The newly approved Power Development Plan for this decade heads up a charge to adhere to Vietnam’s strong commitments to net-zero, but there is still an enormous amount of work to be done.

The volume of electricity imports is small, mostly from China and Laos, according to the Ministry of Industry and Trade (MOIT).

Electricity imports from Laos and China accounted for just a modest part of the total electricity demand of Vietnam, Deputy Minister of Industry and Trade Dang Hoang An.

Many NA deputies raised the question of why Vietnam has to import electricity from Laos and China while 4,600 MWs of renewable energy are wasted and not allowed to connect to the national power grid.

While renewable energy sources are currently in surplus, the national power system in 2023 is at risk of experiencing electricity shortages due to extreme weather conditions and many hydropower plants reaching dangerously low water levels.

The newly approved Power Development Plan VIII for 2021-2030, with a vision to 2050, is designed to improve the country’s energy security and set out a roadmap for developing energy sources towards a green path.

The Vietnam Electricity Group (EVN) is negotiating to purchase more electricity from China and Laos, according to EVN General Director Tran Dinh Nhan.

Electricity of Vietnam (EVN) has repeatedly warned of electricity shortages, saying that hydropower reservoirs are exhausted.

Electricity of Vietnam (EVN) has repeatedly warned about possible electricity blackouts this summer because of expected large-scale drought. If so, alternate power cuts could prove to be unavoidable.

Like oil, prices of other energy products such as natural gas, liquefied petroleum gas and blended gasoline are expected to fluctuate heavily this year. The market will become less disruptive when macroeconomic conditions stabilize.

Despite looming concerns over a shortage of electricity this summer, many completed wind and solar power projects have yet to be connected to the national grid, given protracted pricing problems.

The Northern Power Corporation will buy electricity from China’s Guangxi Power Grid Company to ease the power shortage this summer.

Although Vietnam has committed to reducing net emissions to zero by 2050, the country is still building thermal power plants such as in Nghi Son, Thai Binh 2, and Van Phong.

Electricity of Vietnam (EVN) is buying electricity from different sources, including hydropower, coal-fired, wind power, solar power, gas turbines and imports.

The approval of National Power Development Plan VIII (Plan VIII) on May 15 has won loud applause from experts.

The objective of the PDP8 is to develop renewable energy sources for electricity generation to cover 67.7-71.5 per cent of the total by 2050.

Many hydroelectric reservoirs are experiencing critically low water levels while the hot summer season has just begun. The power sector has urgently suggested measures to cut down and save electricity during the challenging summer of 2023.

The plan needs US$134.7 billion of funding to develop new power plants and power grids between 2021 and 2030.

The Ministry of Industry and Trade (MoIT) plans to develop and propose policies for implementing the new power development pilot scheme, Power Development Plan VIII (PDP8), after obtaining the prime minister's request no later than mid-May.

Vietnam’s energy transition is facing challenges, especially as the transition is expected to ensure energy security, power supply, and reasonable costs.