Entrepreneur magazine commented that, with great potential for solar power and ambitious green energy goals, Vietnam has many opportunities to become a global leader in renewable energy.
Trung Nam Group's renewable energy power complex invested in Thuan Bac district (Ninh Thuan).
On January 23, Entrepreneur magazine published an article stating that Vietnam's position as a regional center and "stronghold" of renewable energy is growing rapidly.
According to the Asian Development Bank (ADB), Vietnam is currently expecting GDP growth to recover at 6,5% by 2022. Therefore, electricity consumption has increased by more than 11% per year, rapidly. significantly more than the national GDP.
Meanwhile, the International Energy Agency (IEA) rates Vietnam as the second largest electricity user in Southeast Asia. Energy consumption in the region is one of the fastest growing in the world, with demand increasing at a steady 6% per year over the past 20 years.
In the context of domestic fossil fuel production not being able to keep up with demand, to avoid dependence on imported energy to operate the power system and climate change, the Vietnamese Government has shifted towards energy development. amount of regeneration.
Vietnam realizes that the need for green energy conversion is more urgent than ever. As one of the fastest growing economies in Southeast Asia, Vietnam has demonstrated its commitment to this initiative, especially when it comes to solar power.
According to the World Bank (WB), Vietnam has had extraordinary solar photovoltaic growth in recent times. This is just the beginning of the country's energy transition away from raw materials coal.
Vietnam's solar power capacity increased from 86 MW in 2018 to about 16.500 megawatts (MW) in 2020, putting Vietnam ahead of Thailand to become the ASEAN country with the largest installed solar power capacity. Furthermore, Vietnam is in the top 10 countries with the most installed solar capacity globally in 2020.
Solar power systems provide about 10,6 TWh of electricity in 2020, accounting for nearly 4% of total output. It is forecast that rooftop solar will account for about half of Vietnam's total solar capacity by 2030.
With a promising solar energy production environment, it will be difficult for international investors to ignore such lucrative investment prospects.
High solar power potential and ambitious green energy targets for 2050 give Vietnam every opportunity to become a global leader in renewable energy.
[International cooperation to promote green technology in renewable energy]
In the wind energy sector, Vietnam's climate and topography make renewable energy, especially wind power, a significant investment prospect. The compelling reason to establish wind energy projects in Vietnam is the largest wind resource in the region with a potential of 311 GW.
Vietnam's vast wind resources are thanks to the country's long and narrow geographical shape with more than 3.000km of coastline, including hills and mountains. According to the World Bank, more than 39% of areas in Vietnam have wind speeds greater than 6 meters per second (m/s), equivalent to a capacity of 512 gigawatts (GW). Vietnam has great potential, with 8,6% of land and water suitable for farms wind electricity great.
Market analysts believe that if the rapid expansion rate is maintained, recycled energy, Vietnam will move up further in the rankings, possibly surpassing countries such as Australia and Italy in terms of innovative and renewable energy development solutions.
The Vietnamese Government's commitment to increasing energy supply and significant public demand for better air quality are key drivers of Vietnam's remarkable growth in renewable energy. Besides, there are other basic factors such as legal and policy support from the government, including import tax rates (FiT), attractive tax incentives and land rental exemption./.
According to VNA