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Construction begins on 1,200 MW pumped-storage hydropower plant in Sơn La

Construction began on a 1,200 MW pumped-storage hydropower plant in Sơn La on November 14, 2026. The project has an investment of more than VND 27.87 trillion and is expected to supply 1.5 billion to 2.5 billion kWh of electricity annually once operational.

VietVance

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On the morning of November 14, 2026, Mường Bang commune in Sơn La province held a groundbreaking ceremony for the Đông Phù Yên pumped-storage hydropower project. The project is being developed by Xuân Thiện Ninh Bình Co., Ltd. It has a designed capacity of 1,200 MW and an investment of more than VND 27.87 trillion. The Sơn La Provincial People's Committee approved the project's investment proposal on August 30, 2026.

The project spans the communes of Mường Bang and Mường Cơi and covers more than 425 hectares, including more than 414 hectares in Mường Bang. It is planned in two phases: the first, from 2027 to 2030, will have a capacity of 900 MW; the second, from 2031 to 2032, will add 300 MW.

Guests press a button to mark the start of construction of the Đông Phù Yên pumped-storage hydropower project.(VietVance)

Once operational, the project is expected to supply 1.5 billion to 2.5 billion kWh of electricity to the national grid each year and generate about VND 1 trillion in revenue for Sơn La province's budget. It is expected to provide about 2,400 jobs during construction and about 350 permanent jobs during operation. These electricity supply, revenue and employment figures are project estimates.

The plant is designed to use surplus electricity during periods of low demand to pump water to an upper reservoir, then release the water to generate electricity during peak demand, helping balance electricity supply and demand. At the groundbreaking ceremony, Sơn La Provincial People's Committee Chairman Nguyễn Đình Việt said the procedures and conditions required to begin construction had been completed by November 13, 2026. He called on the relevant parties to keep construction on schedule while addressing construction quality, workplace safety, environmental protection, land acquisition and resettlement.

Source: VietVance

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