During the Global Gateway Forum, European Commissioner Síkela met with Vietnam’s Deputy Prime Minister Bùi Thanh Sơn, where the European Commission and Team Europe announced a €430 million package to advance the Bac Ai Pumped Hydro Storage Project. This project is a flagship investment under Vietnam’s Just Energy Transition Partnership (JETP), co-led by the EU and the United Kingdom, aimed at accelerating the country’s shift towards a greener, more resilient energy system. The hydro storage facility will provide critical flexibility and stability to Vietnam’s power grid, supporting large-scale integration of renewable energy and helping achieve decarbonisation goals.
Commissioner Síkela emphasized that the Bac Ai project represents a cornerstone of joint efforts to build a cleaner, more reliable energy system, attract private investment, and deliver concrete results for people and the environment. The project exemplifies the Global Gateway approach by mobilizing public and private finance, applying high standards, and fostering long-term partnerships to drive sustainable infrastructure investment.
Team Europe, which brings together the European Union, its Member States, and their development finance institutions, is coordinating investments in Vietnam under the Global Gateway strategy. For this project, Team Europe partners include the EU, AFD (France), EIB, KfW (Germany), CDP (Italy), and PROPARCO, the private sector arm of AFD that finances sustainable investments in emerging markets.
The EU and Vietnam’s partnership under Global Gateway focuses on boosting sustainable infrastructure, green energy transition, and skills development while safeguarding the environment. Between 2021 and 2027, the EU has committed at least €293 million to Vietnam, with total contributions from the EU, EIB, and Member States exceeding €2.8 billion to the JETP. Additional regional support targets green transition and electricity connectivity through the ASEAN Power Grid.
The Global Gateway Forum gathers EU and global leaders, the private sector, civil society, financial institutions, and international organizations to promote sustainable investment worldwide. The EU’s Global Gateway initiative seeks to mobilize up to €300 billion by 2027, strengthening connections in energy, digital, and transport sectors, as well as health, education, and research systems, with a focus on sustainable, long-term partnerships rather than dependencies.
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