According to the land use map the
Power plant area is rice – field and acacia (keo) planted area, not inhabitance
area, belong to the narrow valley prolong from North- West to South – East,
an even and flat terrain and alternated some lime stone hills.
4.2.3.2. Soil condition

In July 2011, the owner drrilled 3 bore holes in Lac Thinh Industry park, one
of them is in the power plant area (BH2). Within the scope of the survey area
and survey depth from the surface to 26.0 m depth including 5 levels as
follows:
 Layer 1: brown grey clay, the status is plastic – hard. This layer is
discontinuously distributed and mainly present in the North and East area,
the average depth is about 6.0m. This layer has low press and subsidence,
medium anti-force, might be used for hollow foundation of works with
November, 2013 4-3
small to medium scale.

 Layer 2: clay mixed with laterit grit, yellow grey clay, black grey clay, the
status is semi–hard. The depth varies from 2.5m to 9.5m, this layer has low
press and subsidence, medium to high anti-force, might be used for
foundation of works with medium scale.
 Layer 3: brown grey clay, the status is plastic – hard. This layer is only
present at drilling pit BH3 with the depth of about 5.0m. This layer has low
press and subsidence, medium anti-force, might not be used for foundation
since above and under this layer is layers with better anti-force.
 Layer 4a: grey and white grey limestone, strongly and moderately
weathered, strongly chapped and broken. The stone of this layer is strongly
and moderately weathered, red grey and black grey, with small and fine
particles, tightly attached and block composition. The depth varies from
2.0m (BH2) to 14.0m (BH1). In the places less broken and there is no karts
phenomenon, sufficient bearing capacity can be used for foundation.
 Layer 4b: blue grey and black grey limestone, small and fine particles,
moderately and lightly weathered, moderately chapped. This layer has large
depth about 20m. At present 3 pits are being drilled into this layer from
5.0m to 6.0m. This is good stone layer, might be used for foundation of
works with large scale.
4.2.3.3. Climate
This location is in the tropical climate hot and wet. There are two seasons in
the year:
 Rainy season from May to October: high temperature (average 28 – 30°C,
specially is 35 - 37°C), rain fall is high and changing in some months
(monthly average 320mm, may be 350 - 400mm in some months), average
humidity is 85-88%. South – East monsoon usually occurs in the afternoon.
 Dry season (from October to April next year): ambient temperature change
a lot (even in the same day and in one location), average temperature is 15-
23°C, specially lowest 1-2°C, rainfall is rare (average is 30 - 50mm),
average humidity is 84%, fog in the morning (in the high mountain, fog
last until 8-9 am, Northeast monsoon frequently occurs, it is cold and dry.
4.2.3.4. Hydrographical condition

The area has the stream network concentrated in the Northwest flowing into
Be river, away 6km from the West of project area. Streams and lakes in the
area are dry in the dry season causing difficulties for living and irrigation of
local people. Because the complication of topography combined with climate
condition creating a chink system with relatively stable surface water. Beside
the project area has canal and stream system flowing with the Southeast
direction into Thuong Tien lake at the South of project area. The chemical
ground water analyzing results show that Bicarbonate – Clorua – Natri – Kali
Canxi, total hardness 0.8 mg/l, permanent hardness 2.2 mg/l, free content CO2
November, 2013 4-4
13.20 mg/l. Ground water at the project area does not corrode concretes made
from pooclang and puzzolan cement.
4.2.3.5. Earthquake
According to the earthquake map in Vietnam there are 30 regions can occur
earthquake. The level of earthquake is in the range of 5.5 – 6.8 Richter scale.
Cho Bo (Hoa Binh province) has maximum earthquake level 5.5 Richter scale.
4.3. Selected site evaluation
Power Plant will be located in Lac Thinh industrial park, 73km from Hanoi,
93km from Noi Bai airport, 170 km from Hai Phong port. This is gateway of
the North-West area favorable to trading development.
Lac Thinh Industrial Park was approved in 2011. In August 3rd, 2011 Project
Management Board of Hoa Binh industrial parks in cooperation with Yen
Thuy district, BTG Slovensko group published the detail plan scale 1/500 of
Lac Thinh Industrial park, Yen Thuy district to the local population.
Area 19.52 ha is sufficient for 2 x 25MW thermal power plant with the items:
Power Island, coal yard, ash yard, DO supply system, water treatment system,
waste water treatment system, 110kV switchyard ….
There is not inhabitance area the compensation and site clearance will be
easily and cost not much.
During this survey, does not appear the distribution of weak soil layer. With
such geological conditions, it can be said is pretty good. With the small-scale
construction to moderate, the shallow footing on natural foundation could be
used and placed directly onto layer (1) or (2). With the construction of high
load; can be considered the solution foundation bored piles or steel piles, the
pile tip place onto limestone layer (4b) or (4a) depending on location.
There are 500kV and 220kV existing transmission lines in the project area so
the connection plant to power network will be convenient. Power plant will
supply the power to the plants in the industrial park, estimated power demand
is 70MW, power auxiliary consumption is about 5.5MW (24.5MW in total).
Extra power generation can be supplied to the power system (if needed).
Water for the Thermal power plant will be supplied from water station
capacity 17,200 m3/day located in the South – West of the industrial park.
Water planned take from Thuong Lake and additional supplied from
underground water. Water quality for industrial park will be the same
standards for living.
Using cooling towers power plant will not have thermal polluted waste water,
there are only industrial and living waste water need to be treated.
Coal for power plant planned supply from local mines. According to the
provincial evaluation reserve is about 15 million tons.
Based on preliminary survey the construction material (soil, stone, sand)

November, 2013 4-5
supply can be as follows:

Soils mines for filling purpose: can get from alluvium, diluvium and
intensively weathering zone in the area around the project. The hills are
usually located near the Ho Chi Minh highway, it is about 5-10 km from the
Industrial Zone, which is very convenient for exploitation
Construction sand mine: the construction sand could be take sand from Ma
river, it is about 30 km in west from Industrial Zone, along the Ho Chi Minh
highway.
Rock mine: in the area around, there are available limestone for construction,
filling and embankment
4.4. Conclusions
Selected site for power plant in the Industrial Park is reasonable, meet the
technical requirements to construct power plant: located in the planned
Industrial Park, flat area, good soil condition, close to the power consumers,
convenient for connection to the grid, close to the coal mines, near to water
resource, not inhabitancy area, just planted only acacia and crops, close to the
construction material supply sources ….
Though project site is in the industrial park but the plant will be second project
(after breweries project) the infrastructure system of the Industrial Park will be
done before finalizing power plant.
Lac Thinh Industrial Park Co. Ltd. should plan to construct the following
system in priority to meet the schedule of power plant project: power for
construction, water for construction, drainage system, waste water treatment
system...

November, 2013 4-6
CHAPTER 5: TECHNICAL SOLUTIONS
5.1. Overview of Boiler Technologies
In generally, boiler is a type of heat exchanger to take the heat generated from
the combustion of fuel to water, water is heated and turned into steam. Under
the influence of pressure, water vapor will transfer energy to another process
to generate work. Water is a intermediary agent which is useful and
inexpensive to help to transfer energy. When water is converted into steam, its
volume increases about 1,600 times, creating a strong powerful to rotate
turbine.
Figure ‎5-1: Operation Principle of Boiler

In the thermal power plants, boiler is one of the most important equipments of
the power generation process. It is required a level of mechanization and
automation with high reliability and stability, high efficiency is also a request.
To ensure enhanced performance of the heat cycle in thermal power plants, the
generated steam must to have high pressure and high temperature.
Within the scope of the project, this report will not mention the type of boiler
used in the industry to supply steam instead report refers only to the boiler
used in power plants. Depending on the intended use of the boiler, structure
would be very different, so the classification is very different:
- According to the regime of fuel combustion in the furnace, including: bed
firing, fluidized bed firing, circulation fluidized bed firing, pulverized
firing, Tangential firing,..
Chapter 5: Technical solutions
November, 2013 5-1
- According to type of ash discharge, including: dry ash discharge or wet ash
discharge.
5.1.1. Type of Natural Circulation boiler
Type of natural circulating boiler is also known as drum type boiler which is
relatively popular. To enhance the natural circulation of water in the boiler,
water pipe will be arranged vertically inside the boiler. The water will be
connected directly to the drum. Circulation takes place due to density
difference of water inside down comer and evaporation pipe. With natural
boilers, water is separated from the steam be done in drum. Natural boilers are
limited by sub-critical pressure (≤180bar), because above this pressure, the
density difference between steam and water in 02 the pipes is not enough to
create natural circulation.
5.1.2. Type of Forced Circulation boiler
Forced circulation boiler is also drum type boiler, however, pressure of steam
is designed higher than natural circulation boiler and it up to critical pressure.
Also, due to high working pressure the density difference between water and
steam will not be enough to create natural circulation, So with this type of
boiler, forced pump should be equipped to create circulation for steam and
water.
Forced circulation boiler has to been equipped the pump and it is also required
material higher than natural circulation boiler so power consumption and
investment cost is higher also. However, efficiency of forced circulation boiler
was significantly improved compared to natural circulation boiler so its
effectiveness is higher.
5.1.3. Stoker Fired Boilers
Stokers are classified according to the method of feeding fuel to the furnace
and by the type of grate. The main classifications are spreader stoker and
chain-gate or traveling-gate stoker.
5.1.3.1. Spreader furnace

Spreader furnace utilizes a combination of suspension burning and grate
burning. The coal is continually fed into the furnace above a burning bed of
coal. The coal fines are burned in suspension; the larger particles fall to the
grate, where they are burned in a thin, fast burning coal bed. This method of
firing provides good flexibility to meet load fluctuations, since ignition is
almost instantaneous when the firing rate is increased. Due to this, the
spreader stoker is favored over other types of stokers in many industrial
applications.

November, 2013 5-2
Figure ‎5-2: Typical spreader furnace
5.1.3.2. Chain grate or traveling grate furnace

Coal is fed onto one end of a moving steel grate. As the grate moves along the
length of the furnace, the coal burns before dropping off at the end as ash.
Some degree of skill is required, particularly when setting up the grate, air
dampers and baffles, to ensure clean combustion leaving the minimum of
unburnt carbon in the ash.
The coal-feed hopper runs along the entire coal-feed end of the furnace. A coal
gate is used to control the rate at which coal is fed into the furnace by
controlling the thickness of the fuel bed. Coal must be uniform in size as large
lumps will not burn out completely by the time they reach the end of the grate.
Figure ‎5-3: Typical traveling grate furnace

November, 2013 5-3
5.1.4. Fluidized Bed Combustion (FBC) Boiler
Fluidized bed combustion (FBC) has emerged as a viable alternative and has
significant advantages over a conventional firing system and offers multiple
benefits – compact boiler design, fuel flexibility, higher combustion efficiency
and reduced emission of noxious pollutants such as SOx and NOx. The fuels
burnt in these boilers include coal, washery rejects, rice husk, bagasse & other
agricultural wastes.
When an evenly distributed air or gas is passed upward through a finely
divided bed of solid particles such as sand supported on a fine mesh, the
particles are undisturbed at low velocity. As air velocity is gradually
increased, a stage is reached when the individual particles are suspended in the
air stream – the bed is called “fluidized”. Air velocity is maintained in a range
of minimum boiling velocity and velocity of fuel particles entrained. This
helps to ensure stable operation of the fuel and avoid particles entrained into
the gas flow.
If sand particles in a fluidized state are heated to the ignition temperatures of
coal, and coal is injected continuously into the bed, the coal will burn rapidly
and the bed attains a uniform temperature. The fluidized bed combustion
(FBC) takes place at about 840oC to 950oC. Since this temperature is much
below the ash fusion temperature, melting of ash and associated problems are
avoided.
5.1.5. Pulverized Fuel Boiler
Most coal-fired power station boilers use pulverized coal, and many of the
larger industrial water-tube boilers also use this pulverized fuel. This
technology is well developed, and there are thousands of units around the
world, accounting for well over 90 percent of coal-fired capacity.
The coal is ground (pulverized) to a fine powder, so that less than 2 percent is
+300 micrometer (μm) and 70-75 percent is below 75 microns, for a
bituminous coal. It should be noted that too fine a powder is wasteful of
grinding mill power. On the other hand, too coarse a powder does not burn
completely in the combustion chamber and results in higher unburnt losses.
The pulverized coal is blown with part of the combustion air into the boiler
plant through a series of burner nozzles. Secondary and tertiary air may also
be added. Combustion takes place at temperatures from 1300-1700 °C,
depending largely on coal grade.
This system has many advantages such as ability to fire varying quality of
coal, quick responses to changes in load, use of high pre-heat air temperatures
etc.
5.1.6. Conclusion and Recommendation
BTG S.R.O. is experienced in the boiler manufacture capacity range 25MW,

Gravity-Fed Traveling Grate stocker furnace type is selected. This system
November, 2013 5-4
permit the use of any kind of biomass after mills in pieces around 6 mm size,
and coal with low caloric value in pieces around 6 mm too. These fuels go into
furnace helped by air flow, and have 2 burners to start process and can burn in
same time the gas or diesel from the Pyrolysis plant.
The boiler consists of a furnace made of "membrane" tube walls. It is fitted
with two drums. The convection vaporisation bank consists of vertical tubes
which are expanded into the two drums. In all steam generating circuits the
water and the water/steam mixture is entrained by force of gravity in a natural-
circulation system.
This system have 3 parts, one for burn the Biomass, other to burn the Coal and
other to burn the light fuel oil for start process or gas and diesel from the
Pyrolysis Plant when have enough production. The 2 first are located in the
front part of the Boiler and the other in the side
The outstanding advantages of Gravity-Fed Traveling Grate stocker furnace
technology as follows
- It is a advanced technology correspond with burning coal, biomass, or
different solids.
- Boiler allows the burning difficult fuels, fuel with components change in a
very wide range, maintaining environmental standards, especially suitable
for characteristics of anthracite.
- Coal does not need high fineness as requirements for pulverized coal fired
boilers. Due to boiler technology maybe burn coal within range of 6mm so
coal handling system is simple, no need pulverized finely instead it only
need to crush.
- Since coal burn at not high temperature (about 850oC) so NOx emission
formed in the furnace at a very low level compare with pulverized
combustion boiler. So, with the current environmental standards, no need
to install expensive NOx reduction equipment on flue gas way of the
boiler.
- Low Temperature in combustion furnace, is closely controlled so
preventing the process of slaging.
- Boiler technology proven effective for control and maintenance of
combustion in a wide range from 50 to 100% which does not need to use
oil to support combustion, is technology with high combustion efficiency
and low operating costs
- Furnace burns coal better, so carbon content in the ash is lower than
pulverized coal fired furnace.
On the basis of the above analysis, recommend: select the Gravity-Fed
Traveling Grate stocker furnace type for Lac Thinh power plant project
2x25MW. DO will be used as a fuel supporting and starting up.

November, 2013 5-5
5.2. Steam turbine and Unit Capacity Selection
On the basis of the demand of electricity and raising the quality of power
supply for enterprises within the industrial park as well as providing for the
steam demand of factories to serve the technology chain. Power plant with a
capacity of 2x25MW will match for the power supply to plants within
industrial park and to improving the reliability of power supply for the region.
In addition, with capacity 2x25MW is quite small for a power plant so coal
consumption will be less so the plant will not need to invest in port system at
the plant for receiving, transporting instead can use the truck to transport the
coal to the plant, this plan will help reduce the cost of investment, increase
economic efficiency for the plant.
Conclusion: Selection of used 02 condensate steam turbine units with total
capacity are 2x25MW for Lac Thinh power plant project to supply electricity
and steam for industrial plants and power distribution do not use up for
Vietnamese national electricity system.
5.3. Selection of Steam Parameter for Boiler, Turbine
Generally in power plant technology, in principle, the steam parameters

(pressure, temperature) reach as high as possible for efficiency of plant.
However, increasing level of steam parameters are more dependent on natural
conditions, type of fuel, technology of boiler and turbine, capacity of unit. In
addition, the high requirements on steam parameters also increase the cost of
investment in equipment.
Due to the expected installed capacity of relatively small (2x25MW) so it need
to have high enough performance to improve the plant's overall economic
indicators as well as to ensure the steam supply to meet the requirements of
consumer in the industrial park. BTG boiler manufacture proposed steam
parameters at the BMCR mode as follows:
- Number of boilers : 02 set
- Type of boiler :Gravity-Fed Traveling Grate stocker furnace
- Type of Water Circulating Regime : Natural Circulation
- Steam supply to Turbine:
 Flow rate: 113 T/h
 Superheated Parameter : 60bar, 445oC
- Steam supply to consumer in industrial park:
 Steam Flow rate : 24 t/h – 30 t/h
 Steam Parameter: 10 bar; 255 ºC
The power plant will be extracted steam to supply for some of plant in
industrial park. Extracted steam from steam turbine will be controlled.
Pressure of extracted steam is in range of 10bar. Steam after being extracted
November, 2013 5-6
from the turbine will be taken to a adjustment station to control parameters in

accordance with the required technology of the plant.
On basic of boiler’s superheated steam parameters, steam turbine will have the
following parameters:
- Steam turbine type: indoor, 1 cylinder, without reheat, condensing type.
- Number of unit: 02 units
- Power capacity: 25 MWe/unit
- Steam Flow Rate: 113 Tons/h
- Inlet Steam Pressure/Temperature: 58bar, 443oC
- Number of Extraction Gate: 03
Power plant will be designed to operate with temperature of inlet cooling
water at 25oC and condenser parameters as follows:
- Exhausted steam temperature: 45oC
- Condenser vacuum pressure: 0.1bar
- Temperature difference of cooling water: 10oC
5.4. Balance of Plant Systems
5.4.1. Coal handling system
Functions of the coal handling system will be used for receiving, storage,
crushing and transport to the coal silos of boiler.
Coal fuel of Lac Thinh power plant will be domestic anthracite source and will
be transported to coal yard by trucks, so coal storage shall be designed to
ensure compliance with specific coal receiving.
Coal handling system shall be included coal storage which is fully equipped
with unloading equipment and dust removal. At coal storage will has a
crushing station, coal will be crushed to reach suitable size. At outlet of the
crushing station has conveyors to transport coal to the silos of boiler.
Coal handling system will be included main components as following:
- Coal storage, including unloading as follow: bulldozer, unloading system,..
- Coal crushing station
- Conveyors
- Iron separator
- Conveying weight
- Control system
- Waste water collection system from coal storage
Capacity of the coal storage must contain a enough amount of coal to ensure
that the plant can operate at BMCR mode for 30 consecutive days.
November, 2013 5-7
In case of the plant using other fuels. Fuel handling system will have to be
equipped independently with coal system and there are some specific
requirements for transportation and storage.
5.4.2. Quicklime internal handling system to FGD
Quicklime will be deliver into the silo, situated at east of Boilers, by trucks
through one conveyor. Quicklime demand is about 4,415 ton/year.
Quicklime from silo will be transferred by pneumatic system to the FGD
located in each Boiler
This system will consist of:
- Quicklime silo.
- Air system to quicklime handling systems. Use the same fans prepared to
extract the Fly Ash from the FGD and Electrofilter.
- Quicklime handling systems electro part.
- Quicklime handling systems I&C part.
5.4.3. Ash Handling System
Ash in the coal after burning in the combustion furnace of the boiler survive
under 02 forms: fly ash and bottom ash. Ash is generally contained within the
silos of the plant and will be transported to ash pond by conveyor system, or
maybe also transported out of plant by truck.
5.4.3.1. Fly Ash Collecting System

For circulating fluidized bed boiler, gas from combustion furnace will have to
go through the separator mounted on the way of flue gas to separate particles
of unburnt coal in the combustion furnace and put on the furnace to continue
to burn out, part of fly ash have light weight not retained in the separator that
will be swept away by flue gas. On the way of flue gas, behind the separator
will be equipped with dust filters to collect ash in the flue gas before it is
discharged into the environment.
Equipment of Electrostatic Precipitator based on the principle of creating
electrostatic field by direct current with high voltage in the range 25 - 100kV
depending on the layout of the electrodes and the collecting capacity. Particles
passing through the electric field impact zone of discharged electrodes will be
infected electric charge and fly to collecting electrodes the action of the
electric field force. After collision with the collecting electrode plates will be
neutralized and fall down the collecting hopper. Measures using Electrostatic
Precipitator can achieve collecting efficiency up to 99.8%. Currently, this is a
dust collecting method which is the most advanced dust and it is commonly
used in power plants and other plant to clean the air by performance and
reliability is high, degree of automation is also high.

November, 2013 5-8
Figure ‎5-4: Operation Principle of Electrostatic Precipitator - ESP

Dust filter is applied in the power plant Lac Thinh is electrostatic precipitator
type for the benefit of high dust filtration performance, easy operation and
maintenance, the level of automation and reliability is high.
Fly ash is the finest of ash, having a particle size of from about 1 to 120μm.
Addition to ESP, hoppers are also arranged in the economizer, air heater to
collect the ash. Fly ash after collected, it will be led to the silos by compressed
air or discharged directly to the ash pond by hydraulic system. Depending on
combustion technology and input coal quality, collected fly ash can account
for 40% of the amount of ash in the input coal with technology of circulating
fluidized bed boiler.
5.4.3.2. Bottom Ash Collecting System

The part of ash is removed from the bottom of the boilers is called bottom ash
or slag. Bottom ash is usually large size and clotted due to melting under high
temperature of combustion furnace. With CFB boilers, bottom ash accounted
for about 60 percent of ash in coal, depending on used coal and technology of
boiler.
In principle, bottom ash removal system must meet the following
requirements:
- Creating fluidized bed and maintaining furnace pressure
- Removing coarse slag particles in the furnace to outside
- Temperature of discharged slag usually remains very high at about 800oC
to 900oC should need to be cooled down to a temperature of about 60oC to
140oC. According to the current trend, a heat exchange systems are
generally designed to cool the slag as well as recovering waste heat to
November, 2013 5-9
warm up primary air or feed water.

Bottom ash after collected, it will be transported to the silos to store.
Figure ‎5-5: Type of typical bottom ash removal with fluidized bed boiler
5.4.4. Water Supply System and Waste Water Treatment System
Cleaned water system in the plant will be included 02 water treatment system
serve for 02 different purposes, as following: Potable/service water system and
boiler feed water system. These two systems will have different quality
requirements. The total water demand for Lac Thinh power plant estimated at
251 m3/h.
5.4.4.1. Potable, Service Water Treatment System

Due to the scale of a power plant with a total capacity 2x25MW is not large,
therefore propose to consider using the general water source in industrial park
which is supplied by a water treatment station with capacity of 17,200m3/day
located at the southwest of industrial park to investment cost saving for plant.
This water treatment plant is expected to take water from Thuong lake and
will be supplemented by groundwater source.
Water supply for activity and service demands will be included:
- Water supply for activity demand of operators
- Fire Fighting System
- Water supply for HVAC system
- Water supply for watering plants
- Water for service demands
- Water supply for cooling water systems
- Supply for demineralized water treatment system
Quality of potable water supply for operators has to meet QCVN 01-2009:
National technical regulation on drinking water quality or other equivalent
internationals standards. Remaining demands maybe use generally potable
water system if do not any special requirements. Due to water quality of
industrial zones will similar to drinking water standards should not consider
investing in water pretreatment chain. Considering specifically quality index
of supply water will be carried out in next stage of the project.

November, 2013 5-10
To enhance the operational reliability of the plant, water supply system will be
included tanks to store water for 07 operational days at full load condition.
5.4.4.2. Demineralized Water Treatment System

On basis of preliminary analysis, proposing use demineralized water treatment
technology by using semi-permeable membrane method for Lac Thinh power
plant because this is the current advanced methods with advantages of
investment and operating costs, fully automatic operation ensures safety and
labor saving, use less chemicals so low operating costs, safety and
environment-friendly.
5.4.4.3. Waste Water Treatment System

Wastewater treatment systems in the power plant will undertake task of
collecting, storing, classifying, treating and discharge. Waste water after
processing compelled to meet regulations in Vietnam standard QCVN
40:2011/BTNMT.
Waste water sources in power plant will comes from the following sources:
- Normal Wastewater: The wastewater below shall be treated regularly or
periodically when the plant is in normal working status:
 Wastewater from raw water pre-treatment plant;
 Wastewater from demineralizer plant;
 Wastewater from potable water system activated carbon filter;
 Wastewater from FGD system;
 Effluent (wastewater) from domestic waste treatment plant;
 Effluent from oil/water separator (treated from turbine and boiler
area wastewater stream);
 Dust sprayer wash water;
 Wastewater from other plant drains;
 Service (Lab. Room, etc.) drains.
- Intermittent (Irregular) Wastewater: Intermittent wastewater to be
treated is primarily washing wastewater, such as:
 Chemical cleaning Wastewater;
 Equipment Washing Wastewater;
 Intermittent (Irregular) Wastewater from some of sources;
Waste water canal system of the plant must be built separately. Waste water is
collected from different sources shall be classified and treated separately
according to nature of pollution until reaching the nature of pollution until
reaching the limited conditions of wastewater to be able to allow discharge
into the drainage network.

November, 2013 5-11
For neutralized waste water from power cycle will be led to drainage system
that does not need to process with the condition that their components can
meet limited indicators about waste water which is specified in the
Vietnamese standards.
Some of waste water sources from the plant caused by rain water, not affected
by chemicals or oil which is most arising from coal handling system will be
taken to a storage pit to collect coal slurry, then will continue to be chemically
treated to neutralize. With this type of waste water source and domestic waste
water, the proposal should be led to waste water treatment plant which is
located in industrial park to process in order to reduce capacity for the plant's
wastewater system, this proposal is also applied for domestic waste water
sources of plant. Waste water treatment system of plant should just be
designed to process contaminated wastewater by chemical or oil.
5.4.5. Cooling Water System
Cooling water system of power plant will include 03 following systems:

- Condenser cooling system
- Auxiliary cooling water system
- Close circuit cooling water system
Main cooling water system has to meet demand of water for condenser and
auxiliary cooling system
5.4.5.1. Condenser cooling system

Lac Thinh thermal power plant project will use one-through circulation
cooling method by cooling towers. Cooling water demand is about 11,526
m3/h and make up water demand is 190m3/h.
This building shall house the main cooling water pumps, and other
complementary equipment. The design and construction of the building shall
be same as described in steam turbine house, but with more simple walls,
semi-indoor type.
Building shall use the same overhead traveling crane that in Machine House,
and if necessary, hoists for the erection and maintenance of the equipment
house shall be provided.
As the bottom floor of this housing is lower than the buildings nearby, there
shall be a drain pit, inside the building. This pit shall be so designed that any
leakage coming from cooling water system will be immediately discharged by
means of pumps in sufficient and even oversized capacity.
Floors of Cooling Water Pump House will be suitable industrial type of floor.
Cooling tower system is divided into two parts:
- The pump station, located in the middle, is made of reinforced concrete,
including roof beam support and iron roof. To load, upload, install and
repair equipment inside the pump station can be using the crane on top.
November, 2013 5-12
Erection floor is designed in two sections: reinforced concrete floor and

pump floor. The remaining floor arranges pump valve and steel grid frame.
Floors and structural component placed on the floor are supported by
reinforced concrete beams.
- The cooling towers:
 Underground part is the reinforced concrete tanks with 2,0m depth,
sloped to the rear. The bump from the bump station suck water from
these tanks
 The upper part is the cooling towers
5.4.5.2. Auxiliary Cooling Water System

Auxiliary cooling water system undertake task of releasing heat for closed
circuit cooling water. This system will be equipped separately for each unit.
Circulation cooling water will be taken from bottom basin of cooling tower,
before going into the condenser will be extracted a way to lead to auxiliary
cooling water system to release heat for closed circuit cooling water. After
coming out heat exchanger, auxiliary cooling water will along with circulation
cooling water go to cooling tower.
5.4.5.3. Closed Circuit Cooling Water System

Closed Circuit Cooling Water will be demineralized water. Closed circuit
cooling water system will undertake task of supply demineralized water to
following system/equipments:
- Sampling system
- Lubricating oil cooling system
- Generator cooling system
- Air compressor cooling system
- Other cooling water demands
5.4.6. Fuel Oil Supply System
In normal working conditions and hot start-up, combustion system of

circulating fluidized bed boiler will not need to use fuel oil. Fuel oil will be
used to start up boiler, support for burning when boiler is required to operate
at low load (<40%), fuel oil is also used to run emergency diesel generators
and fire fighting pumps.
Due to the capacity of Lac Thinh power plant is quite low and applied
circulating fluidized bed boiler technology with the ability operate at low load
without burning support. Recommendations do not use HFO instead will use
DO as a backup fuel for the cases mentioned above in order to save investment
costs and operating cost due to no need to invest heavy oil treatment system

November, 2013 5-13
such as oil heating system.

DO fuel oil will be transported to the plant by trucks and stored in tanks.
Volume of DO tanks will be considered to design enough for largest demand
of plant during 07 days or 01 month in continuous working conditions
depending on requests from Owner.
5.4.7. Compressed Air System
Compressed Air System of plant will be included 02 following systems:

- Instrument compressed air system
- Service compressed air system
Instrument compressed air system will require a much higher quality than
services compressed air system, therefore instrument compressed air system
will be equipped more equipments used for processing dust, humidity,
monitoring and control. However, in order to increase stability and reliability,
two compressed air system must be able to reserve for each other in order to
maybe replace for each task in a number of emergency cases
Compressed air system will be included at least following equipments:
- Air compressors
- Compressed air receivers
- Filtration equipments, dehumidifiers
- Monitoring, control equipment
5.4.8. Pollution Gas Treatment System
Flue gas at chimney mouth of plant (about 296,820 Nm3/h) has to meet
requirements on emission indicators specified in Vietnamese standard number
QCVN 22: 2009/BTNMT, which will be as follows:
- Total dust content: 200mg/Nm3
- NOx content (on basis NO2): 650mg/Nm3 (for coal with a volatile
content > 10%)
1000mg/Nm3 (for coal with a volatile
content ≤ 10%)
- SO2 content: 500mg/Nm3
Due to Lac Thinh power plant located in the Industrial Park and has total
capacity of two units are 50MW, so coefficient Kv is 1.0 and coefficient Kp is
also 1.0.
In the case of plants using technology of Gravity-Fed Traveling Grate stocker
furnace, with low NOx burning coal at a low temperature (about 850oC), so
amount of NOx formed in furnace at a very low level. The FGD consist in one
duct, from lower part go up the gas flue and in counter way go the quicklime
in dust, and have reaction with the sulphur into gas and obtain CaSO3, CaSO4,

November, 2013 5-14
and CaCO3 like final products.

Boiler will be equipped with ESP for dust reduction, efficiency can be reached
> 98%.
Although the level of emissions at chimney mouth of plant meets regulations
when applying circulating fluidized bed coal fired technology and necessary
environment processing equipments but still need to pay attention to the
emission norms affect the air quality in ambient at ground specified in
Vietnamese standard QCVN 05-2009. However, this emission rate can be
adjusted by adjusting height of chimney.
In the next stage of the project, recommended additional implementation of air
survey as basis for the arrangement of the chimney to avoid the influence of
flue gas flow up plant area.
5.4.9. Fire Fighting System
Due to the plant located in industrial area so fire fighting system should use
generally a part with fire fighting water system of industrial area. However,
for raising safety of the power plant, raw water tank must be designed to take
water from water treatment plant of Industrial Park and storage to use for
firefighting purposes.
Fire fighting pump station of power plant also must be designed separately and
is located in power plant area.
5.5. Plant electrical system
The Lac Thinh power plant of 2x25MW capacity will be an important power
source of Hoa Binh area in general and of the Lac Thinh industry zone in
particular. Electric power will be supplied to the power system at 110kV
voltage level.
Main connection diagram of the unit is block diagram of generator – step-up
transformer – auxiliary transformer. The transformer circuit breaker is
installed between generator and branch connecting to the unit auxiliary
transformer. This diagram allows the auxiliary system is supplied power from
the power network in case the generator is out of service.
5.5.1. Power generation and power transmission
5.5.1.1. Generator and accessories

Generator is a device to convert mechanical energy into electricity energy with
the primary mechanical energy is steam turbine, as the last device of the
process to convert heat to energy. The generator is a horizontal, three-phase,
synchronous with base parameter as follows:
 Loại: rotating field, four poles, cylindrical rotor, synchronous, completely
shielded.
 Standard: IEC 60034

November, 2013 5-15
 Rated capacity: 25MW.

 Rated voltage: 10,5kV (or according to manufacture)
 Rated frequency: 50Hz.
 Rated PF: 0,85
 Cooling system: air
 Rated velocity: 1500 rpm
Accessories of generator:
 Stator
 Rotor
 Bearing
 Static excitation and AVR
 Synchronized system.
 Neutral earthing cubical, CT’s, PT’s.
 Cooling system
 Generator monitoring, control and protection system.
 Other equipments to ensure generator operate efficiently and stability.
5.5.1.2. Generator transformer (Step-up transformer)

The main transformer serves to step up the generator voltage to busbar voltage
level of the Lac Thinh sub-station (110kV). The transformer capacity will be
chose to ensure transfer full capacity of generator to power grid. The basic
parameter of transformer as follows:
 Type: 3 phases, 2 windings, 50Hz, oil-immersed, outdoor, step - up
 Standard: IEC 60076
 Vector group: YNd11
 Rated power: Later.
 Rated frequency: 50Hz
 Number of winding: 2
 Ratio: Later
 Cooling: ONAN/ONAF
 Voltage variation: Voltage variation on the HV side (OLTC).
 Grounding: Direct neutral grounding at the HV side
5.5.1.3. Busduct (IPB type or NPB type)

Busduct shall connect to following items:
November, 2013 5-16
 Generator neutral grounding cabinet

 Connecting generator and main transformer via generator circuit breaker,
disconnector and branched to main auxiliary transformer of plant ;
 Branches connecting to excitation generator and VT’s ;
 Connecting to Voltage transformers
 Connection points from busduct to main transformer, auxiliary transformer,
generator, neutral ground generator cabinet, exitation transformer, VT’s,
branches to excitation transformer and branches to auxiliary transformer are
flexible connection
The rated parameter of busduct will be selected according to rated voltage and
rated capacity of generator and according to ANSI/IEEE C37.23 standard and
relevant standards.
5.5.1.4. Generator circuit breaker and accessories

Generator circuit breakers will be equipped to operate to ensure safe operation
for generator as well as synchronize generator to power grid.
Generator circuit breakers and auxiliaries equipments at least comprise:
generator circuit breaker, disconnect switch (D/S), earthing switch (E/S),
current transformer (CT), voltage transformer, surge arrestor cubicle,
protective capacitor, motor driving, metering and control equipments and
supporting structure, …
The rated parameter of Busduct will be selected according to rated voltage and
rated capacity of generator and according to ANSI/IEEE C37.013 standard
and relevant standards
5.5.1.5. 110kV substation

To transfer power of plant to national grid have to equip a substations. The
voltage level connected into the power grid, the capacity substations and
transmission lines are selected based on of capacity of the plant. In this
project, 110kV will be selected.
Main equipments of substation are including: CB, DS, CT, PT, ES, SA, with
rated parameter as bellows:
 Rated voltage: 110kV
 Maximum operation voltage: 123kV
 Short circuit current: 25kA/3s
 Rated power frequency withstand voltage: 230kV
 Lightning impulse withstand voltage 1,2/50μs : 550kV
5.5.2. Auxiliaries system of power plant
For generating power, the power plant shall consume a part of power to ensure

November, 2013 5-17
operations of the auxiliary mechanical and electrical parts such as fuel supply,
water pump, circulation water pump, condensate water pump, air fan, lighting,
control and communication …
5.5.2.1. Unit auxiliary transformers

Unit auxiliary transformer will supply to auxiliary system of plant, the basic
parameters of the unit auxiliary transformer as bellows:
 Type: 3 phases, 50Hz, oil-immersed, step - down
 Standard: IEC - 60076
 Vector group: Dyn1
 Capacity: Later
 Cooling: ONAN
 Rated voltage: 10.5kV/6.6kV
 Voltage variation: tapping range ± 5%; ± 2.5% equal step.
 Grounding: neutral LV side (6,6kV) connect to ground via resistor
5.5.2.2. MV, LV AC auxiliary system

AC auxiliary system will be designed including panels, CB...
 The 6.6kV AC auxiliary system with neutral grounding via resistor is
supplied vie unit auxiliary transformer with 10.5/6.6kV voltage ratio. The
6.6kV system will be supplied for equipments as bellows:
 Motors with power not less than 200kW (Feed water pump, Cooling
water pump, oil pump, IDF, coal mill, …)
 LV 6.6kV/0.4kV auxiliary transformers
 The 0.4kV AC auxiliary system with direct neutral grounding is supplied
vie LV auxiliary transformer with 6.6/0.4kV voltage ratio. The 0.4kV
system will be supplied for equipments as bellows:
 Motors with power 200kW and less than,
 LV switchgears,
 BOP equipments, switchyard control equipment,
 Motors of CB, building service.
5.5.2.3. Stand-by Diesel generator

Diesel Generator is a part in emergency power supply system to protect the
boiler/turbine – generator block and to maintain these system as well as other
necessary systems. It also ensures to protect for operators in case of auxiliary
AC power failure.
Diesel generators will be provided a full range of ancillary equipment and

November, 2013 5-18
associated control systems including:

 Starting system.
 Lube oil system.
 Engine cooling.
 Local and remote control equipment.
 Engine air supply system.
 Exhaust system.
 Fuel and water supply system
 Daily tank …
Generator will be connected to 400V essential system.
5.5.2.4. DC/UPS system

The auxiliary power sources of the plant are selected according to the
220VDC and 24VDC voltage level. The applied scope of each voltage level is
as follows:
 The 220VDC voltage level supplies power for operation of sub-station, DC
motors, synchronizers, equipment control systems, protection relay system
and instrumentations.
 The 24VDC voltage level uses the DC/DC converters powered via the
220VDC busbars to supply power for DCS system, electronic
instrumentations, indicator, SCADA communication systems, fire-alarm
system and PC circuits
 230VAC – 50Hz Voltage level
One lead – acid battery system or Ni – Cadmium 220VDC battery system with
2x100% chargers used for Lac Thinh power plant. Battery shall have enough
capacity to supply power for emergency loads in case of failure of the normal
AC sources, or in case failure time of AC sources for the battery charger is 60
minutes at least.
5.5.2.5. Cable system

Cable system in the power plant comprises: MV power cable, LV power cable,
I&C cable. Cable section is selected according to following:
 Environment temperature.
 Maximum allow temperature of conductor.
 Cable type and erection method.
 Overload and short circuit protection.
 Cable length
 Voltages drop in normal operation mode.
November, 2013 5-19
 Voltage drop in starting operation mode (for motors), …
5.5.2.6. Motor and MCC

Except for a DC motor, all motors from 0.75 kW to 200kW squirrel cage
motor are 400V, 3 phase, 50Hz. Motors squirrel cage have 200kW and more
are motors 6.6 kV, 3-phase, 50Hz. All DC motor is 220VDC. Motors was
designed conform to IEC 60 034..
5.5.3. Other electrical
5.5.3.1. Measuring & Relay protection system

Measuring system:
Power Measuring system will be designed comply with the technical
requirement for power Measuring system for thermal power plants issued be
Ministry of Industry & Trade attached to Decision No. 02/2007/QD-BCN and
Circular No. 27/2009/TT-BCT regulate power measuring & metering in
competitive electricity markets
The power measuring & metering function will be ensured supply full
necessary information to define sell/ buy energy and monitoring operation
conditions.
Relay protection system:
The Protection relay system shall be designed to ensure the safety of the
power plant in case of faults or electrical abnormal. The system shall quickly
clear the faults that can cause damages to the devices, and sending alarm
signals, not causing damage to devices and operators.
Relays and protection system will be responded IEC 60255, C37.102 IEEE
standards.
5.5.3.2. Communication and SCADA system

Communication system:
To ensure effective service operation, the plant will be equipped with
communications systems to meet the following specific objectives:
 To ensure rapid exchange of information, reliability and stability
 Telecommunications system will be designed to ensure that information
throughout the plant as well as connections for external moderation to
ensure safety for the interface with the outside plant.
 Transfer received signals SCADA / EMS between the plant and the Centre
of the power grid through telecom equipments in power plant, substation,
telecommunication equipment and other telecommunications networks.
 Exchange transmission lines protection signal to the power grid.
 Contact operator - from dispatching center to plant (hotline)

November, 2013 5-20
 Contact administration inside the plant and communications to the outside
5.5.3.3. Lightning & Earthing system

Earthing system :
Grounding system is designed to ensure safe operation of the power plant,
safety for people and devices in normal and fault conditions.
The calculation of resistance of grounding system, step and touch voltages,
grounded conductor section ... of the grounding system shall comply with the
IEEE 80-2000 standard.
Materials of the grounding system shall comply with the IEC 60227, 60228
and relevant standards
Lightning system
Lightning protection system shall be designed so that it can safely protect all
of the devices, building structures, inductive materials in all areas of the power
plant, sub-stations, wiring and other auxiliary structures.
Grounding for lightning protection system shall ensure for dispersing lighting
current to the ground according to regulation on lightning protection
standards.
5.5.3.4. Lighting and small power system

Lighting system
Outdoor lighting system will be designed to supply enough light necessary for
operation, protection while natural light doesn’t meet the requirement or at
night.
Indoor lighting system is designed for normal lighting, emergency lighting,
escape lighting.
Lighting for aviation shall comply with International Standards and regulation
of International Aviation Organization.
Small power system
Small power system comprises:
 Industry sockets: 63A, 400V, 3P+N+E supply power for areas: turbine
building, workshop, boiler feedwater pump … type of dust/water resistance
(IP65) and auto-close covers.
 Power sockets: 16A, 230V, 1P+N+E supply power for the administrative
building, control building, library, health care room, canteen and similar
areas.
5.5.3.5. HVAC
The ventilation and air conditioning systems are equipped in the power plants
for maintaining defined room temperatures and fresh air, ensuring sanitary
requirements for operators and removing the waste heat of equipments, so the
November, 2013 5-21
equipments can operate stably and reliably and having long live cycle.
The ventilation systems will be equipped for the areas that have not high
requirements on air and temperature conditions, it mainly requires ventilation
and heat reducing for equipments. Depending on the conditions and equipment
requirements as well as safety for operators, different ventilation methods will
be applied: natural circulation ventilation or forced-circulation ventilation.
The air conditioning systems will be equipped at area that have high
requirement on environment such as room for high accurate electronic
equipments or room for equipments with particular recommendations from the
Manufacturers on temperature and moisture, rooms with regular present of
people.
5.6. Connect power plant to power grid
5.6.1. Voltage level selection
The Lac Thinh power plant is designed to supply power for Lac Thinh
industry zone as main purpose; otherwise power plant will sell power for
EVN. For this purposes, the base connection solutions of plant will including:
 The Substation will be built to connect to National power grid.
 Connect to Industry zone power grid.
Calculation voltage level criteria of Lac Thinh power plant connect to power
grid as bellows:
 To transfer all power to power system.
 The power supply for Industry zone has to enough while power plant in
maintenance period.
5.6.1.1. Power transmission calculation

Power demand of industry zone about 19 MW.
Auxiliary power of power plant about 5.5 MW
Power transfer to power grid about 25.5 – 44.5MW
So that connecting power grid has to ensure transfer power from 25.5MW to
44.5MW
5.6.1.2. Connecting voltage level

Power transmission of industry zone about 25.5-44.5MW and located 2.5km
from Yen Thuy - Lac Son or 5km from 110kV Yen Thuy substation, voltage
level is selected according to A.M. Daletski equation as bellows:
U  P  (100  15  l )
When: U – Voltage (kV)
P – Transmission power per 1 line (MW)
November, 2013 5-22
l – Transmission distance (km)

Calculation result: U = 40 – 77kV, while the current voltage in Vietnam is
110kV; 220kV; 500kV. Thus, in order to ensure optimal economic, technical
proposals selected for transmission voltage for Lac Thinh power plant is
110kV.
5.6.2. Expected connection plan
5.6.2.1. Connection plans for Lac Thinh power plant

According to Power development plan of Hoa Binh province in 2011-2015
period with vision to 2020, the Yen Thuy 110kV-25MVA substation have
supplied power for Yen Thuy area, Lac Son 110kV-(25+16) MVA substation
will operation in 2015, Lac Son – Yen Thuy 110kV transmission line with
2xAC-240/24km will operation for line No.1 in 2014 and line No.2 in 2018.
The connection plan of Lac Thinh Power plant will be selected to ensure about
economic and technology safety.
According to the developing power grid plan, Lac Thinh power plant will be
expected connect to power system as follows:
1st Option:
The Lac Thinh power plant connected by transit of 110kV Lac Son – Yen
Thuy transmission line, the connection scope of work shall include:
 Lac Thinh 110kV substation and 110kV Lac Son – Yen Thuy transmission
line will be available.
 To build double circuit transmission line from Lac Thinh power plant to
transit point of Lac Son – Yen Thuy 110kV transmission line.
 Communication will be optical wires in the grounding rope (OPGW)
2nd Option:
The Lac Thinh power plant connected to 110kV Yen Thuy substation the
connection scope of work shall include:
 Lac Thinh 110kV substation will be available.
 To build two (02) bays at 110kV Yen Thuy substation
 To build 5km double circuit transmission line (OHL) from Lac Thinh
power plant to 110kV Yen Thuy Substation.
 Communication between substations will be optical wires in the grounding
rope (OPGW)
3rd Option:
The Lac Thinh power plant connected to 110kV Lac Son existing substation
the connection scope of work shall include:
 To build one (01) bay at 110kV Lac Son substation
 To build about 20km single circuit transmission line (OHL) from Lac
November, 2013 5-23
Thinh power plant to 110kV Lac Son Substation. Switch 110kV will be part
of Lac Son substation.
 Communication between substations will be optical wires in the grounding
rope (OPGW)
5.6.2.2. Power loss calculation result for each option

No. Description Unit 1st Option 2nd Option 3rd Option
1 Power loss MW 38.61 38.19 39.98
2 Power loss balance % 101.1% 100% 104.7%
Remark: the power loss will include of 110kV and 220kV power grid in Hoa
Binh area and the 220kV Yen Thuy substation is not operation in 2020.
Comment:
The calculation result to show that the power loss of 2nd option is minimum.
5.6.2.3. Investing quantity of each option

Investing quantity of options as below:
1 110kV bay Section 2 4 2
2 110kV double circuit Km 2.5 5 -

transmission line
(OHL)
3 110kV single circuit Km - - 20

transmission line
(OHL)
Investing cost of options as below:
1 110kV bay Billion VND 18.00 36.00 18.00
2 110kV double
Billion
circuit transmission 11.25 22.50 -
line (OHL) VND
3 110kV single circuit

Billion
transmission line - - 49.09
(OHL) VND
Total Billion VND 29.25 58.50 67.09
Comment:
The calculation result to show that the investing cost of 1st option is minimum.
November, 2013 5-24
The investing cost of synchronized power grid (out of Lac Thinh power plant
fence) connect to Lac Thinh power plant:
1 110kV bay Billion

18.00 9.00
VND
2 110kV double circuit Billion
transmission line VND 11.25 22.50 -
(OHL)
3 110kV single circuit Billion

transmission line VND - - 49.09
(OHL)
Total Billion
11.25 40.50 58.09
VND
Comparison the Billion
option 0 29.25 46.84
VND
5.6.2.4. Analysis for each option
a. 1st option
Advantages:
 The lowest investing cost,
 The synchronized connection grid only invest 2.5km double circuit
transmission line from Lac Thinh power plant to transit point of Lac Son –
Yen Thuy 110kV transmission line.
Disadvantages:
 The power loss is higher than 2nd option.
 110kV Lac Son – Yen Thuy and 110kV Yen Thuy substation have to
ensure operate on schedule before 2017.
b. 2nd option
Advantages:
 The lowest power loss.
Disadvantages:
 Investing cost higher 1st option
 The synchronized connection grid have to invested 5km double circuit
transmission line (OHL) from Lac Thinh power plant to 110kV Yen Thuy
Substation.
 110kV Yen Thuy substation have to ensure operate on schedule before
November, 2013 5-25
2017.
 110kV Lac Thinh - Yen Thuy transmission line is not included in the
approved Power development plan of Hoa Binh Province.
c. 3rd option
Advantages:
 Not affected by investing schedule of regional power grid.
Disadvantages:
 Highest power loss.
 Highest investing cost
 The synchronized connection grid have to invested 20km single circuit
transmission line (OHL) from Lac Thinh power plant to 110kV Lac Son
Substation and extended once (01) bay in 110kV Lac Son substation.
 Consider ability to extend the existing 110kV Lac Son substation.
d. NPV calculation result

The input data used for NPV calculation as follow: IRR = 10%; Tariff = 6.0
UScents/kWh; max = 5.000h; 1 USD = 21.000 VNĐ; calculating time = 10
years (assumption that in 10 years, the regional grid without major fluctuations
affect to the calculating results)
Unit: Billion VND
Option 1st Option 2nd Option 3rd Option
Power loss (MW) 38.61 38.19 39.98

Balance (MW) 0.42 1.79
Total investing cost (Billion 40.5 58.09
11.25
VND)
Balance (Billion VND) 29.25 46.84
NPV (Billion VND) – 10 years 16.26 29.25 116.13
Comment: the NPV of the 1st option is lowest.
e. Recommendation:
According to the technical and economic analysis. The 1st option will be
selected to connect Lac Thinh Power plant with region power grid at 110kV
voltage level and connect to transit point of Lac Son – Yen Thuy 110kV
transmission line, investing scope as below:
 To build the 110kV Lac Thinh substation.
 To build double circuit transmission line from Lac Thinh power plant to
November, 2013 5-26
transit point of Lac Son – Yen Thuy 110kV transmission line.

5.6.3. Transmission ability calculation for power grid
5.6.3.1. In case of Normal full load operation

Calculating Result for full load operation in 2020
Full load operation, MW/MVAr
Cross
No. Transmission line
section
P Q % load
1 110kV Lac Thinh – Yên Thủy - 6.9 4.9 8% AC240
2 110kV Lac Thinh – Lac Son 51.12 19.8 51% AC240
2 110kV Yen Thuy – Lac Son 26.2 - 4.3 25% AC240
Comment:
Calculation results show that the outgoing transmission line from the Lac
Thinh power plant and nearby are not overloaded during normal full load
operation mode.
5.6.3.2. False operation

Calculating Result for full load operation in 2020
Cross section
Full load operation,
No. Transmission line No.
MW/MVAr
P Q % load
1 110kV Lac Thinh – 110kV Lac Thinh –

44.5 24.5 47% AC240
Yên Thủy Lac Son
2 110kV Lac Thinh – 110kV Lac Son – Yen

68.5 19 66% AC240
Lac Son Thuy
2 110kV Yen Thuy – 110kV Lac Thinh –

72.3 24.1 70% AC240
Lac Son Yan Thuy
Comment:
Calculation results show that the outgoing transmission line from the Lac
Thinh power plant and nearby are not overloaded during false operation mode.
5.6.3.3. Conclusion:
The power flow calculation result show that: when Lac Thinh Power plant
connect to region power grid, the power flow capacity of transmission line
ensure to load power.
5.7. Control and Instrumentation system
The Control and Instrumentation (C&I) system for the Lac Thinh Thermal

November, 2013 5-27
Power plant of 2x25MW shall be Integrated Control & Monitoring System –

ICMS. This system shall provide safe, reliable and efficient operation of all
units and station/common plant and shall include the co-ordination control of
the turbine and boiler, boiler controls, boiler auxiliaries controls, turbine
controls, turbine auxiliaries controls, boiler and turbine protection, electrical
system controls, ash and dust plant coal plant controls, water treatment plant
controls and other common/station plant control systems.
The Integrated Control and Monitoring System (ICMS) shall consist a Unit
Control and Monitoring Systems for the two units of 25MW (UCMSs) and a
Station Control and Monitoring Systems (SCMS).
The control and monitoring system to be supplied shall be a DCS, double
redundant microprocessor based, fully Integrated Control and Monitoring
System (ICMS) based on commercially available hardware.
5.8. Architect and construction solution
5.8.1. General of plant layout
Lac Thinh power plant will be located in Lac Thinh Industry park, Lac Thinh
town, Yen Thuy district, Hoa Binh province.
Lac Thinh power plant will be constructed in the southeast of Lac Thinh
Industry park, near Ho Chi Minh highway. It’s 75km from Ha Noi, 80km from
Noi Bai international airport and 150km from Hai Phong International port.
The arrangement of items and equipments on the general layout for 2x25MW
Lac Thinh power plant must be considered in conform with the overall
planning of industrial parks with shared items such as drainage systems,
internal road system, power distribution system ... arrange layout must be
optimized on the basis of investment costs as well as operating costs and
conform with technology, environment requests, firefighting...
The arrangement of items, transport systems in the plant to ensure compliance
with the production line, the convenience in used as well as the layout of the
industrial zone planning. In addition, the overall planning of the plant, roads
and communication with the outside and the drainage system must be conform
with the overall planning of the area.
General layout of plant will be planned some areas as following:
- Power Island plant area: Turbine, Boilers, Environment emission
equipments and chimney;
- Cooling tower;
- Water tanks and water treatment system area;
- Waste water treatment area;
- Quicklime handling area;
- Ash handling area;

November, 2013 5-28
- Coal storage area and coal handling area;

- Transformer area;
- Switchyard area and control house;
- Auxiliary boiler and oil storage tank area;
- Workshop and warehouse area;
- Fire fighting pump station area;
- Administration area;
- Landscape and green tree area.
Plant layout will be arranged by identifying the functional areas, the
connection of all production process stages, transport, storage related to each
other and distribution to specific areas.
5.8.2. Leveling selection
The designed level of the plant must conform to the working conditions at the
flood peak (or tide peak) with the highest frequency as standards required for
the construction phase. The filling level has to correspond with the overall
planning of the entire plant and the grade filling level of infrastructure of
industrial parks as well as expected future.
The slope of filling level has to conform to the main drainage direction of
industrial parks as well as expected future.
Leveling material has to combine the requirements of effective standards for
construction and the availability materials of regional.
Leveling process must be calculated according to the natural geology and
implementation method can be applied in the plant area.
All of plant area will be implemented by 2 stages:
- The first phase was excavated from rich soil to dry soil level. These soils
are temporarily stored beside to the plant. These land used for gardening
and landfill materials
- The second phase will excavate the lower soil level with accuracy level.
This level will be clarified in next phase in the project dossier.
All areas will be prepared to prevent flood from heavy rains. The slope
requirements will be clearly defined in the next phase of the project dossier.
5.8.3. Foundation treatment solution
The foundation treatment method will be carried out all foundations within the
project in order to ensure:
- Heavy-duty capacity of the ground base is suitable for total or partial loads
from the plant.
- Deformation of land change in the allowed range.

November, 2013 5-29
- Deformation of the base and project shall not exceed the limit values to use
for normal project.
- Ground base is enough load capacity so that doesn’t not destabilizing or
destroying the ground base.
Depending on the geology of the area, workload, construction time and
financial factors, appropriate method the ground base will be proposed.
- Method of pre-loading + ground improvement by prefabricated vertical
drain: This is a popular and economic method in Vietnam. Disadvantage of
this method is loading time (total loading time is up to nearly 01 year).
Further, some other issues should be considered such as the sand source
and sand transportation cost as loading and unloading.
- Method of ground improvement by prefabricated vertical drain + vacuum
suction: at present, in Vietnam, particular calculation standard for this
method has not been issued. Disadvantage of this method is high cost.
- Method of sand pile - sand well: At present, only the 22TCN 262-2000
Vietnamese standard has guidance on design of sand pile – sand well.
However, requirement on material is rather high. Further this method also
requires time for preloading and it will affect to construction progress.
- Method of Deep Cement mixing Method (DCM): in this method, the piles
are made from mixture of cement and clay at site. This pile type has high
water proof capability.
- Method of post tension tube piles: This method has short construction time
and highest loading capability among the mentioned methods. Load is
transferred through the piles to the well soil layer below so it can ensure
loading capability and avoid week clay layer. Construction progress of this
method is rather short. Comparing to normal steel reinforced concrete pile,
the post tension concrete tube pile is longer, it requires lower concrete
volume and much more cheaply, so it becomes more and more popular.
Select pre-stressed ground base method has to conform to the geology of plant
area. The design will be reviewed, considered and a comparison between
foundation solutions with the pre-stressed ground base: Deep Cement mixing
Method (DCM), sand pile, pre-loading, vacuum suction … or combine them.
5.8.4. Foundation
Shallow foundation and bored pile foundation will be designed to apply for the
project. In the detail design stage, it will be re-considered and suggested the
solution of foundation for specific items of plant base on load and soil
investigation in plant area. Also, pile type will be calculated and made the best
choice.
Foundation design has to meet the following requirement:
- Shall be safe and stable.
- Footings shall be designed to sustain the applied loads, moments and

November, 2013 5-30
forces and the induced reactions and to ensure that any settlement which
may occur shall be as uniform as possible and the safe bearing capacity of
soil is not exceeded
For the turbine and generator items, static and dynamic load analysis will be
carried out as per manufacture’s recommendation
After evaluation of solutions, following foundation solutions are
recommended:
- Shallow foundation: For buildings having small load: using normal
foundation structure such as isolated foundation, strip foundation and raft
foundation.
- Pre-stressed tube pile foundation: For medium load structures and for
heavy load structures;
- CDM piles: used to reinforce coal storage foundation, ash disposal area,
constructions of items such as pump station, discharge culverts …
Above foundation solutions are just the recommended ones, depending to
technology and experience that EPC contractor can propose other suitable
solutions during detailed design phase.
5.8.5. Architectural and civil solution
5.8.5.1. Architectural
Architectures in the Lac Thinh power plant are designed according to modern
industrial architecture and surrounding landscape.
Landscape, greeneryshall be harmonic to general architectural to create a good
landscape in order to improve weather condition for power plant.
Selected materials shall suitable to function and weather condition of the
region. Roofs, walls of structure shall ensure sound-proof, insulation, and
water-proof. Further, the roofs shall have slope for water drainage suitable to
regional weather condition.
5.8.5.2. Structure solution

Depending on working mode, the specific function and requirements of the
load, which structural solutions can be steel structure, reinforced concrete,
composite structures.
The design of steel structures and reinforced concrete was calculated to not
exceed the limit state:
- Limited state of force duty capacity: strength, stability
- Limited state of use: deflection, deformation, cracks.
Limited state of force duty capacity will perform with calculation load and test
for all combinations, Limited state of use will perform with standard load and
test for basic combination only
Depending on the working modes, specific performance, and load size
November, 2013 5-31
requirements, the solution of structure may be steel structure, reinforced.

5.8.6. Design method and standard
5.8.6.1. Design method

The reinforced concrete, pre-stressed concrete and steel structure will be
designed by the method of calculation of the intensity or stress operation of
each component.
The software used in the design has used in Vietnam and International.
All of items are loaded by steel shape and steel plate has to use CT3 steel,
ASTM-A36 or equal materials. To ensure anti-corrosive, steel structure has to
be painted on surface.
Concrete structure uses concrete with grade higher than M300, pile can use
auger-cast reinforced concrete piles, prefabricated concrete (normal pile or
pre-tress pile)
a. Design method
All RCC, post tensioned concrete, steel work shall be either Load factor
method or working stress method.
All structural steel work shall be designed by allowable stress method
following ASD recommendations by AISC (The 9th edition).
All RCC work shall be designed following ACI 318M-08 and/ or approved
relevant standards.
Steel structure specification shall conform to ASTM or TCXD 170-1989 or
equivalent. It has to be paint cover to resist the corrosion and erosion
Concrete grade shall be as follows:
- Super structure: B30 as per TCVN
- Bored pile/ precast non-pre-stressed pile: B30 as per TCVN
- Foundation/ underground members: B35 as per TCVN
- Blinding concrete: B10 as per TCVN
- Material of Reinforcing Bars shall conform to TCXDVN 356: 2005 or
ASTM A615
b. Superstructure framing system

Structure will be reinforced concrete or/and steel frame or composite steel-
concrete.
Steel frame shall be applied for long span, significant load member. For
normal structure with small span shall be made of reinforced concrete. Also,
combine two type of structure above in order to obtain the highest effect

November, 2013 5-32
5.8.6.2. Design standard

Regulation and Vietnam standard will necessary for related purpose as below:
- Protection environment;
- Fire fighting
- Sanitary and safety condition for equipment and human
- The information of geological, wind, storms, hydrological and other
specific conditions in Vietnam.
International standard/ regulation can be applied if they have to ensure equal
or higher than current Vietnam standard
- Uniform Building Code (UBC)
- American Concrete Institute (ACI)
- American Institute of Steel Construction (AISC)
- Concrete Reinforcing Steel Institute (CRSI)
- American Welding Society (AWS)
- American Society for Testing and Materials (ASTM)
- National Fire Protection Association (NFPA)
- Steel Structures Painting Council for Protective Coatings (SSPC)
- American Water Works Association (AWWA)
- American Association of State Highway and Transportation Officials
(AASHTO)
- Applicable British Standards Institute (BS)
- American Institute of Steel Construction (AISC)
- Association of Iron and Steel Engineers (AISE)
- American Iron and Steel Institute (AISI)
- American National Standards Institute (ANSI)
- International Building Code (IBC)
- Japan Society of Civil Engineering (JSCE)
- International Organization for Standardization (ISO)
- Japanese Industrial Standards (JIS)
- Japan Society of Civil Engineers (JSCE)
- Port and Harbor Association Japan (PHAJ)
- Japan Electric Power Civil Engineering Association (JEPOC)
- American Society of Mechanical Engineers (ASME)
- Deutsche Institute for Normung (DIN)

November, 2013 5-33
5.8.7. Loads and antiseismic design requirement
5.8.7.1. Loads
Load relate to equipment will be supplied by manufacture. Load impact on
project as including:
- Dead load
- Live load
- Load by wind
The loads shall be calculated using the unit weights of building material and
shall be in accordance with TCVN-2737:95 Loading and Impact – Design
Standards and ASCE7: Minimum design loads for Building and Other
Structures. Equipment load will be considered as per manufacturer’s load data.
a. Dead load
Dead loads will consist of the weights of the structure and all equipment of a
permanent and semi permanent nature including tanks, wall panels, partitions,
roofing, piping, electrical trays, bus ducts, and the contents of tanks, measured
at full capacity. However, the contents of tanks will not be considered as
effective in resisting column uplift.
b. Live load
Live loads will consist of uniform live loads and equipment live loads.
Uniform live loads are assumed unit loads, which are sufficient to provide
movable and transitory loads, such as the weight of people, portable
equipment and tools, planking and small equipment, or parts which may be
moved over or placed on floors during maintenance operations. These uniform
live loads should not be applied to floor areas, which will be permanently
covered with equipment.
Equipment live loads are calculated loads based upon the actual weight and
size of the equipment and parts to be placed on floors during dismantling and
maintenance or to be temporarily placed or moved over floors during
installation.
c. Wind load
The wind load on structure shall also be determined in accordance with TCVN
2737-1995: Loads and effects – Design standard
5.8.7.2. Earthquake
The calculation to determine seismic loads will be based on TCVN 375 - 2006
and the need to pay attention to the dynamic properties of the project, that is,
pay attention to the impact of cyclical fluctuations, damping fluctuations and
the other vibration of the project.
Horizontal Load capacity of the pile is taken into calculates to withstand the

November, 2013 5-34
horizontal force due to earthquake and wind.

Depending on the load requirements, ground projects can be treated by the
present commonly used methods to ensure the required strength.
5.8.8. Main items of plant
5.8.8.1. Power island plant area (boiler, turbine – generator, center control
building, ESP, FGD …)
The reinforced concrete foundation with bored pile. Foundation shall be
designed adequate dimension to transfer load to pile
5.8.8.2. Stack
Stack shall be verified and calculated in strength capacity and stabilizing
5.8.8.3. Transport and coal conveyor system

Coal conveyors and transfer towers system transport coal from coal station to
coal stockpiles and coal bunker in the plant. Super structure is steel frame, laid
on reinforced concrete bored pile foundation
Closed coal stockpiles shall be designed with long span steel truss frame on
reinforced concrete bored pile foundation
5.8.8.4. Oil supply system

Oil handling system consists of the following items:
- Firing oil storage
- Oil pump station for operating boiler
Pre-cast pile reinforced concrete foundation shall be applied for significant
load from firing oil storage. This foundation has to be checked in construction
stage, in operating stage, maintenance stage with all critical combination
loads.
Fire protection wall shall be designed with reinforced concrete to prevent the
leaking of oil in emergency case.
5.8.8.5. Quicklime handling system

Conveyor system shall be designed with steel frame on pile foundation. Main
support is steel frame and reinforced concrete slab on pile foundation.
5.8.8.6. Ash system

Ash system involves:
- Foundation silos: bored pile foundation
- Pipe rack system: reinforced concrete
5.8.8.7. Water treatment system

Consist of basin, basin foundation, equipment foundation of water treatment
November, 2013 5-35
house. They shall be designed for strength requirement, absorbent preventing,

buoyancy, and conform to technology requirement.
Wall and base slab of basin make of reinforced concrete on shallow
foundation or pile foundation
5.8.8.8. Cooling water system

Concrete Tube-pile foundation is proposed to apply for cooling tower items
and will be calculated intensity and stability
5.8.9. Technical Infrastructure of plant
Technical infrastructure of project is necessary attention to the common items

with Industry Park to ensure appropriate about capacity, design and usability.
The common items with Industry Park are expected to include:
- Portable water treatment and water supply system to power plant
- Fire fighting water system
- Internal road system
- Power supply system, communication system and steam supply system
In addition, it is necessary to consider the connection of internal road to
outside, load of road, traffic direction to determine the best ability to transport
materials of plant

November, 2013 5-36
CHAPTER 6: COMPENSATION & RESETTLEMENT PLAN
6.1. General
Lac Thinh power plant project planned to develop in Lac Thinh Industrial Park
(1st stage) in Lac Thinh – Yen Lac villages, Yen Thuy district, Hoa Binh
province. The Plan of Lac Thinh Industrial Park was approved by the Hoa
Binh People committee in the decision No. 1271/QD-UBND dated July 22,
2011.
Lac Thinh Industrial Park Co. Ltd will carry out the compensation and
resettlement plan and hand over the site to Lac Thinh Power Plant for
construction.
6.2. Legal document
 Land Law promulgated in November 26th, 2003

 Decree No.197/2004/ND-CP dated December 3rd, 2004 of Government on
“compensation and assistance in resettlement when State withdraws land”
 Decree No. 17/2006/ND-CP dated January 27th, 2006 of Government on
“Guideline for implementation of Land Law.
 Decree No.84/2007/ND-CP dated May 25th, 2007 of the Government on
the additional provisions of issuance of land use right certificate; on land
withdraws; on order and procedures for compensation, assistance and
resettlement when the State withdraws land; and on resolution of
complaints about land.
 Decree No.69/2009/ND-CP dated August 13th, 2009 of the Government
Additionally providing for land use planning, land prices, land withdraws,
compensation, support and resettlement.
 Circular No. 14/2009/TT-BTNMT detailing the compensation, support and
resettlement and order of and procedures for land recovery, allocation and
lease.
 Decision No.19/2011/QD-UBND dated September 19th, 2011 of Hoa Binh
Province on the rate for compensation of property when State recover land
in the Hoa Binh Province territory.
 Decision No.03/2012/QD-UBND dated March 05th, 2012 of Hoa Binh
Province on the revision of the rates for compensation of property when
State recover land in the Hoa Binh Province territory attached to the
Decision No. 19/2011/QD-UBND.
 Decision No.1271/QD-UBND dated July 22nd, 2011 of Hoa Binh Province
on approval master plan of Lac Thinh Industrial park in 1/500 scale.
 Letter No.778/UBND-DD dated June 22nd, 2011 of Hoa Binh province on
the Lac Thinh industrial boundary.
Chapter 6: Compensation and resettlement plan
November, 2013 6-1
 Announcement No.147/TB-UBND of Yen Thuy district on the recovery

land for Lac Thinh industrial park.
 Announcement No.165/TB-UBND dated July 18th, 2011 of Yen Thuy
District on the site clearance for infrastructure system of Lac Thinh
industrial park.
6.3. Land demand and compensation requirement
6.3.1. Land demand
Lac Thinh industrial park area planning 220ha in two stages, each stage is
110ha. Site clearance for 110ha in first stage (mainly land of Hoa Binh 2/9
state-run farm) will impact to the company operation and project affective
people will lose the cultivate land and must change their jobs, impact to their
living.
The Plant’s required area is about 19.52ha, in which 11.52ha is inside the
plant boundary and 8ha outside the plant boundary for ash yard.
6.3.2. Land demand for clearance and compensation
In this stage the there is no detail survey of the project affected people (PAP),
but for PAP in the area State which is recovered for industrial projects,
defense purpose, public projects, must be move out from the project site will
be arranged resettlement by the following options:
 By arranging a house in other place
 By giving new land for living place
 By money and PAP will arrange themselves new place for living.
Land in the project site mainly are land for building, garden, forestry.
Inventory of project affective land and people will be set up after detail
survey.
6.4. Compensation and resettlement policy:
6.4.1. Principles
Compensation and resettlement plan based on the current regulation of the

government and Hoa Binh province. Main principles are:
a) Compensation plan must be understand as development must be improve
the living standards of PAP before project execution and guarantee that PAP
can gain the profit from project.
b) Project must be planned so that meet the project requirement and minimize
the impact to PAP.
d) Compensation and recovery must be complying with the regulation on the
environment recovery of Vietnam.

November, 2013 6-2
e) All project affected household must be compensated for the land and
property before project execution /or recover the income.
f) House or land for compensation/resettlement must be reflect the improving
the living standards of PAP.
g) PAB must be arranged for resettlement at the highest level of living
standards of the existing population in the area.
h) Compensation and resettlement plan must be executed based on the
respective the social and cultural standards of the PAP.
i) Compensation and resettlement plan must be accepted by majority and will
be execute only after discussion with PAP.
j) Compensation (house/ architecture structure, crops…) must be based on the
rate approved by the Provincial compensation committee. Compensation plan
must be comply with the schedule and reasonable supervision.
6.4.2. Assistance policy
The compensation and resettlement must comply with the Land Law, Decree
22/1998/ND-CP and current regulation of Vietnamese government, the
assistance policy must be based on the local regulations specially of Hoa Binh
province.
All the assistance to the household having difficulties and all other assistance
according to the regulation will be decided by the compensation compete
during the implementation period.
The owner beside the assistance to the families has to move out the site, will
assist to construct the infrastructure in the resettlement area.
6.5. Implementation methods
6.5.1. Organization
After project approved by the authorities, Lac Thinh Industrial Park Co. Ltd
will agree with the local authority to set up the compensation committee the
leading by the local authorities.
Compensation committee will set up the option to inventory to determine the
cost for compensation according to the current rate and regulation, agreed with
the PAP and submit to Hoa Binh People committee for approval.
Compensation committee to operate independently, expenditure will be
provided by the Lac Thinh Industrial Park Co. Ltd.
The site will be handed over to BTG S.R.O Group for Lac Thinh Power Plant
Construction after clearance and compensation.
6.5.2. Responsibility of local authorities
* Responsibility of Provincial people committee:

 To instruct, organize, propagate the compensation resettlement plan to
November, 2013 6-3
population, to implement the site clearance according to the approved

document of state authorities.
 To guide the district authorities:
+ Set up resettlement plan, resettlement area for land recovery.
+ Set up the compensation option, assistance to resettlement as
required.
 To approve or authorize district people committee to approve the
compensation option and resettlement assistance.
 Approve the rate for land, property, assistance level, resettlement
arrangement, and option for training for job changing as competence.
 To guide the related organization to solve the claims from PAP on the
compensation and resettlement in compliance with the regulation as
competence.
 Decide or to authorize district authority to enforcement in case the person
concerned intentional not complying the decision of the authority on the
land recovery as approved.
 To guide and control the violation related to compensation and restatement
implementation.
* Responsibility of District people committee
 To instruct, organize, propagate the compensation resettlement plan to
population, to implement the site clearance according to the approved
document of state authorities.
 To instruct to compensation committee to set up the compensation and
resettlement plan and organize the implementation, to approve the
compensation plan complying the authorization from Provincial authority.
 Cooperate with authority organization, owner set up the resettlement
project, construction, according to authorization of Provincial authority.
* Responsibility of village people committee:
a) To organize, propagate the compensation resettlement plan to population, to
implement the site clearance to PAP; to call upon people to executive the state
compensation policy; cooperate with district’s authority to find out the place
for resettlement area;
b) Are responsible to verify the inventory and property of PAP related to time
of land use, building construction, other property on recovery land and other
related matters.
c) Cooperate and assist in payment of compensation amount, resettlement for
the PAP who must move out from project site and cooperate in the site
clearance;
d) Cooperate with organization to implement the compensation, site clearance,
November, 2013 6-4
discuss and answer the questions of PAP on the recovery land; speed up, apply
the necessary methods to keep the working schedule.
6.5.3. Responsibility of the Lac Thinh Industrial Park Co. Ltd.
a) Cooperate with related organization to implement the compensation and site

clearance, set up the compensation plan, assistance to resettlement;
b) To be a member of compensation organization, cooperation with related
organization in calculation of compensation value, assistance for the recovery
land and property by the project;
c) Cooperate with implementation organization to set up the compensation
plan, implement compensation plan according to procedure and related
regulation;
d) Sign contract with legal entity for set up detail map of recovery land, and
submit to authority for checking and approval.
đ) Prepare the estimate cost and draw the balance sheet of compensation and
resettlement according to state regulation.
6.6. Compensation and‎ressetlement‎estímate‎cost‎
Cost for compensation will be carry out by Lac Thinh Industrial Park Co. Ltd
decided after detail survey in the Ressetlement Action Plan. Estimate the cost
for compensation of power plant is about VND 12,000,000,000 (twelve billion
VND).
It is including:
 Cost for land compensation.
 Cost for property compensation.
 Cost for assistance to PAP.
 Cost for compensation and resettlement implementation

November, 2013 6-5
CHAPTER 7: ENVIRONMENTAL IMPACT ASSESSMENT
The Environmental Impact Statement Report of Lac Thinh Industrial Park was
prepared by Environment and Technology Development JSC – TEDCOM and
was approved by Hoa Binh People Committee in Decision No. 1444/QĐ-
UBND dated 17/10/2012 on: ”Approval Environmental Impact Statement on
trading and construction investment project of infrastructure of Lac Thinh
Industrial Park – 1st stage located on Lac Thinh and Yen Lac commune, Yen
Thuy District, Hoa Binh Province.
According to Appendix II, Decree No. 29/2011/ND-CP dated 18 April, 2011
on “Providing strategic environmental assessment, environmental impact
assessment and environmental protection commitment”, the Environmental
Impact Assessment (EIA) report of 2 x 25MW Lac Thinh thermal power plant
project must be prepared and submit to Hoa Binh Department of Natural
Resources and Environment (DONRE) for approval.
In this chapter briefly mentioned the issues related to the Project Environment
impacts and Mitigating measures. The features of creature resources,
ecosystem, social – economical political conditions of the area will be detail
mentioned in the EIA report in the Feasibility Study Report preparation stage.
7.1. Lac Thinh existing site conditions
Lac Thinh power plant located in the South – East of Lac Thinh Industrial
Park, Yen Thuy district, Hoa Binh province. This site is 73 km from Hanoi, 93
km from Noi Bai airport and 170 km from Hai Phong port. Industrial park will
be developed in two stages, thermal power plant project will be develop in
first stage.
7.1.1. Climate.
Yen Thuy located in the tropical area with four seasons (spring, summer,
autumn and winter), high ambient temperature is good for industrial plants
such as: soya, sugar cane, orange, lemon, fruit trees and other industrial trees.
With agricultural land 6,973.22ha, natural forest 8,463.0ha, planted forest
1,971.25ha, Yen Thuy is one from two districts of Hoa Binh having land in
Cuc Phuong.
Ambient temperature:
According to the data from Chi Ne station from 1997-2011, annual average
temperature is 23.9oC, lowest is 16,9oC (January) and highest is 29.3oC (June).
Humidity
Annual average humidity is 83%.
Wind condition
Annual average wind velocity is 1.9 m/s.
Chapter 7: Environmental impact assessment

November, 2013 7-1
Rainfall
Annual average is 199mm.
Sun and radiation.
The data of sun hours at the site is:
 Total annual average 1,442.7 hours
 The highest sun hour in the month (July): 173.5 hours
 The lowest sun hour in the month (February): 48.9 hours
Evaporation:
 Annual average: 2.40 mm
 Highest annual average: 8.00 mm
 Lowest annual average: 0.30 mm
Fog
In the period from 1997 to 2011 the lowest fog day was one day (1997) and
the highest fog days are 129 days (2004).
Ambient pressure
Lowest average is 991mb (July) and highest is about 1020mb (December)
Atmospheric stability
Atmospheric stability is defined basing on wind velocity and radiation in
daytime and cloud coverage in nighttimes. Atmospheric stability is type D in
nighttimes and type B in daytime at the project area.
7.1.2. Current status of quality of physical environment
Refer to EIA of Lac Thuy industrial park prepared by TEDCOM in 2011 and
approve by Hoa Binh DONRE the existing environmental condition of Lac
Thuy as follows:
Surface water quality:
Analysis results of surface water samples in project area show that most of
analysis parameters are lower than the permitted value as stated in QCVN 08-
2008/BTNMT. Yen Lac lake water and Cay Da stream water in Com hamlet
have the NO2- contents are 1.5-2.0 times greater than the permitted value. Cd
contents in analysis samples are 2-3 times greater than the permitted value.
Buoi river water at the location flowing into Cay Da stream has low pH degree
(6.78).
Underground water quality.
Analysis results in March 2012 show that underground water quality (both
boring and drilling well) in the project area are quite good, most of
analysis parameters are lower than the permitted value as stated in QCVN 09-
2008/BTNMT
November, 2013 7-2
Air quality
The analysis shows that the average concentrations of TSP and CO, SO2, NO2,
H2S, O3 are all lower than the permitted values as stated in QCVN 05-
2009/BTNMT averaged for 1h and QCVN 06-2009/BTNMT for ambient air
Noise.
Analysis results of noise show that the average noise level at all monitoring
stations in the project area are lower than the permitted value in QCVN 26-
2010/BTNMT for general areas is 70 dB.
In general, weather factors at project area have advantage to using solution of
flue gas disperse.
7.2. Land compensation impact.
Site clearance and revoking of land 110ha in stage I (mainly farm land of -2/9
Hoa Binh Company) cause impact to production capacity of company and
farm households lose farmland or must change occupation, cause significant
impact to people’s life.
To keep the schedule the site clearance and compensation must be carry out
parallel. Local compensation committee to set up the compensation and
resettlement plan for the Project affected people having land in the project site.
7.3. Environment impact during construction stage.
In the site leveling and project construction period impact to the environment
will be temporally on: dust, noise, waste water, solid waste…from the
following activities:
 unexploded ordnance detection
 Site clearance, trip the vegetation, site leveling.
 Construction material transportation to and waste from the site.
 Transportation material for site leveling.
 Vibration from operation of construction machines.
 Waste water, solid waste and sewage from construction staff at site.
 ….
In this stage the mitigating measures must be applied to minimize the impact to
environment:
 To decide the temporary sewage place to collect all the sewage for
transportation to the sewage treatment area.
 Limit the construction machine and cars repairing work at site. The
temporary repair area has to prepare with the barrelling for oil contaminated
water.
 Sewage water from sanitary, kitchen and other area must be collected and
November, 2013 7-3
treated in septic tanks. Temporary waste water treatment system must be

enough capacity for waste water treatment as required in the QCVN
14:2008/BTNMT.
 Cover the construction area by tole wall, canvas,...
 Spray water twice a day when windy (wind velocity is about 18 m/s).
 Divide the construction area to finish ASAP to limit the dust emission.
 Limit the speed of the traffic and construction machine at site < 20 km/hour
to limit the dust emission and traffic accident.
 ….
7.4. Environment impact during the operation stage
7.4.1. Waste water and mitigating measures
In waste source aspect, all waste water from the plant are consist of heat
contaminated waste water, oil contaminated waste water, chemical substance
contaminated waste water, domestic sewage…
In time aspect, all waste water from the plant is consisting of two types:
regular and irregular waste water.
Irregular waste water includes: waste water from clean of boiler, chemical
clean of boiler, waste water from chemical clean of boiler, feed pump clean,
chemical substance contaminated waste water. This type waste water will be
collected to neutralize pond, then go to common waste water collection tank.
From here, waste water will be pumped and treated in final neutralize pond.
Regular waste water includes: waste water from boiler’s blow-down, waste
water from floors of boiler and steam turbine, waste water from cooling
water system, back-washing waste water from raw water treatment system and
demineralization system, waste water from laboratory and sanitary waste
water.
Applied Code and Standards:
 QCVN 14:2008/BTNMT – National technical regulation on domestic
wastewater.
 QCVN 08:2008/BTNMT - National technical regulation on surface water
quality.
 QCVN 40-2011/BTNMT - National technical regulation on industrial
wastewater.
Preliminary calculation the regular waste water need to be treated is 120 m3/h.
Industrial waste water from technology process, sewage and rain off water
after treatment, neutralize and other necessary treatment will be collected and
pumped to the Industrial Park common waste water treatment Plant. This plant
locate on the East area of the industrial park and will be used for all Plants in

November, 2013 7-4
the Lac Thinh Industrial Park, with capacity 8,000 m3/day (capacity of first
stage is 5,600 m3/day). Treated water meeting the QCVN 40-2011/BTNMT
column B will be discharge to biological lake to stabilize, going treatment and
discharge to Cay Da stream.
7.4.1.1. Waste water from cooling water system

Cooling water system for condenser use cooling towers. The waste water from
cooling water system is biggest. In operation the makeup water need is about
2% cooling water flow, equal 190 m3/ hour for two units to cover the water
quantity evaporation, leakage and deposit of mud. This waste water discharge
to the mix pond, where collect treated water and reuse for cooling cycle.
Boiler’s blow-down water – after cooling will be discharged to the mix pond
of cooling tower for reusing.
7.4.1.2. Oil contaminated water

These are oil contaminated waters from the areas of oil management and
transformers stands. In the vicinity of transformer stands, a closed emergency
pit will be built (oil leakage pit) capturing precipitation from transformer
stands areas and serving also for accumulation of oil filling of transformers in
case of its leakage in case of emergency. Pumps and oil matters analyzers will
be installed in this pit. In case that only oil contaminated water will be
indicated, then it will be pumped via new oil substances separators to the
rainwater sewerage. In case, that high content of NEL, the pumps will not start
and an emergency state will be signaled. The content of pits is then pumped
out by mobile means and it is transported for disposal by an authorized
company. Surface areas of filling oil stations will be also drained to an oil
leakage pit.
Condensate from the compressor station pretreated in an oil separator will be
also led to the oil contaminated water system. In the waste water treatment
plant will be also treated other industrial waste waters from operation of such
technological units and civil objects, where oiled substances in water could
occur – rinsing water including oil dripping and leakages from technological
equipment.
Separated oil substances from oil separators will be transported for disposal as
well as captured mechanical contaminants and suspended substances. Cleaned
waste water will be discharged to the rainwater sewerage system.
At outlet from the power plant, authorized measuring appliance will be
installed for measurement of released water flow rate and sampling.
Rainwater from parking potentially polluted by oil substances will be treated
in an oil separator and led into the rainwater sewerage system.
7.4.1.3. Waste water from chemical treatment plant

In chemical water treatment plant (CWTP) the following waste is produced:
 Concentrate from reverse osmosis
November, 2013 7-5
 Sludge in clarifying process

The chemical composition of concentrate from reverse osmoses will be strictly
depends from raw water quality. Concentrate is leading to mixing water
storage tank, where are collected clean waste waters.
Except of these liquid wastes the sludge from coagulation process is produced.
The sludge from clarifiers is thickened in thickeners and either further
processed in the power plant facility or dewatered in sludge press to the solids
content around 50%. This dewatered sludge is carried away.
In the operation mode when transport of the humidified ash to the ash disposal
area by belt conveyers, waste water from the chemical water treatment and
sludge from coagulation process will be used in the process of ash moistening.
Waste water and sludge will be collected with cooling circuit blowdown in
mixing water storage tank in ash handling system.
In the operation mode when dry ash expedition (transport by trucks), waste
water and mud from CWTP cannot be utilized in operation for fly ash
humidification. Waste water from CWTP operation (except mud from
flocculation) will be discharged to the rainwater sewerage similarly as
blowdown. Thickened mud water will be brought to the filter press, separated
water will be returned before flocculation, dewatered mud will be transported
to a disposal.
From the quality viewpoint, concentrate from the reverse osmosis has similar
composition as blowdown, and that is why it can be discharged to the
rainwater sewerage on condition of relevant limits keeping. As far as waste
water from neutralization is concerned, its amount is small, negligible from
the other waste waters quantity.
In such an operation state, cooling circuit blowdown, composition of which
meets the waste water discharge limit values, will represent the prevailing part
of the total waste water volume (it is ca. 94% rainwater and sewage are not
included in that number). Hence, a mixture of blowdown, waste water from
CWTP operation without mud and treated waste water from the waste water
treatment plant discharged via rainwater sewerage system will meet limits for
effluents prescribed in the Contract and in Vietnam legislation
7.4.1.4. Sewage water treatment

Sewage water will be collected from all the buildings in the plant and
discharge to the pump pit capacity 30 m3, next to the plant boundary. Sewage
water will be pumped to the Waste water treatment plant of the Industrial
Park.
7.4.2. Air pollution and mitigating measure
Applied standards:
 QCVN 22: 2009/BTNMT: National Technical Regulation on Emission
of Thermal Power industry

November, 2013 7-6
 QCVN 05-2009/BTNMT: National technical regulation on ambient air

quality.
 QCVN 06-2009/BTNMT: National technical regulation on hazardous
substances in ambient air
In a thermal power plant, toxic emission composes of different types,
however, three (03) types of air are dominant with considerable large emission
such as SOx, NOx, and suspended dust. The Facility must apply technology as
well as the operation regime so that toxic substances in smoke emission are
smaller than standard values as regulated in environment standard of Vietnam.
The flue gas must be complying with QCVN 22:2009/BTNMT, allowable
concentration of dust, NOx, SOx applicable for flue gas at the inlet of stack
are as follows:
 Total dust: 200mg/Nm3
 NOx (for NO2): 650mg/Nm3 (coal volatile matter >10%)
1000mg/Nm3 (coal volatile matter ≤10%)
 SO2: 500mg/Nm3
In the case of plants using technology of circulating fluidized bed coal fired
boiler, due to burning coal at a high temperature (about 850oC), so amount of
NOx formed in furnace at a very low level. SO2 reduction by quicklime in the
FGD.
Limestone in Hoa Binh reserve is about more than 700 million tons. The lime
stone specification will be verified in the next stage, the value here just for
reference:
CaO SiO2 Fe2O3 MgO MKN

(oxide 3)
(oxide Caxi) (silic dioxide) (oxide Magie)
%
% % %
48 - 50 0,8 - 11 0,1 - 0,15 2-3 41 - 43
Thus, with using technology of Gravity-Fed Traveling Grate stocker furnace

type the emission rate of pollutants in flue gas were below for permitted level
which specified in Vietnamese standard so will not need to install additional
expensive equipments and costly operation such as SCR while maintaining the
requirements on emissions into the environment.
One common stack for two units will be installed with the stack height about
60m to disperse flue gas (about 296,820 Nm3/h) to guarantee the
concentration of the emission on the ground level meet the requirement in
QCVN 05:2009/BTNMT.
7.4.3. Dust impact and mitigating measures
Each boiler will be equipped one ESP system with the efficiency up to 98%.

November, 2013 7-7
Coal storage area will be surrounded by windbreak mesh and water spray
system to limit dust pollution to the power plant.
7.4.4. Ash handling system.
7.4.4.1. Ash from plant

From the combustion process in the Boiler will obtain 4 types of Ash:
 Bottom ash from the furnace, this ash will go through conveyors to bottom
ash daily silo and after by trucks to the ash yard;
 Re injection ash to the furnace from convective part and dust separator,
using air ejectors
 Fly ash form the Electro filters, go to different daily silo and after by trucks
to ash yard
 Fly ash from FGD, with gypsum, go to other daily silo, and by trucks to
ash yard
7.4.4.2. Ash storage

The project consider 2 ash yard, one divided in 3 parts for each different kind
of ash, with idea to reuse in other process:
- Ash from biomass combustion process (from bottom ash and Electro
filters source) to use like fertilizer in farm.
- Ash from Coal and mix combustion process (from bottom ash and
Electro filters source) to use in the construction
- Ash from FGD to use in construction too.
The other ash yard, to use in time we not have yet use for the ash or not have
enough capacity in the first, guarantee the storage of ash for 6 years. With this
solution we have cover the ash storage completely.
Both ash yard will have the floor covered by waterproofing material to
guarantee not contamination of the ground. Treated waste water can be use for
as moistening in transportation.
7.4.4.3. Ash use solution:

Ash is because the idea to can use this different kind of ash in separately ways:
 Concrete production, as a substitute material for Portland cement and sand

 Embankments and other structural fills (usually for road construction)
 Cement clinkers production - (as a substitute material for clay)
 Mine reclamation
 Stabilization of soft soils
 Road subbase construction

November, 2013 7-8
 As Aggregate substitute material (e.g. for brick production)

 Mineral filler in asphaltic concrete
 Agricultural uses: soil amendment, fertilizer, cattle feeders, soil
stabilization in stock feed yards, and agricultural stakes
Form this ashy ard the ash will go by trucks to final destination.
This ash yard have a minimal capacity for storage, for this reason to guarantee
the storage for 6 years, we have an external Ash yard into the IP, with 8 ha.
From this ash yard to the other, go by trucks
7.5. Mitigating measures of bad impacts, prevent and cope with environment
accidents
7.5.1. Risk from flood and flash flood
Recently in Vietnam the flood and flash floods occurred very frequently. The
super flood, unexpected, rapidly increase the intensity of flood, high flood
magnitude, damage irreparably occurred in the mountain area. According to
the survey data from 1953 to 2004 there were at least 317 flash flood. Flash
flood occurs more frequently with serious damage. The mountain area in the
North has high risk of suffering the flood and flash flood specially some
province in the North – West area such as Son La, Lai Chau, Ha Giang.
The prevention measures are:
 Plant and protect the protective forest.
 Construct flood regulation basin in the area flash flood occur frequently
 To clear drainage system of obstruction.
 Construction dam, preventive walls.
 Flood diverted.
 Construct the additional spill out from the water reservoir
 Set up a map of danger area from flash flood and Flood
 Forecast and warning about the flash flood
 …..
7.5.2. Risk of firing and explode
Risk of fire and explode in the boiler area, coal storage and oil tank,... are
practically occur cause the damage of both property and human being.
Mitigating measure:
 Design this items with sufficient ventilation, separated completely from
each other to prevent spread the fire.
 Install the fire prevention equipment.
November, 2013 7-9
 Periodically check the piping and valve system.

7.5.3. Risk of contact with chemical and oil leakage
Chemical impact
Chemical use in the laboratory, demin. Water plant and waste water treatment
plant. In case of leakage or break down the operation staff will be suffer by the
chemical through skin, eyes and breathing. The impact is not big and
immediately.
Chemical leakage occurs from not properly to maintain the equipment or blow
up the piping or chemical storage equipment.
Oil leakage:
 Bad quality of cooling water and not frequently maintenance
 Full of oil storage and area is not good ventilation.
 Big leakage
7.5.4. Risk of environment equipment
Ventilation system trouble

Power cut off, the pollution from bag filter will blow up to the room and make
the local pollution, impact to the operation staff. The time depend on the repair
time of equipment, actually it is not prolong more than 5 minute.
In case the automatic system is trip the reserve system will be put into
operation or stop the system operation.
ESP
In case one of electrostatic field, dust in flue gas will not meet the
requirement. If problem cannot be resolved in 5 minutes operator have to
reduce the capacity of the unit or stop boiler operation to meet the requirement
on the environment.
This trip happen when the humidity of ash is very high and rarely happens.
Waste water treatment system
Waste water treatment plant will be installed for all the industrial waste water
and sewage water from pent operation

November, 2013 7-10
CHAPTER 8: PLANT OPERATION AND MAINTENANCE
8.1. Overview
8.1.1. The roles of power plant in Lac Thinh industrial park
The basic function of 2x25 MWe Lac Thinh Power Plant is to provide steam
about 130,000 tons/year and delivery electricity for consumption of all Industrial
Park (approx. calculation of demand is 19 MWe). Another purpose and function of
power plant is to send exceeding electricity to Vietnam nation grid. The Lac Thinh
Power Plant shall practice the following duties:
 To supply stable and reliable power capacity and steam to the Plants in Lac
Thinh Industrial Park and meeting the rapid power demand of Hoa Binh
Province;
 To maintain electrical quality required in the relevant standard;
 To increase the effectiveness of power supply in Hoa Binh province by
reducing the transmission losses.
 To protect environment by using the low heat value coal and waste
(biomass) of forest processing product.
8.1.2. Operating regime
The power Plant is proposed to operate according the power requirement in the Lac
Thinh Industrial Park and Power Purchase Agreement (PPA) signed between Lac
Thinh thermal Power Plant and Electric Power Trading Company (EPTC/EVN).
The Power Plant will directly be dispatched from Regional Dispatching Center (A1)
or National Dispatching Center (A0). Following order of National Dispatching
Center, the Plant shall cover daily load curve and weekly and monthly procedure to
obtain the highest economical affects in energy production of electricity system.
The following factors are necessary for the management of plant operation:
 Availability and reliability
 Standing ratio of the power plant unit
 Mandatory standing ratio
 Thermal efficiency of the power plant unit
 Cost for power generation
Other conditions need to be studied:
 Capability of providing fuel (coal, biomass);
 Provisions regulated by law will affect the operating mode such as the
inspection of pressure-producing equipment, requirements of licensing, the
general terms of safety, etc.
 Environmental matters.
Chapter 8: Plant Operation and Maintenance
November, 2013 8-1
Requirements of operation for the thermal power plant: The power plant is
operated continuously 7 days per week. Designed time operation is T = 6,500
h/year (annually average time of operating is converted to rated capacity);
Pausing the units as scheduled for maintenance and major overhaul in rainy season.
8.1.3. Maintenance of the power plant
Maintenance strategy of plant is to provide standard procedure for the

management of equipment maintenance & repair operations to follow, and to
ensure the normal running and safety operation of the equipments.
The forms of maintenance that need to be considered:
 Regular maintenance - inspection, cleaning, oiling, greasing, repairing, spare
parts replacement, measurement methods and sampling, etc.
 Preventive maintenance - replacing, overhauling or basically repairing
before the equipment is broken down, otherwise it may adversely affect the
production activities if the device is broken down.
 Maintenance based on equipment status - repair equipment based on the data
obtained and related limits such as vibration, temperature, operation time,
and wear rate, etc.
 Defects maintenance – repairing defects of the power plant, fix damaged
equipment, and recovering equipment properties.
 Maintenance and overhaul - usually applied to the main equipment.
Normally, upon doing the maintenance and overhaul equipment will be de-
energized, malfunctioning parts will be replaced, adjusted and normal
operating condition will be restored.
8.2. Plant operation
8.2.1. Plant control and operation organization
Lac Thinh will be designed with the following control rooms

 Center Control Room (CCR): this is a place which can be supervised and
controlled for whole power plant operation as well as for 110kV switchyard.
 Local control panels.
The Lac Thinh Power Plant will be designed to incorporate all the facilities and
equipment necessary to operation and supervision from a Central Control Room
(CCR). For all normal operation of the Plant, it is very necessary for engineers and
operators to access to all parameters and relevant signs enabling them to combine
precisely between decision and action.
CCR functions are the following:
 Boiler generators control and supervision;
 Steam turbine and generators control and supervision;

November, 2013 8-2
 110kV switchyard control and supervision;

 Electrical systems control and supervision;
 Auxiliary systems control and supervision;
 Etc.
In general the purpose of the local control rooms is to enable operators intervene
locally if necessary to sustain plant operations under special circumstances or to
carry out tests. Such circumstances require close supervision from the CCR and in
some cases the support of a “permit” system.
Therefore the operational design requirements will be specified on the basis that
there will be no dependence upon the skilled participation of local control room
staff, during normal unit operations. Sufficient plant measurement, status and
command data will be transmitted to/ from the CCR to:
 Facilitate remote monitoring and supervisory control from the CCR.
 Advise the CCR operator, by means of alarms, of fault of equipment.
 Enable the operator at CCR and shift manager to decide upon the initial
course of action to take in event of alarms (i.e. technical disciplines of
support staff to be dispatched to the plant concerned).
8.2.2. Operation staff.
The management of Plant including: 01 power plant General Manager, 01 Power

plant operation Director and 01 power plant Maintenance Director.
The Power Plant will be operated by the operation staffs, which are 3 shifts and 5
groups. Five departments are set in the power plant:
 Operation Department,
 Maintenance Department,
 Human Resource Department,
 Economy Department and
 Internal Services Department.
The Head of power plant operation shift must be attend the special training course
of National Dispatching Center (A 0) and get certification on plant operation before
to put plant in to operation.
8.2.3. Operation documents
Operational documents include the following categories:

 Operational manuals: these documents provided by EPC contractors and
equipment manufacturers.
 Operation process: this document includes procedures of starting as well as
stopping the power plant, inspection procedures before starting,
commissioning and starting the power plant in different condition, checking
November, 2013 8-3
during normal operation, stopping procedures, and troubleshooting process

for each item and systems of the power plant.
 Guidance on switching off equipment: these documents are prepared based
on the operational and maintenance manuals, suggesting steps to separate
parts of equipment at different levels for safe maintenance.
 Recording items of work: When an item or equipment is commissioned or
tested, all the information and the performance process as well as the plans
and operational situations must be frequently recorded and updated. The
system of notes taking will provide information to the operation staff, not the
operational manual.
 On-site guidance manual: this document provides guidance on important
tasks or methods of work, including issues of operating or not operating. The
safety requirements, environmental issues, stipulations and regulations,
hazardous materials or hazardous substances and risk analysis of the power
plant are all collected in this guidance manual.
 Operational log of the power plant
 Daily operational instructions
 Safety rules for power plant
 Work permit (work card)
 Reports of damage, warning signs, warning boards, request of reading
instructions before operating.
8.2.4. Operation Training
Before the commissioning of the power plant, new employees will be selected
according to their education backgrounds and expertise and send to attend the
training courses (on site/off site depending on conditions in the EPC contract) and
learn the practical skills in running, operation and maintenance of boiler, turbine
generator and peripheral equipments.
Operation training items and contents are as follows:
 Plant introduction and description: introduction to plant environment,
description of industrial safety specifications.
 Management training courses: to understand the corporate culture and key
management points, know well the operation conditions.
 Brief introduction to generating process: introduction to generating process
and description of key points.
 Brief introduction to water treatment process: introduction to fresh water,
filtrated water and demineralized water treatment processes, and description
of key points.

November, 2013 8-4
 Power plant knowledge training: overview of thermal power generation,

application of pump and air fan, design of pipeline and valves, and other
general knowledge related to power plant.
 Equipment operation training: including operation training for boiler,
turbine, electric transmission and transformation equipments, fuel disposal
system, pollution mitigation facilities, cooling tower, diesel generator, air
compressor, fresh water, demineralized water and wastewater treatment
facilities, etc.
 Equipment maintenance training: including maintenance training for
machines, high voltage equipments, instruments, etc.
 Quality control training: quality requirements for electric power, steam,
industrial water, and flue gas
 Operation practice training: practical operations such as start/stop of boiler
and turbine, and disposal of abnormities; operation practices of fresh water
and demineralized water system equipments, and disposal of abnormities
 Maintenance practice training: practice skill training for maintenance of
steam, electrical equipments and instruments.
8.3. Plant maintenance
8.3.1. Maintenance strategy
To provide standard procedure for the management of equipment maintenance &

repair operations to follow, and to ensure the normal running and safety operation
of the equipments.
Plant maintenance work will include the following categories:
 The regular and daily maintenances shall be carried by maintenance staff of
the power plant. In initial phase, the maintenance with high-technical shall
be done with the supervision of experts from the manufacturer;
 On-site repair works will be performed by maintenance staff of the power
plant and with the participation of experts from equipment suppliers
especially in the reliability testing phase of the device if there is a high
technical requirement;
 Overhaul of equipment can be carried out by the establishment of the
equipment supplier or by outsource.
 Some devices that need the support and participation of experts and senior
technicians when maintenance are as follows:
+ For all maintenance activities during the equipment reliability test:
Contractors will be requested to monitor any maintenance work done
during the equipment reliability test;
+ Overhaul of main plant equipment (e.g. turbine, generator, boiler feed
pumps, ID and FD fans, coal mill, circulating pump, other relevant big
November, 2013 8-5
engines);
+ Analysis of the chemical, oil and metal wear and strength;
+ Plant testing, especially complicated devices such as generator,
transformer, etc;
+ Metal experiment, roentgenography and other related analysis;
+ High-voltage welding.
8.3.2. Maintenance plan
Regular maintenance, inspection and overhaul and major repairs firstly are
made according to the recommendations of the equipment designer and
manufacturer. However, it can be modified suitably with the actual condition of
the power plant (if necessary).
Idle plan to of the power plant will be established based on the steam supply
requirement and dispatch plans of the power grid system and maintenance
strategies of required equipment.
The maintenance organization will have to consider two cases: scheduled and
unplanned maintenances.
- Scheduled maintenance: The scheduled maintenance is carried out based on
the guidelines and the recommendations of the equipment manufacturer and in
combination with the production plan of the power plant during the year.
Scheduled maintenance is the form of regular maintenance, preventive
maintenance, overhaul maintenance...
- Unplanned maintenance: The unplanned maintenance is performed when
there are abnormalities in the operation of the device or group of devices.
Unplanned maintenance is the form of failure maintenance, designation
maintenance...
8.3.3. Maintenance Training
Training for maintainers:

 In order to improve the maintenance skills, each maintenance department
shall study out a training plan to carry out on-job training for the maintainers
according to the technical skills required for maintenance.
 When filling in the Repair Record, the maintenance director shall note and
collect the cases of insufficient maintenance knowledge or improper
working method, and use them as training materials.
8.3.4. Maintenance Worksites
Planning, cleaning and maintenance of maintenance worksites as well as

storage of machines and spare parts all shall be carried out in accordance with
the company’s stipulations.

November, 2013 8-6
8.3.5. Maintenance Tools and Maintenance Equipments
To improve the maintenance ability, the maintenance departments shall make

statistics of the tools required, and bring forward purchasing requests to the
purchasing department. Special tools or machines shall also be included.
Tools are stored in the tool room, and a tool administrator is designated to take
charge of the management and maintenance of the tools.
Machine tools, fixed grinding wheels, electric welders, gas welders, ion cutters
and drill presses all shall be fixed in designated positions. A control table of
electrical tools shall be worked out, and electrical technicians are designated to
make inspections every 6 months to prevent unqualified machines or tools from
being used. (The industrial safety stipulations of the company shall apply).
8.4. Plant organization
Totally 153 persons will be employed, including 75 employees in the operation

department, 52 employees in the maintenance department and 26 employees in the
other departments.
8.4.1. Management
In the Plant management 03 plant managers (General Manager, Operation

Manager, Maintenance Manager) and Internal Services Department are set to take
charge of plant administration, production management, labor safety, power charge,
chemical test and other affairs, and assist the plant manager in administration of the
plant.
8.4.2. Generating operation and maintenance departments
Totally, there are 75 employees in operation department, including: 01 Power

Plant Operation Manager, 15 of Heads of Unit Operation, 04 Head of Power
Plant Operation, 53 employees of Machine Hall Operators, Boiler House
Operator, Auxiliary Operators and 02 Archive specialist are set matching the
requirements of three-shift system.
The maintenance department takes charge of the maintenance of all the
equipments. Totally 52 positions are set in this department, including 01 Power
Plant Maintenance Manager, 02 chief of Boiler House, 02 chief of Machine
Hall, 02 chief of BOP and 45 persons in electrical, mechanical I&C workshops.
8.5. Power Plant Personnel
Total number of staff and workers of the power plant is expected around 108
people to come to the plant diary into 5 days in week organized into three
groups (operation, maintenance and administration and management).

November, 2013 8-7
Plant Staff Stage 1
Operation staff 75
Maintenance staff 52
Administration and management 26
TOTAL 153

November, 2013 8-8
CHAPTER 9: TOTAL COST ESTIMATE AND FINANCIAL –

ECONOMIC ANALYSIS
9.1. Total cost estimate
The total investment will be the basis for the raising capital plan as well as
evaluating the feasibility of the project.
Total cost estimate comprising following costs:
 Equipment cost
 Construction cost
 Compensation and resettlement
 Administrative construction investment consulting cost
 Contingency cost
 Other costs ...
Total cost estimate as below:
Table 9-1: Total cost estimate
Before VAT After VAT
No. Costs VAT (USD)
(USD) (USD)
1 Equipment cost 57,500,245.14 5,750,024.51 63,250,269.65
2 Construction cost 14,530,452.73 1,453,045.27 15,983,498.00
3 Other cost 9,808,539.84 640,653.98 10,449,193.82
4 Contingency cost 7,482,762.29 748,276.23 8,231,038.52
TOTAL 89,322,000.00 8,592,000.00 97,914,000.00
9.2. Financial – Economic analysis of the project
9.2.1. Targets
The financial analysis is for evaluation of Project’s financial feasibility to

make investment decision. Data to be considered in the financial analysis are
as follows:
 Determining revenues and expenditures in the cash flow;
 Determining sponsored items (equity capital, allowance, loan capital,
local and foreign loans, …)
 Determining net cash flow
The project is analyzed on equity view point: only considering to Employer
capital part and benefit after deducting all expenditures including interest and
loan. Cash flow in the financial analysis on Equity view point comprises:
 Incoming cash flow: comprises
Chapter 9: Total Cost Estimate and Financial analysis

November, 2013 9-1
 Loan
 Revenue from electricity sale
 Others incoming
 Outgoing cash flow: comprises
 Investment cost
 Fuel cost
 Operation and maintenance costs
 Enterprise income tax
 Principle and interest payback
Revenue and expense during the years in the life time of the project are
converted to the first year of the project with financial discount rate i=7%
(owner opportunity cost: 12%).
Following financial indexes are considered and analyzed:
 IRR
 NPV
 B/C
 Payback period,
A project is feasible if it satisfy following conditions:
 IRR value shall satisfy financial discount rate factor (i) on equity capital;
 NPV > 0 as calculated with discount rate i
 B/C > 1
 Financial balance shall be reached.
 Payback period is as soon as possible
9.2.2. Input data for financial analysis
Input data for financial analysis is show as bellows:

Table 9-2: Input data for financial analysis
No. Capital source Ratio Interest
1 Owner capital 30%
2 Loan 70%
ECA loan 100% 4.24%
Technology parameter
No.
Content Unit Value
1 Capacity MW 50
2 Auxiliary power ratio % 11%
November, 2013 9-2
Technology parameter
No.
Content Unit Value
3 Auxiliary power MW 5.5
4 Net power MW 44.5
5 Plant gross eff (HHV) % 28.16%
6 Plant net eff (HHV) % 25.90%
7 Tmax Hour 6,500
8 Coal heating value Kcal/kg 4,690
9 Coal specific consumption Kg/kWh 0.651
10 Limestone flow Ton/h 2.690
11 Generating power Gwh 325.00
12 Commercial power Gwh 289.25
13 Generating steam T/year 156,000.00
14 Coal consumption (adb) T/year 211,629.6
15 Oil consumption (DO) T/year
16 Limestone consumption T/year 4,415
17 Make-up water m3/h 574.0
18 ASH T/year 20,875.0
19 Area ha 11.5
20 Water price USD/m3 0.2
21 Coal fuel price USD/T 44
22 Oil price (DO) USD/T
23 Quicklime price USD/T 50
24 Play out price of a lease USD/ha/year 4,200
25 Steam price USD/T 24
26 Ash price USD/T 0.80
27 O&M %(Capital)/year 2.50%
28 Plant life Year 25
29 Amortization price Year 10
30 Exchange rate 1 USD 20,850
CIT according to Decree 124/2007/NĐ-CP dated 14/02/2007 stipulated CIT
31
complying the Law 14/2008/QH12 CIT apllied is 25%/year
9.2.3. Project economical effectiveness
In general Lac Thinh Power Plant Project will impact to the social -
economical development of Hoa Binh Province, such as:
 To meet the power demand growing: Project planned to put into operation
in 2017 will take part in the power supply for power demand in the area In
other hand it will contribute small capacity to improve the ration between
Hydro power and thermal power generation to stabilize the power supply to
the power system.
 To create the jobs for labor force: Plant capacity 50MW required rather big
coal consumption, creation the jobs for the labor force with stable income
and will be driving power to attract other project development in the
Industrial.
 To contribute to the economic development in the area: Project with the

November, 2013 9-3
modern technology will improve the power grid development in the area,
based on what the local industrial project will be developed. The services,
health care, education will have opportunity to develop. Project will be
good conditions for social – economical development in the area, increase
the income for the labor and increase the production in the area.
 For the state budget will be increase from the variation type of taxes;
 Project supply steam which will attract the project development in the
Industrial Park (for example steam supplied to brewery).
9.2.4. Project economical evaluation
From economic view of point the cash flow will be considered including:
Income: + Revenue from power sale
Expenditure: + Capital cost
+ fuel cost
+ O&M cost
+ Resource tax: not included
Cash flow of income and outcome in the project life time converted to the first
year of the investment with discount factor ik% = 10%.
Economical evaluation results:
Economical evaluation results
Index Value Unit
Power tariff economical 6.51 CentUSD/kWh
EIRR 10.16 %
ENPV 0.7 M. USD
Discount rate economical ik 10.00 %
B/Ck Ratio 1.013
Payback period 23 year
Power tariff 6.51 CentUSD will be economical feasible. Especially when the
industrial plants in the industrial park will be put into operation, power plant
can supply power directly to the consumers, the project targets will be
improved.
9.2.5. Financial analysis result
9.2.5.1. Method of analysis

Financial analysis is to clarify financial aspects of the project for the project
owner. Financial analysis is based on the market mechanism and prices,
calculate the price factors including incomes, expenditures to evaluate the
financial effectiveness during the project execution.
Project financial analysis from owner view of point, the steps in the financial
analysis including:
 Determining the items of revenue and expenditure of the cash flow.
November, 2013 9-4
 Determining the sponsored items (equity capital, allowance, loan

capital, local and foreign loans, …)
 Determining net cash flow.
Cash flow in financial analysis on the owner view of point will be the
following:
 Incomes:
 Loans
 Revenue from product selling
 Expenditure:
 Capital cost
 Fuel cost
 O&M cost
 Enterprise income tax
 Capital repayment and interest
Financial targets calculated from the incomes and expenditures of the project
life time converted to the first year of investment with discount factor i=8%
(equivalent opportunity cost of the owner is 15%).
The following financial targets will be analyzed:
 Internal rate of return (IRR).
 Net Present Value (NPV).
 Ratio of benefit and cost (B/C).
 Payback period.
 Power tariff.
A project considered financially feasible should meet the following
requirements:
 FIRR of the Project’s own must be higher than nominated discount factor i.
 NPV>0 corresponding with selected discount rate of the capital.
 Ratio of benefit and cost B/C > 1
 The balance of financial income and spending must be approached. joint
capital must be returned as soon as beneficial
Payback period as soon as beneficial
9.2.5.2. Financial analysis results
Financial analysis result as below:

November, 2013 9-5
Table 9-3: Financial analysis results
Financial analysis result
Index Value Unit
Power sell price 5.62 6.51 CentUSD/kWh
Net present value (NPV) 0.00 20.50 Tr. USD
Internal rate of return (IRR) 8.00% 13.00% %
Benefit/ cost ratio B/C 1.000 1.347
Payback period 25 12 year
Analysis results show that, to achieve break-even selling price of electricity

corresponding is 5.62 USCent/kWh. To achieve internal rate of return of
13%, the electricity price is 6.51 USCent/kWh, while the NPV is 20.50 million
USD and the payback period is 12 years.
Recommendation: power tariff 6.51 USCent/kWh at the busbar, while the
NPV is 20.50 million USD, IRR is 13% and the payback period is 12 years.
9.2.5.3. Sensitivity analysis

Sensitivity analysis to be carried out to consider the impact of the technical
and financial to the project financial targets for investment decision.
The following factors to be considered in the sensitivity analysis:
 Capital cost increase (+10%).
 Power generation reduce (-10%).
 Fuel cost increase (+10%).
 Combine capital cost increase (+10%) and power generation reduce (-10%).
Results are summarized in the following tables:
Capital cost increase (+10%):
Power sale price
(USCent/kWh) 5.95 6.94 6.51
Financial Net present value NPV
(Mil. USD) 0.00 22.55 13.95
Internal rate of return 8.00% 13.00% 11.02%
Benefit/ cost ratio B/C 1.000 1.347 1.214
Payback period of owner with DF
(year) 25 12 14
Power generation reduce (-10%)
Power sale price
(USCent/kWh) 6.00 6.99 6.51
(Mil. USD) 0.00 20.50 11.50
(year) 25 12 15
Fuel cost increase (+10%)

November, 2013 9-6
Power sale price
(USCent/kWh) 6.10 7.00 6.51
(Mil. USD) 0.00 20.50 10.16
(year) 25 12 15
Combine capital cost increase (+10%) and power generation reduce (-10%)
Power sale price
(USCent/kWh) 6.37 7.46 6.51
(Mil. USD) 0.00 22.55 3.21
(year) 24 12 21
From the results of sensitivity analysis project is financial feasible with the power
tariff 6.51USCent/kWh.

November, 2013 9-7
CHAPTER 10: CONCLUSION AND

RECOMMENDATION
10.1. Conclusions
Lac Thinh cogeneration Power Plant project planned to construct in Lac Thinh
Industrial Park, which located in Lac Thinh – Yen Lac villages, Yen Thuy
district, Hoa Binh Province. This site was approved by the Province in the
Decision No. 1271/QĐ-UBND dated 22/7/2011.
Plant will supply the power and steam (24t/h-30t/h) to the plants in Lac Thinh
Industrial park. Power demand in the Lac Thinh IP is about 70MW.
Plant area is about 19.52ha, in which 11.52 ha will be inside Plant boundary
and 8ha for ash yard will be located outside the plant area.
Plant installed capacity is 2 x 25MW using the local low quality coal and
waste form forestry and agricultural production. Coal will be local or from the
Thai Nguyen, Quang Ninh province. Coal, quicklime, biomass will be
transported to the plant by trucks.
Plant use the Gravity-Fed Traveling Grate stocker furnace type, using local
bad coal and biomass for clean energy and is environment friendly and
suitable for characteristics of local anthracite.
Power and water for construction will be supply by the common use system of
Lac Thinh industrial park.
Water demand for plant is about 251m3/h for plant operation will be supply
from water supply station capacity 18,000m3/day in industrial park. Raw
water will be supply from Thuong, Nong Truong lakes, and from underground
water
Waste water about 120m3/h after preliminary treatment will be discharged to
the industrial park waste water treatment plant and continuing be treated to
meet the requirement before discharge to the environment.
Ash and slag will be collected in ash pond, from ash pond ash will be
transported to the treatment area by the Industrial Park environment treatment
staff.
Plant will connect to the power system by 110kV voltage at the 110kV Lac
Son – Yen Thuy transmission line or connected to 110kV Yen Thuy or 110kV
Lac Son existing substations by double/ single circuit transmission line. The
final decision will be make in the report on Plant connection to the power
network. Notice No 2019/TB-EVN-NPC dated 8/6/2011 between Northern
Power corporation and Lac Thinh Industrial Park Ltd. Co agreed that 110kV
transmission line will be available at the IP fence for purchasing or selling
power to the grid.
Project cost estimation is USD 97,886,336.16 (after tax).
Chapter 10: Conclusion and Recommendation
November, 2013 10-1
The estimated financial index of project as follows:

Indicator Value Unit
Power sell price 6.51 USCent/kWh
Net present value (NPV) 20.50 M. USD
Internal rate of return (IRR) 13 %
Benefit/ cost 1.347
Payback period 12 Year
10.2. Recommendations
For ensuring the schedule, effectiveness and investment targets, it is

recommended:
1. Propose Hoa Binh People Committee to review the Investment Report on
Construction of Work of Project, to propose Ministry of Trade and Industry
for consideration and accept the Project Investment policy.
2. Propose Ministry of Trade and Industry to review and submit to the
Government for additional approval project in the Master of Power
Development Plan for the period 2011-2020 with vision to 2030.
3. Propose Hoa Binh People Committee to invest the 110kV transmission line
to the IP’s fence as agreed with the owner.
4. The Lac Thinh Industrial Park Co. Ltd to carry out the site clearance,
compensation and infrastructure and hand over the site to the Project Owner
for implementation.
5. Right after the Investment Report on Construction of Work will be approved
the Owner will prepare the required document complying with the Decree
12/2009/ND-CP on “Management of Investment Projects on the
Construction of Works”
6. In order to meet the schedule, all preparation works should be performed
together for ensuring the proposed milestones of progress. It is requested
that other projects as Transmission line, water supply, waste water treatment
system, rain off drainage system …shall be together executed with the plant
execution
7. Related contracts such as: Electric Power Purchase Agreement, coal supply
contract, Water supply contract, land lease agreement… are needed to
complete as considered targets and progress mentioned in the project.
8. Capital arrangement is need to negotiate early, the project cost is big value,
capital arrangement for development needs to proceed instantly in order to
ensure schedules of projects
Chapter 10: Conclusion and Recommendation

November, 2013 10-2
Attachment 1: LEGAL DOCUMENTS
LIST OF LEGAL DOCUMENT
No. Name of document
1 Decision No 2350/TTg – KTN dated 31 December 2008 by the Prime

Minister on “Update the Industrial Parks of Hoa Binh Province in the list of
Industrial Parks development in Vietnam”.
2 Decision No 1505/QĐ-UBND dated August 6th, 2009 by Hoa Binh People

Committee on “Approval Industrial Parks development Plan of Hoa Binh
Province up to 2020”.
3 Decision No. 917/QD-TTg dated June 11, 2013 by Prime Minister on

“Approval General Social – Economical Development Plan of Hoa Binh
province upto 2020”
4 Decision No. 0424/QĐ-BCT dated 25/1/2011 of MOIT on: “Approval the

Power development Plan of Hoa Binh Province in the period 2011-2015
with vision to 2020”.
5 Decision No 1271/QĐ-UBND of Hoa Binh people committee dated

22/7/2011 on approval “Detail Master Plan of Lac Thinh Industrial Park in
Yen Thuy District, scale 1/500”.
6 Decision No. 1444/QĐ-UBND dated 17/10/2012 on: ”Approval

Environmental Impact Statement on trading and construction investment
project of infrastructure of Lac Thinh Industrial Park – 1st stage located on
Lac Thinh and Yen Lac commune, Yen Thuy District, Hoa Binh Province.
7 Notice No 2019/TB-EVN-NPC dated 8/6/2011 between Northern Power

Thuy District, Hoa Binh Province”.
8 Minute of Understanding between Hanoi Coal Trading company and Lac

200,000-250,000 tons coal per year for 2x 25MW Lac Thinh Power
cogeneration Power Plant”
Attachment 2: CALCULATION SHEET
Attachment 3: DRAWINGS
Drawing list:
No. Description Drawing number
GENERAL
1 Plant location map NĐ-02-2012-G-01
2 Preliminary plant layout plan NĐ-02-2012-G-02
PROCESS
1 Overview Schematic of Plant NĐ-02-2012-M-01
2 Principle Schematic of Plant NĐ-02-2012-M-02
3 Block Flow Diagram of Water Treatment System NĐ-02-2012-M-03
4 Block Flow Diagram of Waste Water Treatment System NĐ-02-2012-M-04
5 Boiler ash handling system P&ID For reference
6 External ash handling system P&ID. For reference
7 Main Waste water System P&ID For reference
8 Waste Water general external distribution System P&ID For reference
ELECTRICAL
1 The existing power grid diagram of Hoa Binh province area NĐ-02-2012-Đ-01
st
2 The power grid diagram to 2020 of Hoa Binh province area (1 Case) NĐ-02-2012-Đ-02-01
nd
rd
st
5 The power grid map to 2020 of Hoa Binh province area (1 Case) NĐ-02-2012-Đ-03-01
nd
rd

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TABLE OF CONTENT

CHAPTER 1: EXECUTIVE SUMMARY ............................................................. 1-1

CHAPTER 1: EXECUTIVE SUMMARY

1.1. General introduction

Hoa Binh is a mountainous province, is contiguous Hong Delta River, having

1.2. Project Information

Project name: 2 x 25MW Lac Thinh Cogeneration Power Plant Project

1.3. Legal basis

Investment Report based on the following:

Chapter 1: Executive Summary

 Decision No. 0424/QĐ-BCT dated 25/1/2011 of MOIT on: “Approval the

1.4. Project location

1.5. Project Necessity and Scale

1.6. Power Plant Main technical solutions

1.6.1. Fuel supply.

 External cooling water system with Cooling Towers.

 Power generation and power transmission system: generator and auxiliary,

transmission line by to 110kV Lac Son existing substation, about 20km.

The common items with Industry Park are expected to include:

Chapter 1: Executive Summary

1.7. Site clearance and compensation, resettlement

1.8. Environment impact assessment

According to Appendix II, Decree No. 29/2011/ND-CP dated 18 April, 2011

1.9. Investment Form

2 x 25MW Lac Thinh Power Plant Project will be invested as Independent

1.10. Project Schedule

Chapter 1: Executive Summary

 October 2017 – Unit 2 put into operation

1.11. Project cost estimate

Total cost estimate comprising following costs:

1.12. Financial – Economic analysis of the project

The result financial analysis as below:

Chapter 1: Executive Summary

MAIN CHARATERISTIC OF POWER PLANT PROJECT

- Unit configuration 01 boiler + 01 steam turbine + 01

- Auciliary consumption (%) 11 %

- Operating hours Tmax 6,500 h/year

- Enery production output 325 (GWh/ year)

5- Fuel for plant

- Main fuel Local anthracite from Hoa Binh or

- Coal transportation Truck.

- Coal demand 213,000 ton/ year

6- Fuel for start up

- Quicklime from Hoa Binh Province.

- Quicklime transportation Truck

- Quicklime demand 4,415 ton/ year

- Type Gravity-Fed Traveling Grate

- Steam flow for one boiler 113 (t/h)

Chapter 1: Executive Summary

- Steam parameters 60 bar/ 445oC

- Steam for industrial use 30t/h/10bar/230 oC

- Type Condensing, one cylinder

- Steam at turbine inlet 58 bar/ 443oC

- Number of steam extraction 03

- Condenser vacuum 0.1 bar

- Power factor 0,85

- Rated generator voltage 10,5kV

- type Diesel engine with generator

9- Water cooling sytem Cooling towers. Two towers for

10- Connect plant to the power

13- Project cost estimate USD 97,886,336.16. (after tax)

Chapter 1: Executive Summary

CHAPTER 2: PROJECT SCALE AND NECESSITY