Keppel invests in a sustainable future in Vietnam.

To date, Keppel Vietnam Fund, along with foreign institutional investors, has partnered with Keppel to invest in six high-quality housing projects in Hanoi and Ho Chi Minh City. When fully invested in and its potential is fully utilized, the Fund could manage assets worth approximately US$1 billion.

Besides real estate, we also focus on infrastructure. In 2023, our infrastructure division introduced the “Energy as a Service in Vietnam” solution, with contracts worth over $70 million. This solution includes power supply, cooling, decarbonization, and smart energy management, enabling businesses and building owners to achieve significant energy savings without requiring large upfront investments.

Keppel donates a desalination system to local residents.

Keppel has just been recognized as a sustainable company at the Top 50 Corporate Sustainability Awards 2024. How does this award reflect the company's commitment to sustainability?

For the third consecutive year, Keppel has been recognized at the Top 50 Sustainable Businesses (CSA) Awards. This year, Keppel was recognized in the Outstanding Corporate Social Responsibility (CSR) category. We are committed to being a responsible business that creates a positive impact on the communities where we operate. Our CSR initiatives focus on areas such as contributing to the community, protecting the environment, and supporting education .

One of our CSR initiatives that we are particularly proud of is Living Well, first launched in Vietnam in 2022, aimed at providing clean water to people in drought- and saline intrusion areas. Other initiatives include planting 3,000 trees in the Dong Nai Nature and Culture Reserve, and expanding the RISE to the Challenge project to schools to raise awareness about rising sea levels.

From 2021 to the present, Keppel has contributed over VND 13 billion to Vietnamese society and carried out nearly 6,500 hours of volunteer work through approximately 30 CSR activities. These activities have contributed to improving the lives of about 83,000 people in 10 provinces and cities across Vietnam.

Keppel contributes to Vietnam's urbanization journey through sustainable and high-quality real estate development solutions.

What are the advantages and challenges of doing business in the Vietnamese market, sir?

Vietnam and Singapore have strong economic ties, and bilateral trade continues to grow steadily.

With its extensive expertise in infrastructure, real estate, and digital connectivity, Keppel is strongly positioned to continue contributing to Vietnam's sustainable development and attract further capital from global investors through our investment platform and portfolio of quality assets.

In Vietnam, we have built partnerships with reputable businesses such as Khang Dien and Phu Long, companies with extensive knowledge, experience, and connections.

We believe we can continue to build this mutually beneficial relationship with our local partners to turn challenges into opportunities.

What suggestions do you have to help the real estate market develop sustainably in a green direction in the future?

In the journey towards sustainable development and real estate development in Vietnam, addressing and reducing carbon emissions in the built environment is imperative. Achieving this requires stronger cooperation between public and private sectors. The government plays a crucial role in encouraging the adoption of sustainable solutions.

For example, in Singapore, the Singapore Building and Construction Authority provides financial support policies for developers who have met certain green criteria. Keppel has leveraged this to implement improvements to its properties, such as Keppel Bay Tower.

A slightly different approach could also be considered in Vietnam, where the government considers providing more usable space or longer ownership periods to encourage developers to apply green and clean solutions and technologies to build more sustainable buildings.

These government efforts will encourage more real estate investors to implement and incorporate green features into their projects.

Keppel is promoting the implementation of the “Sustainable Urban Renewal – SUR” model, revitalizing existing buildings by retrofitting assets and incorporating new technologies and smart solutions to make buildings more efficient. This shift from a traditional developer model to an innovative urban innovator will contribute to circularity and reduce carbon emissions from business operations. This is also the solution we aim to provide in Vietnam.

What are Keppel's plans to further expand its presence in the Vietnamese market and contribute to the development of bilateral relations in the future, sir?

We see significant opportunities in Vietnam for developing sustainable solutions. Keppel is well-positioned to attract global financial investors who can contribute capital to the development of smarter, greener solutions and assets. We will leverage our expertise in developing and operating such assets to provide critical infrastructure and services for renewable energy, clean energy, decarbonization, sustainable urban innovation, and digital connectivity in Vietnam.

In addition to the infrastructure and real estate solutions mentioned, Keppel can provide integrated solutions for clean energy-powered data centers; asset development, management, and operation, contributing to Vietnam's Net Zero goals.

Our data center development portfolio is extensive, with 32 centers across Asia Pacific and Europe. As data storage needs increase in Vietnam, we see this as an opportunity for Keppel to provide integrated data center solutions to support Vietnam's rapidly growing digital economy.

These are just some of the many opportunities we hope to explore and build upon as Vietnam-Singapore bilateral relations continue to grow stronger.