How Solar Power Supports Sustainable Development at Kim Duc Factory

Large manufacturing plants like Kim Duc face high electricity costs and environmental challenges. This article explores the collaboration between Vu Phong Energy Group and Kim Duc Corporation to implement a solar power solution, offering practical insights into sustainable energy integration. Drawing from the original post, we analyze how zero capex solar projects align with ESG goals and reduce carbon emissions for businesses. Discover how renewable energy can transform industrial operations while meeting global sustainability standards.

The “Sun-Keeper’s Tale” is a narrative of passionate individuals dedicated to bringing clean energy to the community. In this second installment, the journey of the Vu Phong Energy Group team takes us to Long An province, a sun-drenched region in the Mekong Delta. In 2021, the project at Kim Duc factory in Long An stood out as an impressive undertaking for Vu Phong Energy Group. It represented a commitment to partner with a pioneering enterprise in sustainable development, one that not only asserts its international standing but also demonstrates a resolute dedication to environmental protection.

The Green Transformation Journey Starts with Input Energy

Kim Duc Corporation is an experienced packaging manufacturer, recognized as one of Vietnam’s pioneers in exporting eco-friendly shopping bags – from woven PP and non-woven PP to recycled R-PET fabrics – to Australia, the United States, Canada, and even the stringent European markets.

What truly sets Kim Duc apart, beyond their meticulously crafted products, is the company’s strong vision and social commitment. They firmly believe that their responsibility extends beyond product quality to actively supporting the community in environmental preservation efforts. In every story we hear, the ethos of “living green to reach further” consistently shines through. This philosophy has driven them to seek innovative, sustainable solutions, closely aligning their profit objectives with goals for sustainable development.

The Kim Duc factory spans a vast 100,000 m², employing over 2,000 workers, with machinery operating continuously for 12 hours daily. This large-scale production presents a colossal energy challenge. Electricity costs constitute a significant expense, perpetually weighing on operational overheads.

The Group’s leadership shared their concern: “To achieve truly green production, we cannot merely stop at raw materials; we must ‘green’ the entire process, starting with energy and input materials.” To accomplish this, renewable energy is the inevitable path. It was this shared objective for sustainable development that brought Kim Duc and Vu Phong Energy Group together, laying the foundation for a lasting partnership.

Zero Capex Solar partnership model – Vu Phong Energy Group

Vu Phong Energy Group’s Zero Capex Solar investment solution perfectly aligned with Kim Duc Corporation’s needs. Under this model, Vu Phong invests in, builds, operates, and transfers the rooftop solar power system, while Kim Duc leases the system at a stable and competitive price. This arrangement enables Kim Duc Corporation to fully concentrate on production activities and market expansion. Furthermore, utilizing clean energy serves as a robust “green passport” for the enterprise’s ESG practices, meeting the stringent standards of demanding international markets and supporting their journey in reducing carbon emissions through solar.

2.22 MWp Solar Power Project – A Green Passport for Businesses

In 2021, a 2.22 MWp rooftop solar power project for factories commenced construction at the Kim Duc factory in Long An. On the expansive factory roof, nearly 5,000 LONGi 450Wp solar panels were meticulously installed, combined with 21 SMA inverters and durable auxiliary frameworks, creating a resilient structure with a lifespan exceeding 30 years. Since its operation, the system has significantly helped the enterprise save on electricity costs, while also reducing carbon emissions by over 2,600 tons of CO₂ annually.

Vu Phong team and guests visiting Kim Duc factory

In September 2023, two years after commencing operations, we had the opportunity to visit the Kim Duc factory alongside a delegation of guests. The solar power panels continue to be operated and maintained, ensuring optimal efficiency for continuous production lines, day and night. More importantly, the trust and commitment from our partner, Kim Duc, have forged a strong collaborative relationship. We deeply appreciate the value of a cooperative journey where economic benefits go hand-in-hand with sustainable development.

The story at Kim Duc instills in us the belief that when communities, businesses, and solution providers collaborate, the Net Zero target is no longer a distant goal but becomes an integral part of sustainable development.

The journey of sustainable development is a long-term endeavor, building trust and shaping a future where every step of economic progress aligns with environmental responsibility. And in this journey, we believe that each project, each partnership, and each story contributes a ray of light to Vietnam’s clean energy landscape.

Vu Phong Energy Group