Vietnam to phase out aging coal plants under JETP roadmap

Vietnam will shut down coal-fired power plants that have operated for more than 40 years if they cannot be converted to cleaner fuels such as hydrogen or green ammonia, according to a newly approved national energy transition plan.

The plan, signed on Monday by Deputy Prime Minister Bui Thanh Son, updates the country’s implementation of the Just Energy Transition Partnership (JETP) in line with Resolution 70 and the adjusted power development plan VIII (PDP VIII), signaling a sharper shift away from coal as Vietnam balances decarbonization goals with energy security.

The scheme sets out a clear timeline for the gradual phase-out of coal power, with no new coal-fired plants to be built after 2030. Existing facilities that exceed 40 years of operation will be subject to closure if they are unable to switch to lower-emission fuels or meet national greenhouse gas reduction targets.

Renewable energy is expected to take on a much larger role in the country’s power mix. By 2030, renewables are projected to account for around 47% of total installed capacity, while coal power capacity will be capped at no more than 31 GW.

Over the longer term, the share of renewable energy in primary supply is expected to reach between 80% and 85% by 2050, marking a fundamental transformation of Vietnam’s energy system.

To support this transition, Vietnam plans to develop two major renewable energy industrial and service hubs in regions with strong natural potential, alongside investments in smart grid infrastructure, transmission systems, and technologies for producing green fuels.

The government also aims to mobilize financial and technical support from international partners under the JETP framework, which is designed to help emerging economies accelerate their shift to cleaner energy sources.

The plan places a strong emphasis on emissions control in the power sector, targeting a ceiling of 170 million tons of CO2 equivalent by 2030, with further reductions to around 101 million tons by 2050. These targets are contingent on international support and reflect Vietnam’s broader commitment to achieving net-zero emissions by mid-century.

Beyond power generation, the roadmap covers improving energy efficiency across key sectors including industry, agriculture, construction, transport, and services. Vietnam plans to introduce stricter technical standards and mandatory energy consumption benchmarks, backed by enforcement mechanisms, in an effort to reduce overall energy intensity.

Transport decarbonization is also a crucial component of the strategy, with initiatives to expand electric vehicle adoption, develop green fuels, and build out charging infrastructure nationwide. These efforts are intended to align the transport sector with the country’s net-zero ambitions while reducing reliance on fossil fuels.

Alongside infrastructure and policy reforms, Vietnam will prioritize the development of a skilled workforce in renewable and emerging energy technologies. With support from international partners, the country aims to build a pool of engineers and specialists capable of supporting the transition, positioning itself as a potential regional hub for clean energy development.