PROJECT OBJECTIVE

1. Component 1: enhancing transmission infrastructure will finance transmission lines and substations at voltage levels of 220 kilovolt (kV) and 500 kV. The component will roughly finance 15 percent of Vietnam's transmission network growth during the period 2015-2020 by targeting key investment needs in major areas of economic development and where transmission overloads are already present or will happen in the very short term given continuous demand growth.  
2. Component 2: developing smart grid network will support modernization of monitoring, control, and protection equipment in 500 kV and 220 kV substations to improve the reliability of the interconnected power system as a whole and of some bulk-supply points in the distribution network. 
3. Component 3: capacity building will contribute to the gradual development of national power transmission company (NPT) to become an independent transmission company with revenues from the application of performance-based regulation in the transmission sector and support the efficient implementation of the overall power sector reform.