On Dec. 13, 2024, Mekong Energy Co. Ltd. and its partners celebrated 20 years of operating the Phu My 2.2 Power Plant at the Reunification Palace in Ho Chi Minh City. More than infrastructure, Phu My 2.2 is a story of collaboration among Vietnam, France and Japan that helped shape the nation’s energy sector.
Since being commissioned in 2005, the 715-megawatt Phu My 2.2 was Vietnam’s first build-operate-transfer energy project fully financed by foreign investors.
Developed by MECO, a consortium of Electricite de France with Jera Co. and Sumitomo Corp. of Japan, the $410 million combined-cycle gas power plant with General Electric turbines boosted southern Vietnam’s power supply during a period of rapid growth.
Yuko Hiraki, general manager of MECO and a Sumitomo representative, said, “The integration of diverse management systems and corporate cultures, along with the contributions of 70 local staffers, fostered a unique Vietnamese-French-Japanese corporate culture that enabled the power plant to operate successfully for 20 years.”
Launched in 1997, the project was Vietnam’s first foreign-funded BOT model. With no prior framework, all parties had to adapt quickly.
“Phu My 2.2 faced numerous pioneering challenges, but stakeholders worked collaboratively and persistently to achieve commercial operation as quickly as possible,” Hiraki recalled.
Over two decades, Phu My 2.2 generated more than 91 terawatt-hours of electricity and supplied up to 8% of the nation’s growing power demand. It achieved a 94.8% availability factor in 2022, went more than 13 years without a lost-time accident, and supported 54 community programs, focusing on children’s education.
“Phu My 2.2 made a significant contribution to Vietnam’s power grid. The project earned consistent appreciation from the government and served as a strong reference for Sumitomo and the other shareholders,” Hiraki said.
Sumitomo’s role went beyond investment. It provided financial leadership to secure project funding and later took on executive responsibilities to guide the company’s transition. Its expertise in finance, legal affairs and broad stakeholder networks was vital in managing the complexities of an independent foreign-funded power producer.
On Feb. 4, MECO transferred the power plant to Vietnam Electricity. The handover was prepared through inspections, training and the integration of MECO’s staff.
“Phu My 2.2 trained many professionals capable of operating gas turbines. Its legacy of technical excellence and capacity-building will continue to support Vietnam’s energy sector and foster deeper collaboration between Japan and Vietnam,” Hiraki said.
As Vietnam looks ahead, Phu My 2.2 will be remembered as a milestone partnership that developed talent, delivered reliable electricity and strengthened Vietnamese-Japanese ties.
