Japan: Withdraw from Coal Power Plant Project in Vietnam

On December 28, 2020, the publicly-funded financial institution JBIC signed a loan agreement for up to approximately US $636 million (approx. 60 billion yen) for Vung Ang 2. Private sector financial institutions believed to be participating in co-financing include MUFG Bank, Mizuho Bank, Sumitomo Mitsui Banking Corporation (SMBC), and Sumitomo Mitsui Trust Bank (SMTB). Mitsubishi Corporation, Chugoku Electric Power Company, and Korea Electric Power Corporation are believed to be investing in the project. Vung Ang 2 has been the target of international criticism, which has raised many problems with the project. We strongly protest JBIC’s decision to support this project despite the fact that it has still failed to show accountability for the many concerns that have been raised, including the project’s conflict with measures to fight climate change, and a deficient environmental impact assessment.

News