Vietnam Energy Transition Forum looks at trends in global power production

Director of the Ministry of Science and Technology’s Department of Technology Development and Innovation Nguyen Mai Duong said that Vietnam's electricity consumption is forecast to increase by about 15% in 2024, and electricity demand to grow about 8-10% a year in the coming years.

In addition to implementing concerted solutions and optimising existing energy supply, transmission, distribution and use systems, investing and developing new energy solutions is also an urgent need for Vietnam. Therefore, energy transition is not only an important task but also an essential factor to ensure energy security, protect the environment and promote sustainable socio-economic development, Duong stressed.

According to the official, the Party and State have issued a lot of important guidelines, mechanisms and policies to promote energy transition, gradually reduce dependence on fossil energy and increase the use of renewables, in which developing science, technology and innovation is one of the main solutions throughout the implementation process.

However, currently the proportion of renewable energy in the electricity industry remains relatively limited despite the huge potential, Duong said. The potential for developing renewable energy and energy efficiency has not been optimised, limited by policies, finance, and professional capacity. Grid connectivity of energy projects and stability of power transmission systems need to be improved, and investment costs are higher than average due to high technology and service prices.

At the forum, managers, experts, scientists and representatives of businesses discussed and shared the current status and development orientation of science, technology and innovation for energy transition in Vietnam, and global energy transition trends around the world.

Philipp Munzinger, Director of the German Agency for International Cooperation (GIZ)’s Energy Support Programme in Vietnam, forecast that solar and wind power will account for the majority of additional sources of electricity capacity in the context that electricity generation costs and electricity prices from renewable sources are becoming more and more competitive. He affirmed that research and innovation have been important driving forces for energy transition.

Representatives of several enterprises shared the successful application of the energy transition models in production and business activities, and made policy proposals to promote scientific and technological development to speed up energy transition in Vietnam.