European-style 'balcony solar systems' debut in Vietnam

European-style 'balcony solar systems' debut in Vietnam

The German Development Agency (GIZ), in partnership with Phuc Khang Investment & Construction Corporation and several private-sector partners, launched a new solar power initiative in Ho Chi Minh City on June 19.

'Balcony Solar Systems for Vietnam' (BSS4VN) marks a significant milestone in promoting renewable energy solutions in Vietnam’s urban areas.

The project is a public-private partnership, with GIZ and a consortium of Vietnamese and international companies, including SolarBK, REEPRO, 365 Energy, Tona Syntegra Solar, Blueberry Energy, SmartSolar, and Phuc Khang Corporation.

Luu Thi Thanh Mau, CEO of Phuc Khang Corporation

'Balcony solar' refers to a small-scale solar energy system designed for installation on balconies, facades, roofs, or terraces of residential or commercial buildings. It typically consists of photovoltaic (PV) panels, inverters, and mounting structures

Luu Thi Thanh Mau, CEO of Phuc Khang Corporation, emphasised that balcony solar is more than just a technical solution, it forms part of the corporation’s broader strategy for green and sustainable living.

"Our collaboration with GIZ and international partners demonstrates our commitment to contributing to the national green growth strategy," said Mau.

Markus Bissel, project director of BSS4VN at GIZ, expressed pride in joining forces with Phuc Khang Corporation and other stakeholders on the initiative.

"Balcony solar systems have seen strong success and growth in Germany. We believe this model holds great potential in Vietnam, delivering tangible benefits to both residents and communities. GIZ is committed to working closely with our partners to bring balcony solar solutions into reality," he said.

Project partners at the launch ceremony of the initiative in Ho Chi Minh City on June 19.

German’s deputy consul general Christopher Scholl noted that while the Vietnamese government was issueing Resolution 68 to accelerate renewable energy adoption, Germany has also been fostering private sector partnerships with the private sector – from corporations to individual households – through the develoPPP scheme. BSS4VN is a clear demonstration of this direction.

“In Germany, the development of balcony solar systems has far exceeded initial expectations. In just a few years, over 800,000 systems have been officially registered, with an estimated 1 to 1.5 million systems installed unofficially. And these numbers continue to rise rapidly,” said Scholl.

"The motivation is not solely environmental awareness, people also want to save on energy costs. It’s an economically sound choice. And we strongly believe that Vietnam can achieve similar success. With its favourable natural conditions and growing electricity demand, small-scale renewable energy solutions like this are highly suitable and promising,” he added.

The first pilot installation under the BSS4VN scheme will be deployed at the Diamond Lotus Riverside building, a flagship green development by Phuc Khang Mitsubishi Corporation Holding (PKMC), a joint venture between Phuc Khang Corporation and the Mitsubishi Corporation.

The building is designed to meet Gold certification under both the Leadership in Energy and Environmental Design (LEED) standards (US Green Building Council) and LOTUS standards (Vietnam Green Building Council).

It boasts numerous environmental features, including a 44 per cent reduction in energy use compared to baseline standards, 35 per cent water savings through efficient fixtures, 21.6 per cent green landscape coverage to mitigate heat island effects, and 100 per cent recycled water use for irrigation.

These sustainable design elements enhance residents' quality of life and provide a strong foundation for implementing renewable energy solutions such as balcony solar power. The integration of balcony solar systems reflects a collective effort among project partners and Phuc Khang Corporation to support Vietnam’s goal of achieving net-zero emissions by 2050.

As a notable highlight, the initial balcony solar systems installed at selected apartments in Diamond Lotus Riverside will be fully funded by BSS4VN. This international support will allow residents to access clean energy without incurring upfront financial burdens.

Beyond direct benefits for residents, this initiative underscores GIZ’s confidence in Phuc Khang Corporation’s implementation capabilities and its commitment to sustainable development.

Each balcony solar system is expected to generate an average of 52 kWh per month, equivalent to roughly 17 per cent of the electricity needs of an average household in Ho Chi Minh City. With a projected payback period of six years or less, these systems will provide free electricity thereafter (as calculated in February).

Moving forward, balcony solar systems will also be rolled out in other housing types, such as townhouses and villas across Ho Chi Minh City.

The deployment at Diamond Lotus Riverside is not only a technical solution to energy savings but also a strategic step towards holistic sustainable development. From a community perspective, residents will directly benefit from localised clean energy sources, fostering a green, proactive, and environmentally responsible lifestyle.

The project also aims to raise public awareness and encourage collaboration among all stakeholders, from developers, residents, and building management teams, to international organisations like GIZ, in building a modern and sustainable residential community.

From an economic standpoint, balcony solar systems offer meaningful savings on household electricity bills and have strong potential for broader adoption. With affordable investment costs and straightforward installation, this model is well-suited for both high-rise and standalone housing, especially in rapidly urbanising Vietnamese cities.

From an environmental perspective, the use of solar energy contributes to reducing greenhouse gas emissions and supports Vietnam’s net-zero pledge. This initiative forms part of Diamond Lotus Riverside and Phuc Khang Corporation’s concrete efforts to align with the national strategy on green growth and energy transition.

VIR