Siemens supports Vietnam to achieve sustainable energy mix
Siemens supports Vietnam to achieve sustainable energy mix
In the wake of sustainable energy in economic development, hundreds of senior government policy and decision-makers, business leaders, and energy specialists have gathered to discuss emerging challenges and solutions for a sustainable and efficient energy system for Vietnam.
The Ministry of Industry and Trade (MoIT), the German Embassy in Vietnam, and Siemens yesterday held the conference titled “Sustainable Energy—on the way to a low emission economy” amid the country's growing energy security challenges.
The event was a great opportunity to hear senior representatives from the Vietnamese government and the business sector share useful information about the global energy landscape with Germany as a reference, and about Vietnam’s Power Development Master Plan.
They also received an update on technological solutions available to support Vietnam on her way to achieve sustainable energy production and a low-emission economy. At the same time, they were able to participate in the panel discussion and open dialogues with respected panellists coming from a good mix of background featuring MoIT, German Embassy in Vietnam, Siemens, Vietnam Electricity Corporation (EVN), and PetroVietnam Power Corporation (PV Power).
Deputy Minister of Industry and Trade Hoang Quoc Vuong affirmed that energy security has always been regarded as a top priority in policy and strategy development for Vietnam’s energy sector.
"Vietnam has been mobilising all internal and external resources to serve the development of this important sector so as to ensure a reliable power supply with affordable prices in support of the national socioeconomic growth, optimise the efficient use of energy resources, as well as promote the use of clean and renewable energy. Remarkable efforts have also been on further enhancing the sector dialogue with all relevant actors to contribute to a more sustainable energy mix and a low-emission economy,” he added.
Vuong, however, admitted that Vietnam is facing many challenges and great pressure to ensure energy security amid growing demand. The country is shifting from an energy exporter to an energy importer. The country is expected to import around 17 million tonnes of coal, accounting for 31 per cent of the total coal demand for electricity production in 2020.
According to Nguyen The Hung, deputy director of MoIT's General Directorate of the Energy Planning Department, said that Vietnam has been reforming its energy policies and developing energy planning and development strategies towards increasing the portion of clean and renewable energy in the country's power system.
"The ministry has submitted to the government the proposal to increase the feed-in-tariff for wind-to-power plants to 8 US cents/kWh for onshore farms and 9 US cent/kWh for offshore farms from the current 7.8 US cents/kWh in a move to attract more projects in the future. “Vietnam aims to have a total wind power capacity of 800MW by 2020 and 6,000 MW by 2030," he added.
Hung, however, admitted that the price of renewable energy remains higher than traditional power generation models. Despite a number of supporting policies, Vietnam has attracted few wind-to-power projects. Up till now, the total wind power capacity is only over 100MW.
Echoing Hung's view, Nguyen Tai Anh, vice president of Vietnam Electricity (EVN), said that the challenge for Vietnam to develop renewable energy is the stability of wind and sunshine.
"Coal-fired power will remain the main source of energy in Vietnam in the future. The country plans to consume 130 million tonnes of coal in 2030. In the world, many countries also consume a large amount of coal for energy generation. For example, in the US, President Trump has decided to revive coal-fired power," he added.
Wolfgang Manig, Chargé d’Affaires of the Embassy of the Federal Republic of Germany in Vietnam, said: “Germany has supported Vietnam in its quest to increase renewable energy and energy efficiency for many years now, both through bilateral development cooperation and private sector engagement. Germany is willing to share experiences made in the energy transition. Together with strong partners like Vietnam, Germany is leading the way to decarbonising the economy, which, in the face of climate change, is an absolute necessity.”
Addressing the conference, Siemens regional president and CEO Armin Bruck said that in order to ensure a reliable power supply as well as to successfully optimise the efficient use of energy resources, while also addressing climate needs for continued decarbonisation, the highest levels of energy efficiency and the development of renewable energy sources, as well as an intelligent power grid and a higher share of distributed power generation are required.
"From fossil fuel to renewable energy, from centralised to distributed power, Siemens offers the products and solutions that are responding to the world’s energy and climate needs. We combine smart data with technology know-how to integrate digital and automation technologies, helping our customers optimise their energy operations and building the energy landscape of the future. Many of our advanced technologies have been used extensively in Vietnam and we certainly can do more to support Vietnam on their way to become an industrialised country and to achieve their sustainable development goals,” he emphasised.
