Vietnam energy storage subsidies

How much do fossil fuel subsidies cost in Vietnam?

Fossil fuel subsidies per capita in 2019 in Vietnam equaled only US$3 compared with US$8 in Thailand, US$57 in Malaysia, and US$71 in Indonesia (International Energy Agency, 2021). Vietnam has also been doing relatively well with respect to the pace of fossil fuel subsidy reductions.

Is pumped storage hydropower suitable for Vietnam's energy system?

For a longer-term solution, energy storage is key to pursuing a higher share of renewable energy. Apart from expensive options such as hydrogen and carbon capture and storage, pumped storage hydropower can be considered suitable for Vietnam’s energy system, which still relies heavily on coal and hydroelectricity.

How can Vietnam improve its energy system?

Vietnam's energy system is in a state of transition too, with the government seeking to balance the need for economic growth with the need to reduce GHG emissions and increase renewables. Under the current scheme, the only options for further renewables development involve additional solutions such as storage.

Does Vietnam need market-based energy policies?

However, to meet the growing demand for lower-emission electricity, Vietnam needs market-based policies in order to build a favorable environment for expanding renewable energy.

What is Vietnam's energy policy?

The main principles of Vietnam’s energy policy in the field of renewable energy aim to: Gradually reduce reliance on fossil fuels, diversify the energy mix, increase national energy security, and protect the environment while ensuring sustainable development.

What is Vietnam's energy strategy?

This is the central framework for the entire energy sector in Vietnam, encompassing all sub-sectors such as coal, oil, electricity, renewable energy, and power market reform. The strategy identifies the need for a sufficient supply of energy to service projected developments in the national socioeconomic plan.