Monday, 11 November 2019 06:00

WIND ENERGY IN VIETNAM: TARGETING 6 GW OF INSTALLED WIND POWER CAPACITY BY 2030

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NOVEMBER 2, 2019

The Global Wind Energy Council (GWEC) has launched a Policy Pulse report on Vietnam, which provides qualitative analysis of the political and macroeconomic headwinds steering the wind power sector and the measures needed to unlock greater wind power potential.

Vietnam has one of the fastest-growing energy consumption rates in South East Asia, with a growing population of 96.7 million people and steady economic growth. But its development roadmap, outlined by the National Power Development Plan 7 (PDP7), is currently dependent on coal power. Coal is primed to supply more than half of the country’s power by 2030, leaving Vietnam vulnerable to commercial volatility, climatic risks and political headwinds from trading and development partners.

With more than 360 GW of installed onshore and offshore wind power, Vietnam is home to the most promising wind resources in the region. It is targeting 6 GW of installed wind power capacity by 2030, but the potential is far greater. This report discusses:

•The urgency to de-risk the current wind farm PPA;

•Clarity on post-2021 wind turbines procurement schemes and potential auctions;

•Grid bottlenecks for clean energy;

•Permitting and land restriction issues; and,

•Resolving Vietnam’s costly bet on coal.

 

Decisive actions now could set Vietnam on a path of regional leadership in South East Asia’s clean energy transition. Vietnam must adapt its development roadmap to changing global market and political dynamics, in order to enable wind power to support the delivery of a cheaper, cleaner and more secure energy system.

Access this Policy Pulse along with other global data and insights on the wind industry exclusively on GWEC’s Market Intelligence Platform. 

The report on Vietnam follows Policy Pulse reports on the wind energy markets in Brazil, Argentina and Taiwan, published in 2019. Policy Pulse reports take a deep dive into the political and macroeconomic context of the wind sector, providing vital insights into energy policy direction and regulatory pressure points. Each report provides a must-read overview of the wind sector over the course of 15-20 pages, featuring up-to-date infographics, market forecasts and bullet-point summaries.

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