Measures sought to increase localisation rate in wind, solar power development

Experts discuss wind and solar power development at the conference. — VNA/VNS Photo

HÀ NỘI — Experts sought measures to increase the localisation rate in wind and solar power development in Việt Nam during a conference in Hà Nội on Thursday, aiming to realise the Party and State’s orientations and policies regarding technology application, transfer and development in the energy industry.

Deputy Director of the Department of Technology Application and Development under the Ministry of Science and Technology Trần Thị Hồng Lan said that after Prime Minister Phạm Minh Chính announced the commitment to net-zero emissions by 2050 at the 26th UN Climate Change Conference (COP26), Việt Nam has taken specific, drastic and effective actions to achieve this goal, with the issuance of various relevant mechanisms, policies and strategies.

As a result, Việt Nam has become the most vibrant market in the Asia-Pacific region and led Southeast Asia countries in the field of wind and solar power development. By the end of 2022, the total power capacity of the entire system reached 79,250 MW, of which renewable energy sources contributed about 20,165 MW, accounting for 25.4 per cent, Lan noted.

However, the official held that the localisation rate of the supply chain as well as the engagement of Vietnamese firms in providing services to the wind and solar power industry remained modest.

Data showed that nearly 90 per cent of supplies for renewable energy projects in Việt Nam had been imported, mostly from China, Germany, India and the US, she said, stressing that the slow localisation of equipment and services in the renewable energy sector in Việt Nam was partly due to limited capacity in project assessment and development, poor infrastructure and dependence on foreign countries.

At the same time, the technological and production capacity of local firms had yet to meet requirements, while policies and mechanisms assisting the supporting industry in the renewable energy field were lacking and existing ones not adequate, she emphasised.

Deputy Ambassador of Germany in Việt Nam Simon Kreye highlighted that cooperation in energy and energy transition had been one of the priorities in the partnership between Germany and Việt Nam over the years.

The German Government had supported Việt Nam in the fields of green hydrogen and offshore wind power to help Việt Nam achieve the goal of net zero emissions as well as carbon neutrality, he said.

The diplomat said that localisation played a significant role in cutting the cost of renewable energy development. He underlined that the event was relevant in helping empower Vietnamese businesses to participate more deeply in the global value chain for wind and solar power products.

Besides the issue of localisation, participants at the conference discussed policies to support the research, transfer and development of wind and solar power technologies. —VNS