Singapore companies - SP Group, an energy utilities group, and Frasers Property - have signed a memorandum of understanding (MoU) to jointly develop green industrial parks in Vietnam.

SP and Frasers Property Vietnam (FPV), will focus initially on Binh Duong Industrial Park (BDIP), a 106-hectare project, located in one of Vietnam’s key southern economic hubs.

Under the MOU, SP will design, invest, install, operate, and maintain integrated smart energy solutions for BDIP’s Industrial Service Centre.

Subsequently, SP and FPV will collaborate on a feasibility study to implement a green micro-grid for BDIP that will accelerate the clean energy transition for the industrial park, facilitate access to renewable energy.

Lim Hua Tiong, CEO of Frasers Property Vietnam, said: “We want to create buildings that are durable, adaptable, and resilient to the changing environment and needs of our customers.

“That is why we have applied our expertise in design and master planning to our first industrial showcase in Vietnam, Binh Duong Industrial Park.”

Frasers Property’s group head of sustainability, Paolo Bevilacqua, said: “This partnership between like-minded organisations demonstrates how our net-zero carbon goal can bring tangible benefits to tenants and customers with lower operational costs and a reduced carbon footprint.”

“Our collaboration with Frasers Property Vietnam underscores our goal of empowering the sustainability ambitions of industrial parks and contributing to the net-zero targets of Vietnam,” said Brandon Chia, managing director, sustainability energy solutions, Southeast Asia and Australia, SP Group.

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