The Age Of Renewable Energy

Vietnam is among the emerging renewable energy markets in South East Asia, offering many opportunities for investment in clean energy, in particular, wind and solar. The country has a population of 95.5 million and its energy demand is forecasted to grow by 13% annually over the next four years with an energy policy that includes renewables in the mix.

According to the country’s revised Power Development Master Plan VII, Vietnam needs investment in the power sector amounting to $150 billion for the period up to 2030 in order to keep up with the nation’s annual growth of 10-12%. The renewable energy sector is considered a priority for investment with contributions set at 7% by 2020 and 10% by 2030New Regulatory Framework to Bolster Growth of Vietnam’s Solar Energy Sector

From October 2017, the circular No. 16/2017/TT-BCT of the Ministry of Industry and Trade (MOIT) on the Development of Solar Power Projects and the Power Purchase Agreement Form Applicable to Solar Power Projects officially came into force.

Vietnam’s biggest solar power plant built in Ninh Thuan

The construction of Vietnam’s biggest solar power plant with capacity of 168 MWp and total investment of roughly 4.4 trillion VND (US$194 million) commenced in the south central province of Ninh Thuan, which covers 186 hectares in My Son commune, Ninh Son district. Once operational in June 2019, the plant will supply over 200 million kWh of electricity to the national power grid annually.

This plant is the fourth of its kind to start construction in Ninh Thuan this year. It is expected to provide electricity for nearly 200,000 households and generate jobs for over 200 local workers. Local authorities asked the investor to speed up the implementation of project and ensure quality, labour safety, and environmental sanitation. Besides, they pledged to create the most favorable conditions according to legal regulations to support the investor to put the plant into operation as scheduled, he affirmed.Quang Tri approves two wind, solar power projects

The provincial authorities signed decisions approving two wind and solar power projects with total investment of over 2.7 trillion VND (US$120 million). Under Decision No.1250/QD-UBND, Tan Hoan Cau Corporation was allowed to carry out Huong Hiep 1 wind power plant project in Huong Hiep commune, the mountainous district of Dakrong.

With 12 wind turbines, the plant has a total capacity of 30MW, generating more than 126 million kWh of electricity per year on a site of nearly 8ha. The project costs over 1.55 trillion VND, valid for 50 years. The plant is being built from June 2018 to December 2020.  Under Decision No.1247/QD-UBND, the Licogi 13 JSC was allowed to build LIG-Quang Tri solar power plant in Gio Hai and Gio Thanh communes, Gio Linh district with a designed capacity of 49.5 MWp, generating 67,960 MWh of electricity each year. Costing 1.2 trillion VND, the project will be implemented from June 2018 to June 2019, using 58ha of land.

The southwestern province of Tay Ninh has granted investment licenses to five solar power projects worth over 14.3 trillion VND (US$629.9 million) in Duong Minh Chau and Tan Chau districts. The plants with a combined capacity of 560 MWp will be built on 20,620 hectares in the area of Dau Tieng reservoir. Their construction is set to commence at the end of this year.

The Dau Tieng 1 and 3 solar power plants are designed with the same capacity of 150 MWp and have respective investment of over 3.9 trillion VND (US$171.7 million) and 3.6 trillion VND (US$158.5 million). The Dau Tieng 2 solar power plant worth over 4.9 trillion VND (US$215.8 million) has a capacity of 200 MWp. Three projects were invested by Dau Tieng Tay Ninh Energy Joint Stock Company. The other projects were invested by Tri Viet Tay Ninh Joint Stock Company and Bach Khoa A Chau Tay Ninh Joint Stock Company with the same capacity of 30 MWp and investment of over 760 billion VND (US$33.4 million).In recent years, the Dau Tieng reservoir has played an important role in providing water for agriculture, industry and local daily activities. It holds great potential for solar energy production.

According to the Government’s targets, solar power is expected to become the main renewable energy source in the future, with installed capacity to be increased from 6-7 MW by the end of 2017 to 850 MW by 2020 (1.6% of the country’s power generation) and 12,000 MW by 2030 (3.3% of the country’s power generation).

Vietnam is among countries that enjoy the most sunlight in the world, with the Central Highlands and south central regions recording between 2,000 and 2,600 hours of sunshine every year, reported the Vietnam Clean Energy Association. Average solar radiation is 150 kcal/sq.m, about 2,000 to 5,000 hours per year.