Vietnam is in the 9th position in solar energy with a 17.6 Gigawatt installed capacity as of 2021. Solar power accounted for 11 % of total electricity demand in 2022. This piece will focus on the Vietnamese government’s ambition concerning solar energy, five solar parks, and the leading companies in the solar energy sector. I will elucidate the key obstacles which hinder Hanoi’s ability to deploy the technology across the country.
Vietnam’s Power Development Plan 8 targets 30 to 39% of electricity from renewable sources by 2030 and an ambitious goal of 67.5% by 2050, a significant increase from the 12% recorded in 2022. The plan also aims to achieve carbon neutrality by the mid-century mark. To achieve high renewable energy penetration in electricity generation, it aims to install 12 Gigawatt of solar power and 6 Gigawatt of wind power by 2030.
Largest Solar Energy Projects:
- Trung Nam Solar PV Park I is in Ninh Thuan, developed and owned by Trung Nam Joint Stock. It has been developed in a single phase and commissioned in October 2020 with 450 Megawatt capacity.
- Dau Teing Solar PV Park is in Tay Ninh, owned and developed by B. Grimm Renewable Power 1 and Xuan Cau. Construction began in 2018, and commercial started in June 2019 with a 420-megawatt capacity.
- Loc Ninh Solar PV Park is in Binh Phuoc. The Engineering, Procurement and Construction Services was by Power China Zhongnan Engineering. It has been developed in a single phase and commissioned in March 2021 with 350 Megawatt capacity.
- Hong Phong 1A & 1B Solar PV Park is in Binh Thuan. The Engineering, Procurement and Construction Services was by Power Construction Corporation of China. Developed in a single phase and commissioned in 325.25 Megawatt capacity.
- The Trung Nam Solar PV Park, located in Ninh Thuan, is owned and developed by Trung Nam Solar Power. It was developed in a single phase and commissioned in June 2019 with a 258 Megawatt capacity.
- Song Giang Solar Power Joint Stock Company is based in Nha Trang city, Khánh Hòa province. It aims to exploit renewable energy sources such as solar and wind energy, geothermal power, and biomass.
- Vietnam Sunergy Joint Stock Company, headquartered in Nenh Town, Bac Giang Province, was founded in 2015. It develops devices used in solar panels, such as solar cells and photovoltaic devices.
- Green Wing Solar Technology, headquartered in Hoan Son Commune, Tiên Du District, Bac Ninh Province, was founded in 2015. The company specializes in constructing solar panels for residential, commercial, and industrial-scale parks.
- Hexagon Peak, headquartered in Ho Chi Minh City, was founded in 2019. They construct and operate rooftop solar PV and utility-scale solar power plants.
- Inpos, headquartered in Hanoi City, was founded in 2010. Their specialization lies in solar rooftop solutions, encompassing operations, maintenance and project implementation.
- The first obstacle is the insufficient capital and funding opportunities, and the high upfront costs of such projects make it harder to scale solar power to the levels needed to combat climate change.
- The second issue is the lengthy approval process for renewable energy projects. For example, it can take years to get approvals, which causes delays and increases project costs.
- The third challenge involves the shortage of human resource capability, as the increasing number of renewable energy projects necessitates a growing workforce for operations and maintenance.
Vietnam ranked 9th globally in solar energy with 17.6 GW capacity and targets 30-39% renewable electricity by 2030. Notable solar parks like Trung Nam, Dau Teing, and Loc Ninh and top players like Song Giang, Vietnam Sunergy and Green Wing Solar Technology are pivotal in this green evolution. However, challenges loom large, such as insufficient capital, prolonged approval processes, and a dearth of skilled human resources. Overcoming these hurdles is crucial for Vietnam to realize its ambitious goals and emerge as a sustainable energy powerhouse, contributing significantly to global environmental efforts.