Illustrative image (Source: khampha.vn) HCM City (VNA) – The development of renewable energy in Vietnam is hindered by inadequate mechanisms, limited technologies and a lack of funding, participants at a workshop in Ho Chi Minh City on March 2 said.
According to Nguyen Dinh Hiep, Vice President of the Vietnam Energy Conservation and Efficiency Association, Vietnam holds huge potential for renewable energy.
Solar energy is abundant with an average solar radiation of 5kWh/m2 per day across the country, while bio-mass output from agricultural production and waste are estimated at 10 million tonnes a year, he said.
Huynh Kim Tuoc, Director of the HCM City Energy Conservation Centre, said Vietnam has only the Law on Energy Efficiency while policies relating to renewable energy remain inadequate.
He pointed to the country’s reliance on imported equipment and products in the field and the lack of a research and training system in the sector, resulting in low management capacity.
Other participants said the high cost for renewable energy projects is also a big challenge to the sector.
Tuoc described renewable energy as the best solution to deal with the country’s energy shortage and called for stronger mechanisms and polices to lure more investors in this field.
The Vietnamese Government has adopted the National Strategy on Energy Development through 2020 with a vision towards 2030 which aims to raise the proportion of renewable energy from 3 percent of the total power generation output in 2010 to 5 percent in 2020 and 11 percent in 2050.
To meet these goals, the Government has outlined various preferential measures to support investors such as tax exemption for equipment import and land use for projects in this field.-VNA
