SEVT becomes first buyer under Việt Nam’s DPPA scheme

SEVT becomes first buyer under Việt Nam’s DPPA scheme

A landmark electricity deal marks a new step in Việt Nam’s clean energy transition as a global manufacturer becomes the first to buy renewable power directly from a producer through the national grid.

An overview of Samsung Electronics Vietnam Thai Nguyen Co Ltd (SEVT) in Yên Bình Industrial Park, Vạn Xuân Ward, Thái Nguyên Province. — Photo courtesy of the firm

Samsung Electronics Vietnam Thai Nguyen Co Ltd (SEVT) has become the first enterprise in Việt Nam to officially purchase renewable electricity through the country’s Direct Power Purchase Agreement (DPPA) mechanism, marking a major milestone in the development of the direct electricity market.

SEVT, a subsidiary of Samsung Electronics located in Yên Bình Industrial Park, Vạn Xuân Ward, Thái Nguyên Province, has completed negotiations and signed Việt Nam’s first DPPA contract conducted via the national power grid. The company has begun using renewable electricity to support its manufacturing operations.

Under the agreement, SEVT will secure around 70 GWh of solar power annually, equivalent to the electricity consumption of approximately 17,000 Vietnamese households based on estimates from Vietnam Electricity (EVN) and the General Statistics Office (GSO).

The project is expected to cut carbon emissions by about 46,000 tonnes of CO₂ each year.

The renewable electricity supplied to SEVT will be generated by Đức Huệ 2 Solar Power Plant, which has a designed capacity of 49 MWp/41.4 MWac. The facility, located in Tây Ninh Province, was developed by TTC Đức Huệ – Long An Power JSC.

The project is expected to contribute to increasing the share of renewable energy in Việt Nam’s national power mix.

During the negotiation and contracting process, global energy consultancy Schneider Electric acted as adviser to Samsung Electronics.

The agreement is the first completed commercial transaction since Việt Nam officially introduced the DPPA framework, showing that multinational manufacturers can procure renewable energy directly from private producers under the new mechanism.

Na Ki Hong, General Director of Samsung Vietnam, said: "Through this first DPPA agreement, we hope to contribute to the development of Việt Nam's renewable energy market while supporting global efforts to address the climate crisis."

The deal builds on Samsung Vietnam’s wider renewable energy strategy. In 2025, two other Samsung subsidiaries, Samsung Electronics Vietnam (SEV) in Bắc Ninh and Samsung Electronics HCMC CE Complex (SEHC) in Hồ Chí Minh City, expanded their use of clean energy through on-site rooftop solar projects.

Both units are now working to supplement their renewable supply through additional DPPA arrangements, further strengthening Samsung’s commitment to sustainable manufacturing in Việt Nam. 

Bizhub