Although the initial investment cost for solar energy in
Vietnam is high but it brings in opportunities for cheaper
option than thermal power technology being used in Vietnam.
In other country, solar
power plants are competing fiercely with the thermal power plants running on
coal.
In Vietnam, Thien Tan
solar energy plant has been started to construct on 24 ha land in Quang Ngai
with capacity of 19.2 MW at investment of VND 800 bil. The Ministry of
Industry and Trade has also approved the investment project of Tuy Phong solar
energy plant on 50 ha land in Binh Thuan with capacity of 30 MW at investment
of VND 1,454 bil. This will open opportunities for renewable energy to
contribute to the effort of protecting the environment and curbing climate
change.
The solar energy is new
in Vietnam therefore the investment in this area is at very early stage.
However, the foreign investors have been increasingly interested in seeking
opportunities in investment in solar energy projects.
Similar to investment
in wind power
energy in Vietnam, one of the concerns for investors is the expected
increase in purchasing price from Electricity Vietnam Corporation, the party
whom purchase the electricity on Power Purchase Agreement (PPA).
Further, legal frameworks for promoting solar energy investment are
not yet finalized. Accordingly, the contribution ratio of renewable energy
in Vietnam is minimal. The Vietnam government has been
trying to put some effort to increase the renewable energy contribution to 5,6%
(in 2020) and 9,4% (2030).
To achieve this,
Vietnam government shall need to be consulted on plan to support the solar energy investment project in
Vietnam in tax, land, capital, power purchase agreement.
Investors would need to be consulted by local consulting firm on process,
procedures on investment policy, appraisal process, power purchase agreement,
and other steps to develop and execute an energy project in Vietnam to improve
the effectiveness of the investment in renewable energy.
ANT Consulting is here
to assist you from the outset; providing corporate intelligence, risk advisory,
management consulting services that assist market entrance, and ensure
efficient business start-up operation. Our services are as following:
We strive to save your
cost by guiding you towards economical solutions that comply with local
legislation and procedures. We support you through early logistic solutions and
carry you through as your business grows.
We aim to bridge the gap between international best practices and local
cultures and assist foreign companies and organizations entering Vietnam market
to overcome commercial and regulatory issues.
We could be reached at
email: ant@antconsult.vn or
tel: +848 3520 2779 . To learn more about us, please visit
www.antconsult.vn
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