Danish energy firms keen on Vietnam investment with proper regulatory environment: diplomat

Realizing Danish renewable energy firms’ interest in Vietnam, "comes down to the legal framework and regulatory environment" facilitating their entry, a diplomat said Thursday.

Charge d' Affairs Lasse Pedersen Hjortshoj of the Danish Embassy in Vietnam was speaking to The Investor Thursday about offshore wind power development in the country and related obstacles, on the sidelines of a "Net Zero" event held in Hanoi.

Project deployment was also subject to the Vietnamese government opening up the (offshore wind energy) market in the future, he said.

Hjortshoj noted that many Danish firms, including offshore wind developers and turbine manufacturers, have expressed their interest in investing in Vietnam and are waiting for the market for offshore wind power to open.

As a new sector in the country, it was obvious that it will take time to develop offshore wind power in Vietnam, he said.

Denmark was willing to share its knowledge and expertise to help Vietnam develop the necessary regulatory framework, he added.

In 2021, Denmark's Orsted and Vietnam's T&T Group signed a memorandum of understanding on developing offshore wind power in Vietnam. In 2023, Orsted said it was pausing "market development activities" in Vietnam.

Another Danish firm in the sector, Copenhagen Infrastructure Partners (CIP), aims to invest $10.5 billion in a 3.5-GW project in the central province of Binh Thuan.

Thursday’s event, organized by the Embassy of Denmark in Vietnam in collaboration with ASHUI Co. Ltd., was themed “Dialogue on Greener Together – Urban Green Transition – From Denmark to Vietnam.”

Vietnam’s national urban and rural system plan for 2021-2030 (with vision until 2050) projects the nation's urbanization rate to exceed 50% by 2030.

"As the world shifts toward a greener future, cities stand at the forefront of developing innovative solutions to combat climate change," the Danish embassy said in a release.

"Economic security must go hand in hand with social and environmental security. The dialogue on urban green transition today aims at ensuring that people will continue to thrive in cities in the future," said Mette Ekeroth, deputy head of mission at the Danish embassy.