Vietnam needs extra 56 GW of renewables by 2030 to achieve net zero: report

By Quang Minh
Wed, June 19, 2024 | 12:19 pm GMT+7

Vietnam needs to develop an additional 56 gigawatts of renewable energy by 2030 to fulfill its net-zero emissions commitment 20 years later as the country phases out coal consumption, says a Danish government-backed report.

The sum will include 17 GW of onshore wind energy and 39 GW of solar energy, according to the “Pathways to Net Zero” report, the fourth biennial edition of Vietnam Energy Outlook Report, released on Wednesday.

Rasmus Munch Sørensen, adviser to the Vietnam-Denmark Energy Partnership Program, presents the “Pathways to Net Zero” report in Hanoi, June 19, 2024. Photo by The Investor/Quang Minh.

Rasmus Munch Sørensen, adviser to the Vietnam-Denmark Energy Partnership Program, presents the “Pathways to Net Zero” report in Hanoi, June 19, 2024. Photo by The Investor/Quang Minh.

With huge potential in solar and onshore and offshore wind power, Vietnam is well positioned to shift from fossil energy to renewables. The country can conduct green transition cost effectively and achieve the net-zero goal by 2050 by expanding renewables, electrify industries and transport, according to the report.

The authors warn that any delay in the green transition will lead to unnecessary costs due to increasingly severe impacts of climate change.

“To reach CO2 peak by 2030, new capacity in the power sector should primarily come from solar and wind before 2030,” it notes, arguing that renewables will soon be cheaper than fossil fuels across the globe and also be possible soon in Vietnam.

To ensure the energy transition, the report calls for a stable investment climate before 2030 and support for early investments in renewable energy with a focus on improving the regulatory framework.

For Vietnam to reach an ambitious goal of developing 84 GW of offshore wind power by 2050 in a net-zero scenario, Vietnam needs to issue a clear and predictable legal framework to lure big-ticket investments in this industry. The government can start by identifying locations for offshore wind installations, prepare port infrastructure, and enhance the transmission grid.

They also recommend that coal-fired power plants in the country, which is highly vulnerable to climate change, should be more flexible, so that their capacities can be reduced to give priority to greener energies while being an underlying backup source as storage solutions are deployed.

Also, LNG can play a critical role with large capacity additions towards 2050, but this form of energy is sensitive to higher prices.

They argue that co-firing of hydrogen, ammonia or biomass, Carbon Capture and Storage (CCS) on power plants are not cost-efficient.

They recommend investigating the role of nuclear in a system with high renewable share and further exploring potential for use of land for onshore wind and solar power. In addition, it is recommendable to develop standards and regulations to promote rooftop solar power connecting to the grid.

Addressing the launch of the report, Denmark Ambassador to Vietnam Nicolai Prytz called on Vietnam to take swift, robust and sustainable action to achieve the net-zero target. This will not only be critical in dealing with increasing energy demand but also in helping attract more foreign direct investment when access to renewables becomes more relevant in making investment decisions.

Denmark is committed to supporting Vietnam in this green transition, the diplomat affirmed.

Comments (0)
  • Read More
Auto enterprises to enjoy preferential import tariff policies

Auto enterprises to enjoy preferential import tariff policies

The Government has issued a decree amending and supplementing Decree No. 26/2023/ND-CP on the export and preferential import tariff schedules, as well as the lists of goods subject to absolute tax, mixed tax, and out-of-quota import duties.

Companies - Fri, July 11, 2025 | 2:13 pm GMT+7

Korean chaebol Samsung’s revenue makes up 13% of Vietnam’s GDP in 2024

Korean chaebol Samsung’s revenue makes up 13% of Vietnam’s GDP in 2024

Samsung’s revenue and export in Vietnam accounted for approximately 13.12% of the country’s GDP and 13.4% of its total export turnover in 2024, respectively, according to the National Statistics Office.

Companies - Fri, July 11, 2025 | 2:09 pm GMT+7

JPMorgan upgrades Vietnam stocks to overweight following US tariff deal

JPMorgan upgrades Vietnam stocks to overweight following US tariff deal

JPMorgan has upgraded Vietnam stocks to overweight after the country became the first Southeast Asian nation to reach a preliminary tariff deal with the U.S.

Economy - Fri, July 11, 2025 | 11:38 am GMT+7

Vietnam government bond issuance surges nearly 70% in June

Vietnam government bond issuance surges nearly 70% in June

The Hanoi Stock Exchange (HNX) held 16 government bond auctions in June, raising nearly VND30.5 trillion ($1.2 billion), up 68.8% from May.

Finance - Fri, July 11, 2025 | 9:30 am GMT+7

Xuan Truong Company asked to make feasibility study for airport proposal in northern Vietnam

Xuan Truong Company asked to make feasibility study for airport proposal in northern Vietnam

The Ministry of Construction has asked Ninh Binh authorities to prepare a feasibility study on the potential development of an international airport in the province, the ministry said in a report submitted to the Government regarding a proposal from private construction company Xuan Truong.

Companies - Fri, July 11, 2025 | 9:18 am GMT+7

Vietnam-US tariff agreement: A strategic turning point toward deeper integration

Vietnam-US tariff agreement: A strategic turning point toward deeper integration

The tariff agreement between Vietnam and the U.S. marks not only a trade or diplomatic breakthrough but also reflects a long-term strategic vision, bold foreign policy, and Vietnam’s commitment to deep global integration, writes Nguyen Tuan Viet, an export promotion expert and CEO of Vietgo.

Opinion - Fri, July 11, 2025 | 9:00 am GMT+7

Apple supplier Luxshare enjoys 0% corporate income tax in central Vietnam province

Apple supplier Luxshare enjoys 0% corporate income tax in central Vietnam province

China’s Luxshare-ICT, a key supplier to Apple, reported that its subsidiaries in Vietnam’s central province of Nghe An enjoyed a 0% corporate income tax last year.

Companies - Fri, July 11, 2025 | 8:00 am GMT+7

Intel’s 20 years in Vietnam: $1.5 bln invested, 4 bln chips produced

Intel’s 20 years in Vietnam: $1.5 bln invested, 4 bln chips produced

U.S. chip maker Intel has invested over $1.5 billion in its nearly 20 years in Vietnam and exported more than 4 billion products, contributing over $100 billion to Vietnam’s export revenue.

Industries - Thu, July 10, 2025 | 10:05 pm GMT+7

HCMC’s new master plan should prioritize breakthrough growth in finance, high technology, logistics: expert

HCMC’s new master plan should prioritize breakthrough growth in finance, high technology, logistics: expert

Ho Chi Minh City should promote university-oriented urban models and innovation ecosystems built on the “quadruple helix” framework - collaboration among the government, universities, businesses, and the community.

Economy - Thu, July 10, 2025 | 9:42 pm GMT+7

UAE tech firm G42, Vietnamese partners plan $2 bln hyperscale data center in southern Vietnam hub

UAE tech firm G42, Vietnamese partners plan $2 bln hyperscale data center in southern Vietnam hub

The United Arab Emirates's (UAE) state-backed firm G42 plans to partner with Vietnamese companies to develop a $2 billion hyperscale data center in Vietnam's southern hub Ho Chi Minh City.

Industries - Thu, July 10, 2025 | 4:22 pm GMT+7

Petrovietnam rakes in $19.5 bln in H1 revenue

Petrovietnam rakes in $19.5 bln in H1 revenue

State-owned Petrovietnam reported total revenue of VND510 trillion ($19.5 billion) in the first half of this year, driven by strong production performance.

Companies - Thu, July 10, 2025 | 4:03 pm GMT+7

Sustained momentum seen across all Vietnam's real estate sectors: Knight Frank

Sustained momentum seen across all Vietnam's real estate sectors: Knight Frank

Ho Chi Minh City and Hanoi saw solid office leasing and apartment market rebounds after the Lunar New Year holiday (Tet). Industrial land surged with record H1 supply and strong absorption, underscoring Vietnam's appeal, while eased visa policies and new direct international flights continue to support 5‑star hotels in both the cities, write Knight Frank analysts.

Real Estate - Thu, July 10, 2025 | 2:37 pm GMT+7

Vietnam's maritime heavyweight VIMC to expand container port services, bulk cargo transport

Vietnam's maritime heavyweight VIMC to expand container port services, bulk cargo transport

Vietnam Maritime Corporation (VIMC) will increase revenue and profit via expanding operations in areas such as container port services, bulk cargo transport, and shipping of agricultural products and steel, leveraging existing infrastructure and fleet advantages.

Companies - Thu, July 10, 2025 | 2:15 pm GMT+7

Vietnam infrastructure spending surges 40%

Vietnam infrastructure spending surges 40%

Vietnam’s infrastructure spending surged 40% year-on-year in the first half of the year, fuelled by fast-tracked approvals of projects amid provincial mergers; legal reforms granting provinces more decision-making authority over project approvals; and the streamlining of disbursement processes, write chief economist Michael Kokalari and senior analyst Thai Viet Trinh at VinaCapital.

Consulting - Thu, July 10, 2025 | 11:56 am GMT+7

Phu Quoc enters Travel + Leisure’s top luxury destinations

Phu Quoc enters Travel + Leisure’s top luxury destinations

Phu Quoc’s presence in Travel + Leisure’s Asia-Pacific luxury travel rankings continues to affirm the island’s status as a world-class destination.

Companies - Thu, July 10, 2025 | 11:43 am GMT+7

July dividend wave hits Vietnamese market following AGM season

July dividend wave hits Vietnamese market following AGM season

Ending the 2025 AGM season, a series of Vietnamese companies have announced dates for finalizing the list of shareholders eligible for dividends in July.

Finance - Thu, July 10, 2025 | 11:07 am GMT+7