Key projects
Thu, 03/11/2016, 02:18 GMT+7
Petrovietnam seeking to implement power projects
On 18th October 2016, in Vung Tau City, Ba Ria - Vung Tau Province, Vietnam Oil and Gas Group held a conference about management, implementation of power projects, design and construction of oil and gas projects.

Attending the conference were Deputy Minister of Construction Le Quang Hung; Petrovietnam Chairman of Board of Directors Nguyen Quoc Khanh, Petrovietnam former leaders and Petrovietnam affiliates’ leaders.

 

Deputy Minister of Construction Le Quang Hung was giving a speech at the conference

 

After more than 30 years of establishment and development, the oil and gas construction field has attained remarkable achievements, making great contribution to the oil and gas services sector, and accounting for 29% of the annual turnover of Vietnam Oil and Gas Group Nam (PVN).

 

Despite its later introduction, the power sector of the Group has also contributed significantly to the national energy security mission by making up 11% of the national power generation capacity and distributing over 124 billion kWh.

 

In the context of the world economic crisis, the deep fall of oil prices has put pressures on any sector and field in the oil and gas industry. In particular, the oil and gas construction field is facing big challenges. As there are not many traditional works to do offshore and in the context the world oil price is falling, PVN construction affiliates have to shift their business to the mainland market and start fierce competition with powerful businesses both at home and abroad.

 

Implementation of power projects also get a lot of difficulties due to its specific characteristics of large-scale, complex technology and urgent progress while Vietnamese bidders in the capacity of appointed general contractors have not much experiences in: interface design and management, procurement, construction and installation.

 

An overview of the Conference

 

In order to seek out solutions to overcome these difficulties and challenges, a conference was held by PVN to discuss about management, implementation of power projects, design and construction of oil and gas projects. It was intended to receive close guidance from leadership of the Ministry of Construction and PVN ... together with frank exchanges, discussions and comments from representatives for Construction Division, Power Division, Science and Technology Division; and affiliates such as Vietsovpetro, PTSC, PVC, PVE, PV Power, PV Shipyard ...

 

Attending the conference, Petrovietnam Chairman of Board of Directors Nguyen Quoc Khanh appreciated constructive ideas from leaders of the units, and invited their further efforts to overcome the difficult period.

 

He also proposed specific solutions for design and construction of oil and gas projects, and focus of services on the projects and works of the industry itself, including petrochemical projects, gas transportation and processing projects, and power plants.

 

These specific solutions include: improvement of management models, implementation of EPC contracts, especially in cost management and construction business administration, and project implementation management; gradually mastering specific design steps for all kinds of projects in order to take the initiative in implementing procurement of materials and equipment directly from suppliers. It will help to save time and not to depend on intermediary traders and sub-contractors.

 

Petrovietnam Chairman of Board of Directors Nguyen Quoc Khanh was giving a speech at the conference

 

Perfect coordination of all stages from design, procurement and transportation to construction and installation on site is to reduce waiting time from a stage or project item to another, and avoid additional costs.

 

Improving service quality by building skilful technical worker teams to directly participate in construction and installation is to reduce the workload to be assigned to subcontractors; building highly qualified construction engineering and site supervision staff will help to gradually take on trial runs of simple systems and plants. 

 

About management and implementation of power projects, Petrovietnam Chairman of Board of Directors Nguyen Quoc Khanh directed the units to focus on necessary measures to overcome difficulties to complete investment and construction of unfinished thermal power plants, e.g. Pacific 2, Long Phu 1, Song Hau 1 ... on schedule.

  

The relevant units will actively seek for supports and specific directions from ministries and state agencies. The project management units will supervise cost management, ensuring approval of workload and prices to be made quickly, accurately and compliant with regulations.     

 

EPC PMUs and contractors will prepare the conditions required for trial runs of coal power plants which are about to be completed, and pay much attention to environmental treatment of coal ash dumps.  

 

Deputy Minister of Construction Le Quang Hung appreciated the contents of discussions during the conference as they were really practical with specific recommendations and proposals to seek out the best solutions.

 

About design and construction of oil and gas projects, Deputy Minister of Construction Le Quang Hung gave a direction that in the near future, Vietnam Oil and Gas Group should focus its services on such projects and works as petrochemical projects, gas transportation and processing projects and power plants....

 

About management and implementation of power projects, some solutions were proposed by the Ministry of Construction for ash treatment, particularly in the power plants in Long Phu and Song Hau, e.g. using ash to make building materials and unburnt bricks, to level grounds and road bases, or as a material for cement production … so that it would not cause environmental pollution.       

 

Through this conference, Deputy Minister of Construction Le Quang Hung desired to listen to the delegations’ opinions, recommendations and exchanges, in order to develop and complete general mechanisms and policies to be somewhat consistent with oil and gas services. It may be said that in the three recent years, many legal documents have been changed to become more appropriate. 

 

To create a sound basis for their development in the coming time, the construction units of power projects need to regularly have exchanges, learn experiences from each other and improve themselves for their continuous development and increasing competitiveness in both domestic and foreign markets.