The plant, which is set to produce 125MW of electricity, is being built 70km west of Quang Ngai City where the Dak Drinh River runs through the Son Tan Commune.
The Dak Drink Hydro-power Plant Joint-Stock Company project has an estimated price tag of more than 3 trillion VND (187 million USD). The Viet Nam Oil and Gas Group, along with the Viet Nam Bank of Investment Development, the Infrastructure Development and Construction Corporation and the Song Da Construction Corporation are all sharing the costs.
The plant's main function will be to provide electricity for Viet Nam's central region while improving infrastructure in Quang Ngai's Son Tay district and Central Highlands Kon Tum province's Kon Plong District.
Both are considered underdeveloped by the State.
In addition, the plant's reservoir will provide water for Thach Nham Irrigation Construction and the Dung Quat Economic Zone during the dry season as well as reduce flooding along the river in the rainy season.
The plant's first turbine is expected to be operational by 2011.