Today, The Private Infrastructure Development Group (PIDG) and AquaOne celebrated the inauguration of the Hoa Binh–Xuan Mai water treatment plant of the Xuan Mai Water Supply System Project, largest standalone facility in northern Viet Nam. The plant’s component 1A will process 150,000 cubic metres of river water per day, supplying improved access to treated water in rural and suburban parts of Phu Tho province including Hoa Binh ward and Luong son commune (previously Hoa Binh Province) and supplementing water supply for the West, Southwest, and water-scarce areas, encompassing urban, industrial, and rural sectors of Hanoi.
PIDG invested equity, technical assistance and provided bond guarantees through its solutions GuarantCo and InfraCo between 2024 and 2025. The plant is part of a two-component project with component 1 being the Hoa Binh-Xuan Mai water treatment plant, supplying raw and treated water to Phu Tho province; and component 2: Xuan Mai Ha Noi being the construction of a clean water pipeline to bring this treated water to residents and businesses in Hanoi. In total, PIDG has committed c. VND 333.61 billion (c. USD 13 million) in equity, VND 1.19 trillion (c. USD 50 million) in bond guarantees and USD 119,000 in technical assistance grants across the two project components.
“Our partnership with AquaOne for the Xuan Mai project is very special to PIDG as it speaks directly to our impact goals across impact on people, planet, wider economy and market transformation. PIDG provided a comprehensive, end-to-end funding solution comprising of equity, bond guarantee and technical assistance facility. To date this remains the longest tenor project bond issued in Vietnam and also the first green bond in Viet Nam’s water sector. The was oversubscribed by major institutional investors. This raises tremendous confidence for transactions to follow, and we believe that the project has the potential to inspire many more such transactions in Northern Viet Nam.”
The project also received construction and operational support from PIDG’s Asset Management and Impact teams with a focus on international standards in compliance, as well as health, safety, environmental, and social (HSES) governance.
“The inauguration of the Hoa Binh – Xuan Mai Water Treatment Plant is not only a significant milestone for us but also a testament to our relentless efforts in creating sustainable values. In this project, Our Company is committed to strictly adhering to the highest international standards in management and operation. We place particular emphasis on the professional and methodical implementation of Health, Safety, Environment, and Social (HSES) standards.
Once operational, the project will directly supplement the water supply in Phu Tho province and Hanoi city. This will not only improve the quality of life for millions of residents through safe and clean water but also contribute significantly to the completion of technical infrastructure, thereby creating a solid foundation to drive regional economic growth and attract further investment.”
“We are delighted to achieve this milestone with AquaOne ahead of schedule and in full compliance with local and international standards and regulations. In general, developing greenfield assets can be challenging as there are limited sources of reference, and many new or adapted standards that require adherence to. We are pleased that AquaOne’s experience in the water sector, coupled with PIDG’s detailed, safety-first approach to engineering, procurement, construction and financial oversight, has resulted in this extremely successful collaboration.”
The Xuan Mai Water Supply System Project directly contributes to SDG 6.1: By 2030, achieve universal and equitable access to safe and affordable drinking water for all.
