Sydney (VNA) – Vietnam possesses the fundamental conditions to become a very strong independent fuel and energy country, but it needs clear long-term targets and stable policy commitments to fully realise this potential, an Australian energy expert has said.
Speaking to the Vietnam News Agency (VNA)'s correspondent in Sydney amid the ongoing conflict in the Middle East that is disrupting global oil and gas supplies, Jarrod Leak, Chief Executive Officer of the Australian Alliance for Energy Productivity (A2EP), noted that Southeast Asia and the broader Asia–Pacific region remain highly exposed to geopolitical risks due to their heavy reliance on fuel imports from the Middle East.
According to Leak, the risks are both real and increasing. However, reducing fuel demand is not an ideal solution, as it could negatively affect jobs and livelihoods. Instead, countries should focus on improving efficiency and accelerating fuel diversification while strengthening domestic energy resilience.
Sharing Australia’s experience in maintaining energy and fuel security, Leak said the country is generally well positioned thanks to its exports of liquefied natural gas (LNG) and coal, though vulnerabilities remain in liquid fuel supply, particularly diesel.
Australia is currently adopting a cautious and measured approach aimed at preventing public panic while exploring alternative solutions. Measures under consideration include encouraging carpooling and expanding public transport usage, although their impact on fuel demand may be limited. Fuel rationing is also being discussed as a potential contingency measure if supply disruptions persist.
Regarding the long-term impact of recent global developments on energy transition strategies, Leak believed countries will increasingly embed electrification into their energy systems, supported by solar and wind power, battery storage, and bioenergy. Governments are recognising that supply disruptions may recur and therefore require more decentralised energy systems and stronger fuel security.
In Australia, demand for electric vehicles (EVs) has surged, with showrooms experiencing strong consumer interest as buyers accelerate the shift toward cleaner transport. Leak expected this trend to continue, contributing to faster EV adoption.
Industrial producers are also expected to expand on-site energy solutions, such as rooftop solar installations and bioenergy systems, which could fundamentally reshape how countries secure fuel supplies.
Leak emphasised that electrification and bioenergy will define the future of energy systems. To maximise benefits, Vietnam should establish clear targets alongside long-term policies and support programmes that provide certainty for investors and industry.
Policy stability, he said, is essential. Australia achieved major progress more than two decades ago by setting renewable energy targets and implementing a world-class rooftop solar programme, helping drive large-scale energy transformation. The country is now working to maximise its bioenergy resources as well.
Leak assessed that Vietnam holds significant advantages, including abundant solar and wind resources supported by hydropower and battery storage, a growing electric vehicle industry, electrification-ready industrial sectors, and substantial biomass and bioenergy potential.
He added that electrification can significantly reduce operating costs, as electric vehicles and electrified industrial facilities are far cheaper to run, making the long-term outlook highly promising if stable policies and strategic targets are maintained./.
