Vietnam Economic Times March, 30 2026

Dear readers,

In order to achieve the net-zero emissions by 2050 target Vietnam committed to at COP26 in 2021, an energy transition - from traditional energy to renewable energy - has been identified as one of the most important and effective solutions and in line with global trends.

The revised National Power Development Plan VIII (PDP8), approved on April 15, 2025, under Prime Ministerial Decision No. 768/QD-TTg, identifies the maximum development of electricity sources from renewable energy (wind power, solar power, and biomass power, etc.) and continues to increase the proportion of renewable energy in the electricity source structure and electricity production.

Targets set include reaching a total onshore and nearshore wind power capacity of 26,066-38,029 MW by 2030, with total offshore wind power capacity to meet domestic electricity demand of 6,000 MW-17,032 MW (and expected to be operational in the 2030-2035 period), while aiming for 113,000-139,097 MW by 2050. Offshore wind power capacity for new energy production, meanwhile, is to reach some 15,000 MW by 2035 and about 240,000 MW by 2050, while the total capacity of solar power sources (including concentrated solar power and rooftop solar power, and excluding solar power sources under Clause 5, Article 10 of the Law on Electricity No. 61/2024/QH15), is to reach 46,459-73,416 MW by 2030, aiming for total capacity of 293,088-295,646 MW by 2050. By 2030, total biomass power capacity is to stand at 1,523-2,699 MW, electricity produced from waste and solid waste 1,441-2,137 MW, and geothermal electricity and other new energy approximately 45 MW.

The aim is for biomass electricity to hit 4,829-6,960 MW by 2050, electricity produced from waste and solid waste approximately 1,784-2,137 MW, and geothermal electricity and new energy some 464 MW. The revised PDP8 also sets a target of reaching a total capacity of hydropower sources of 33,294-34,667 MW by 2030, aiming for 40,624 MW by 2050.

These goals require Vietnam in general and its electricity sector in particular to mobilize a substantial amount of financial, technological, and human resources and to establish cooperative endeavors, joint ventures, and partnerships with foreign players, including private corporations and international organizations, with a central role played by the Just Energy Transition Partnership (JETP) that Vietnam and the International Partners Group (IPG), which includes G7 member countries, the EU, and other partners such as Norway and Denmark, established in December 2022 to mobilize capital and technology to help Vietnam transition from coal energy to green, low-carbon energy.

The recent EU-Vietnam Global Gateway Business and Investment Forum, with the theme “Investing together in a sustainable future,” organized by the Delegation of the European Union to Vietnam in collaboration with the Foreign Investment Agency at the Ministry of Finance and the European Chamber of Commerce in Vietnam (EuroCham) on March 24 in Hanoi, discussed on a host of key areas that act as “leverage” for Vietnam’s sustainable development, such as green transportation, energy transition (including the deployment of renewable energy, modernization of the power grid, energy storage, and improving energy efficiency), infrastructure connectivity, the dual transition (green and digital), and environmental, social, and governance (ESG) standards. The EU also announced an investment package of €560 million (around $645 million) at the Forum, in support of Vietnam’s energy transition and economic development.

As a result, the Forum has opened a potential opportunity for further cooperation between Vietnam and the EU in the former’s energy transition.

To further amplify the discussions surrounding the energy transition, our Cover Story in this edition focuses on the theme “Renewable energy with proposed development solutions from EU corporations,” providing an overview of renewable energy development in Vietnam and the potential for international cooperation, especially between Vietnam and the EU in offshore wind power projects and other renewable energy projects, based on the important foundation of the JETP.

Warmest regards

Dr. CHU VAN LAM
CHAIRMAN OF THE EDITORIAL BOARD