In a recent report to the prime minister during a discussion with representatives of British businesses investing in Vietnam, Deputy Minister of Industry and Trade Nguyen Hoang Long stated that many private Vietnamese economic groups have submitted applications to start offshore wind power projects following the issuance of Resolution 68.

Deputy Minister of Industry and Trade Nguyen Hoang Long. Photo: VGP

Deputy Minister of Industry and Trade Nguyen Hoang Long. Photo: VGP

Given the interest from several large domestic corporations, the Ministry of Industry and Trade anticipates that Vietnam's first offshore wind power project will commence by the end of the year.

According to the adjusted Power Plan VIII, Vietnam aims to have 6,000 MW of offshore wind power by 2030 and 17,500 MW by 2035. By 2050, this capacity is projected to reach 113,000-139,000 MW.

In late February, the Ministry of Industry and Trade proposed delaying the development of offshore wind power until after 2030. This was due to the high initial investment cost, estimated at 60-70 billion USD, and the lack of any projects with approved investment plans at that time. However, the Standing Government requested the Ministry not to postpone the development of these projects.

At the same event, Deputy Minister Long encouraged British businesses to continue collaborating with Vietnam in this sector. The UK is a leader in offshore wind power, with a robust wind power supply chain. The cooperative relationship between the two countries in offshore wind power revolves around capital, technology, and training.

Regarding training, the Ministry of Industry and Trade requested the UK to continue supporting the Ministry's offshore wind power and energy training center in Vietnam. This is considered a crucial policy that contributes to improving the mechanisms and policies promoting the offshore wind power industry in particular and renewable energy in general.

In terms of technology, cooperation between the two countries is significant for technology transfer and exchange. The Deputy Minister expressed hope for continued collaboration, including partnerships with British universities.

Regarding capital, the establishment of an International Financial Center, which includes funds dedicated to policy implementation, is seen as a measure to attract investment in the energy sector, particularly offshore wind power, which requires substantial initial capital.

Concerning the Just Energy Transition Partnership (JETP) initiative, the UK's Ministry of Finance recently reaffirmed its commitment of 1 billion USD to support Vietnam.

Vietnam announced JETP in late 2022, along with the International Partners Group (IPG) comprising the UK, European Union, France, Germany, the US, Italy, Canada, Japan, Norway, and Denmark. The IPG pledged 15.5 billion USD in public and private finance over 3-5 years to support Vietnam's energy transition. The US has since withdrawn from this initiative.

Bao Bao