Solar power in breakthrough opportunities

At the workshop there was presented a latest study about the investment opportunities in Vietnam implemented by GIZ with 6 concrete cases on the roof solar power systems.

The workshop “Solar power in Vietnam: The ground solar power system and compensation mechanism in solar power production in breakthrough opportunities”.  Ho Chi Minh City, Sept.12, 2016.

The results of the case study show that Vietnam is a new solar power markets with a lot of opportunities for German solar power companies.

Mr. Peter Cattelaens, the business and operation Manager of GIZ Energy Support Program in Vietnam said: “German solar power companies can grasp attractive investment opportunities in Vietnam. The project developers, business and operation managers, equipment suppliers, consultants and policymakers will be the necessary resources to participate in promoting solar power market growth in Vietnam”

Solar energy development potential in Vietnam is very large. The solar energy source with an average radiation of 4-5 kWh/m2/day distributed on a broad sphere in the most locals of the central and southern Vietnam, equivalent to that in the regional solar energy developed markets as China, Thailand, Philippines, or Spain, Italy…in Europe as well.

Vietnamese Government has realized this potential and set a target to strengthen electricity production from the renewable energy in general and solar energy in particular. The target is to increase solar power capacity from 7 MW in middle 2016 to 850 MW by 2020, 4000 MW by 2025 and 12,000 MW by 2030.

To achieve this target, the Government is now compiling legal mechanisms to support solar power development. The first draft on solar power purchase tariffs was published in 2015 and adjusted in the first half of 2016 includes a price of 11.2 UScent/kWh for solar power plants connected to the national power grid and 15 UScent/kWh for solar power systems on the roofs with the application of “net metering” credit mechanism.

A number of the other support instruments is being also prepared as import tax exemption, preferential mechanism for land rent and business income tax decrease…

Besides, in some localities as Ho Chi Minh City, the authority was and is deploying the pilot projects and finance support programs to promote solar power development. Up to now, in Vietnam there has been set a total solar power capacity of 7 MW, among which 2 MW on the roofs. More than a half of the total capacity has been set within one year back through the solar energy support policy from the central to local levels.

At present, in Vietnam there several ground solar power projects with a total capacity of about 500 MW are developed with the different stages and the first of them is already in construction process.

The initiative of the German Ministry of Economy and Energy “Energy solutions - Made in Germany” is effectively supporting solar power projects in Vietnam and connecting cooperation between Vietnam and German businesses.

The seminar was also a opportunity for German side to introduce its products and services to more than 150 companies and representatives of Vietnamese side.

Among the German delegates coming to Vietnam this time, there were the representatives of 6 solar power companies which pay attention to potential of solar power market in Vietnam, especially to investment opportunities in solar power systems on the roofs.

On this occasion, the German delegation including companies: IBC Solar AG, M+W Group GmbH, Droege Energy GmbH, CARERA Solar/Hydro UG, ILF Consulting Engineers GmbH and Syntegra Solar International AG had an opportunity to meet the representatives of authorities, enterprises and potential investors of Vietnam. The delegation visited DBW Garment plant in Long Hau industrial zone (Long An province), where there is one of the newest commercial solar power system on the roof - a typical example of German solar power technology in Vietnam.  

VietnamEnergy.vn