The government of Vietnam continues to expand its renewable energy capacity, with plans to reach up to 20 GW of new installed capacity by 2030. That’s a huge increase from 6 GW of renewable capacity as of 2017. The drive to increase green power generation is driven by a number of factors. In this article, we’ll explore why Vietnam is investing in renewable energy, and what that means for future growth.
Vietnam is Leaping Ahead of the Curve
With a population nearing 93 million people, and an economy that’s growing at a rate of 7.5%, it’s little wonder why renewable investment is increasing in Vietnam. The country is also seeing significant reductions in its greenhouse gas emissions. The government’s policies are encouraging the uptake of renewable energy, with a focus on increasing the capacity to provide electricity. The government’s push to increase renewable energy capacity has seen significant progress in a short space of time, but it’s worth looking into the factors that are driving this growth.
Economic Growth is Driving Investment
A quick look at Vietnam’s GDP growth rates provides an indication of the importance of renewable energy to the economy. Gross domestic product (GDP) grew by 4.8% in 2017 and is expected to grow at a similar rate in 2018. That’s incredibly positive growth for an economy of Vietnam’s size. It also helps to drive investment in renewable energy, with companies and governments alike looking to reduce costs and increase profits through the uptake of renewable energy. The government has identified its goal of increasing capacity to 20 GW of renewable energy by 2030 and is hoping to reach that goal through significant investments in both generation and transmission infrastructure.
Vietnam Is Seeing Serious Emission Reductions
Vietnam is also seeing impressive reductions in its greenhouse gas emissions. The country’s greenhouse gas reduction targets are clear, with a goal of reducing its emissions by 17% by 2020. To achieve that, the government has set a target of reducing its total greenhouse gas emissions by 9% in 2020, compared to levels in 2007. To reach that goal, the government has implemented a number of measures, including increasing the use of renewable energy to meet a large portion of overall electricity demand. Vietnam has also seen a significant increase in its installed renewable capacity. The 6 GW of renewable capacity as of 2017 is expected to rise to 19 GW by 2024.
Key Takeaway: Vietnam Recognizes the Benefits of Renewable Energy
Vietnam is seeing significant growth in its renewable energy capacity, and it’s also seeing significant reductions in greenhouse gas emissions and economic growth. The country has set clear goals to increase capacity to 20 GW of renewable energy by 2030, and it’s moving aggressively to reach those goals. This article will provide insight into the factors driving growth in renewable energy in Vietnam, and you’ll also discover what that growth means for future growth.
