Petrovietnam, Copenhagen Infrastructure Partners shake hands to develop offshore wind power in central Vietnam

Denmark-headquartered Copenhagen Infrastructure Partners (CIP) plans to cooperate with state-owned Petrovietnam to develop an offshore wind power project in the former central province of Binh Thuan (now part of Lam Dong province), with estimated capacity from 1-2 GW.

The two sides exchanged the Joint Development Agreement (JDA) on offshore wind power development last Friday. Earlier, in March 2024, they had signed an MoU.

This move came shortly after the Vietnamese government had issued Decree No. 58/2025/ND-CP in March 2025, detailing specific provisions of the Electricity Law regarding the development of renewable and new energy sources.

According to this decree, foreign investors and economic organizations with foreign capital that implement or participate in investment or bidding for offshore wind project investor selection must meet conditions related to experience, financial capacity, and commitments to using domestic labor, goods, and services.

Notably, the decree requires the participation of domestic enterprises with a minimum 5% ownership of charter capital or voting shares in the implementing economic organization. These domestic enterprises include state-owned enterprises or those in which the state holds more than 50% of charter capital or voting shares.

According to Petrovietnam, its transformation from a national oil and gas group to a national industry and energy group with three strategic pillars – energy, industry, and high-quality services – reflects its vision to become an integrated energy producer and supplier, ready to lead in new energy sectors, particularly offshore wind power.

The group aims to provide diverse energy solutions, including renewables, to contribute significantly to national energy security and the development of the maritime economy, closely tied to safeguarding national sovereignty at sea.

Petrovietnam said it recognizes CIP as one of the world’s leading renewable energy developers, with decades of experience in offshore wind projects across Europe and Asia. CIP will bring strengths in capital management, large-scale project implementation, and especially an extensive international network.

At the ceremony, Le Manh Hung, chairman of Petrovietnam’s council of members, stated that the partnership is mutually complementary as Petrovietnam has technical expertise, human resources, and both onshore and offshore infrastructure, while CIP will contribute international experience, technology, and fundraising capacity.

He emphasized that the agreement aims not only to successfully develop offshore wind projects but also to build a domestic support industry chain, helping Vietnam become a new clean energy hub in the region.

On his part, Robert Helms, a board member of CIP, expressed hope that the collaboration with Petrovietnam would lay the foundation for future offshore wind projects, establish a local supply chain, create jobs, attract green FDI, and accelerate the clean energy transition, thereby enhancing energy security and achieving Vietnam’s development goals.

In an interview earlier this year, Stuart Livesey, CEO of CIP Vietnam, said CIP entered Vietnam in 2019, when the country first started planning offshore wind projects.

He emphasized the importance of involving major Vietnamese energy corporations like Petrovietnam and Vietnam Electricity (EVN) in the first offshore wind projects in the country.

In the long run, it’s important to attract investment into offshore wind not only from state-owned enterprises like EVN and Petrovietnam. Sharing risks and harmonizing benefits is reasonable. Foreign companies should not come to Vietnam just to execute projects, make a profit, and leave, said the CIP representative.

CIP wants to collaborate with local companies to ensure the combination of each side’s strengths, delivering reputable projects and mutual benefits, he added.

According to the revised National Power Development Plan VIII, approved by the Prime Minister in Decision No. 768/QD-TTg dated April 15, 2025, offshore wind power capacity serving domestic demand is targeted to hit 6,000 MW by 2030 and increase to 17,032 MW by 2035. By 2050, the capacity is projected to reach between 113,503 and 139,097 MW.

However, as of now, no offshore wind power project has officially received in-principle approval.

The Vietnamese government and the World Bank estimate Vietnam’s offshore wind potential at around 600 GW. This energy source is expected to supply 12% of the nation’s total electricity output by 2035.