German investment can be powered by green electricity: diplomat

Germany’s private sector is very interested in investing more in Vietnam, but they also “want to have green electricity,” Santiago Alonso, development counselor with the German embassy in Hanoi, said Wednesday.

He was speaking at a conference titled “Just Energy Transition = Job Accelerator for Vietnam? German-Vietnamese perspectives on employment and skills needs” that the embassy hosted in the capital city.

Vietnam is in a very favorable situation with many investors worldwide targeting the country and, therefore, it can attract investments by providing a reliable framework as well as sufficient green energy, he said.

However, Alonso added, it may be challenging for the Vietnamese government to expand renewable energy to meet the needs of the private sector to advance green growth and green economy.

Energy transition is a complex and demanding process but Germany has been successful in this task, which requires a lot of investment. This situation presents both challenges and opportunities, Alonso said.

Vietnam and Germany have been exercising a very broad and close cooperation in the energy sector for years; and are set to upgrade their cooperation to that of a comprehensive energy partnership, the diplomat noted.

Other speakers at the conference also focused on the significant potential that energy transition will deliver to Vietnam’s economic and labor market growth. Just energy transition” needs to incorporate social, cultural, environmental, economic and identity-related issues while ensuring no one is left behind, they said.

The first Vietnam-Germany project in renewable energy started in 2009. Since then, the cooperation “has continuously grown and currently comprises an overall portfolio of ongoing and planned projects of more than EUR1 billion ($1.07 billion),” German ambassador Guido Hildner said at the conference.

Deputy Minister of Labor, Invalids and Social Affairs Nguyen Thi Ha proposed that experts and delegates share experiences in unlocking the potential of energy transition, and propose specific solutions related to employment and skills training for workers.

“Vietnam is committed to achieving carbon neutrality by 2050 and pursuing a just energy transition, said Ta Dinh Thi, Vice Chairman of the National Assembly’s Committee on Science, Technology and Environment.

“Vietnam is aware of the importance of developing necessary skills and is willing to learn from international examples. Vietnam highly appreciates German-Vietnamese cooperation and believes that this relationship will contribute to a just energy transition and green future for Vietnam,” he added.