What’s driving Vietnam’s renewable energy boom?

Published onJanuary 15, 2021

In 2014, the installed capacity of non-hydroelectric renewable energy in Vietnam (such as solar, wind and biomass gasification) stood at 109 megawatts (MW), about one third of one percent of the country’s total installed capacity of 34,079 MW. At the time, Vietnam’s electricity mix was dominated by hydropower (46 percent), coal (29 percent) and natural gas (22 percent). By the end of 2019, wind and solar accounted for 5,700 MW of installed capacity, about 10 percent of the total supply…What is driving this renewable energy boom? The primary mover is Vietnam’s explosive rate of growth. According to the Asian Development Bank, Vietnam’s economy has grown at 6 percent or more every year since 2014, reaching 7 percent in 2018 and 2019. This rapid growth is driving up energy consumption at an extraordinary rate. The state-owned electric utility, Vietnam Electricity (EVN), has seen the amount of energy sold rise from 128.6 terawatt hours (TWh) in 2014 to 209.4 TWh in 2019. Consumption of electricity has been increasing at more than 11 percent per year, growing at a rate considerably faster than GDP. This is fueling a nearly insatiable demand for more electricity generation and investment.

Source: https://thediplomat.com/2021/01/whats-driving-vietnams-renewable-energy-boom/