PANO - A delegation of 8 French businesses will arrive in Malaysia and Vietnam from 25-29 June 2012 to participate in the Mission of Discovery of the Electricity Sector organised by UBIFRANCE in Kuala Lumpur, Hanoi and Ho Chi Minh City.

Malaysia currently uses 58% of its electricity capacity and is therefore sheltered from any risk of shortage until at least 2016, according to the latest studies. However, given the sustained economic growth (5% per annum, on average) and therefore the rise in demand for electricity (5%-8% over the last few years) the authorities estimate that they have little enough margin for manœuvre to justify the launching of numerous construction projects to build power stations using different sources of electricity production. The Malaysian government, through the Economic Transformation Program (ETP) and 10th Plan (2011-2015), makes electricity production one of its central concerns.

Meanwhile, Vietnam has seen average economic growth of 7% per year over the last 20 years, but demand for electricity, supported by demographic growth, economic development and a proactive policy of electrification, has increased twice as much in the same period. Of the country’s 90m population, (growing by 1m per year), 97% have access to electricity. But demand continues to rise steeply, with an expected average annual increase in consumption of 17-20% per year from now until 2015, which will require an increase in generation capacity of 75 GW by 2020 and 146.8 GW by 2030 (according to Master Plan VII). The Vietnamese electricity industry is dominated by hydropower (40% of installed capacity) but coal, oil and gas are also used.

In this context, the significant need to grow production capacity in Malaysia and Vietnam represent real opportunities for French businesses, whether they are suppliers of equipment or services, or electricity producers.

The aim of this mission is to better understand the official policies of the two countries, the main projects and the ways that foreign suppliers and investors can get involved. It will also allow links to be strengthened between French, Malaysian and Vietnamese businesses in this sector, so as to develop durable commercial, industrial or technological partnerships.

It will allow the participating businesses, EDF, DASSAULT SYSTEMES, ALSTOM, ARTELIA, BONNA INDONESIA, CHARIGNON FAYAT, BEEL GROUP and COFELY GDF SUEZ to deepen their understanding of the expectations in this sector in Malaysia, through meetings with local energy companies (Tenaga Nasional Berhad, Sarawak Energy Berhad and Independent Power Producers, etc) and a visit to the regional trade fair Tenaga Expo which will bring together 250 exhibitors. In Vietnam, the French businesses will meet EVN, PETROVIETNAM POWER, VINACOMIN, the Energy Directorate of the Industry and Commerce Ministry and the Institute of Energy, and will present their products and services to the main actors in this sector in Vietnam through individual meetings, planned and targeted in advance.

Thuy Chi-Thu Nguyen