Norway energy giant Equinor eyes offshore wind power in Binh Thuan

Norway's largest energy group Equinor, in cooperation with state-run Petrovietnam, eyes to conduct an offshore wind power survey in the south-central province of Binh Thuan.

A representative of the Norwegian energy giant made the statement in a Monday meeting between Norwegian Ambassador to Vietnam Hilde Solbakken and Binh Thuan Vice Chairman Nguyen Hong Hai. The meeting took place a few days after the government approval of the power development plan for 2030 with a vision to 2050 (PDP VIII).

For her part, the diplomat emphasized Norway's strengths in sea-based economy, including sectors of tourism and offshore wind energy, saying Norwegian businesses are suitable partners for developing offshore wind power in Binh Thuan.

In reply, Hai welcomed Equinor and Petrovietnam's plan to invest in Binh Thuan and asked relevant agencies to aid the process. He also urged the ambassador to connect more businesses of the two countries, especially in collaborating to train human resources and manufacture offshore wind power equipment, as Binh Thuan is calling for investment in the energy sector.

In May 2022, Equinor established its representative office in Hanoi, seeking to partner with Petrovietnam to develop wind power projects across the country. The move marked "an important milestone" in the Norway-Vietnam business cooperation portfolio, the Norwegian Embassy in Hanoi stated.

Equinor’s senior vice president, Jens Olaf Økland, said Vietnam is one of the world’s fastest-growing economies and power markets. "With its long coastline and favorable wind conditions, the country has among the best wind resources in Asia and a strong desire to develop an offshore wind market. We believe Vietnam has high potential to become an interesting growth market for offshore wind."

In August 2022, Anita Holgersen, Equinor country representative for Vietnam, and Petrovietnam general director Le Manh Hung had a meeting in Hanoi, with discussions focusing on developing offshore wind farms, producing hydrogen and ammonia, and capturing and storing carbon. Hung proposed Equinor work with Petrovietnam subsidiaries and affiliates like PTSC and Vietsovpetro on such projects in Vietnam and elsewhere.

After three years of drafting and preparation, on May 15, 2023, Prime Minister Pham Minh Chinh approved the much-awaited National Power Development Plan for 2021-2030 with a vision to 2050 (PDP VIII).

Accordingly, offshore wind power combined with other types of renewable energy (solar power, onshore wind power, etc.) to produce new energy (hydrogen, green ammonia, etc.) for domestic demand and export will strongly be encouraged and allowed for unlimited development on the basis of ensuring national defense, energy security and economic efficiency. The capacity for offshore wind power is estimated to be around 15,000 MW by 2035 and 240,000 MW by 2050.

Among power generation sources, coal will account for 20.5% by 2030, down from almost 29% in 2020. Gas will make up 21.8% by 2030, up from 10.2% in 2020. Renewable sources (including hydroelectricity, solar and wind power, and biomass) will account for 50.3% by 2030, but contributions from hydroelectricity alone will drop to 20% from 30% in 2020.