VIETNAM – Realising Vietnam’s Renewable Energy Potential (Le Viet Phu and Thach Phuoc Hung, ISEAS)

• Vietnam’s electricity demand has been growing at more than 10 per cent per year for the last two decades, outstripping its annual GDP growth rate.
• The domestic supply of cheap electricity from hydropower and coal has largely fuelled Vietnam’s socio-economic development in the past. New sources of these are becoming increasingly scarce.
• Most coal-fired power plants are running far behind schedule, and are no longer favoured by international financial backers. They are highly polluting, leading to growing domestic opposition against their use.
• Vietnam possesses vast potential solar and wind resources, which can help diversify the country’s energy mix and contribute to economic growth.
• However, Vietnam needs to overcome many legal, human-resource and economic challenges to take advantage of these abundant renewable resources.