Green Energy Collaboration Flourishes: China and Vietnam Foster New Energy Partnership
China and Vietnam collaborate on wind power, solar energy, and EVs. Chinese companies invest in Vietnam's wind power sector. Phu My Solar Power Plant in Vietnam is a cornerstone of the nation's energy plan.
Both nations acknowledge the vast potential of renewable energy sources and the urgency to combat climate change, leading them to embark on ambitious clean energy ventures. This collaboration has notably advanced wind power, solar energy, and electric vehicles (EVs).
A pivotal focus of the China-Vietnam new energy partnership is wind power. With extensive coastlines and abundant wind resources, both countries offer ideal conditions for wind energy generation. Leveraging their technological expertise and cost-effective solutions, Chinese companies have been actively investing in Vietnam's wind power sector.
Since the installation of the first Chinese wind turbine in central Vietnam's Ninh Thuan province in late 2020, China's wind power technology presence in Vietnam has been steadily expanding. Vietnam has emerged as the principal export destination for Chinese wind turbines, with multiple wind power projects getting Chinese financing.
The Phu My Solar Power Plant, a massive 330-megawatt project, sits proudly in Vietnam's Binh Dinh province. This substantial project is central Vietnam's largest solar power station and plays an important part in the country's National Power Development Plan 7. The facility, with its strategic location and enormous capacity, is a crucial actor in Vietnam's transition to a sustainable energy future.
The Phu My plant, built by the Power Construction Corporation of China, is more than just a power generation facility. Its design is forward-thinking, with intentions to expand into complementary energy areas such as energy storage solutions, clean hydrogen and ammonia manufacturing, and even seawater desalination utilising renewable energy. These ambitious projects highlight the plant's potential as a multi-purpose renewable energy hub.
Solar energy is another important area of collaboration between China and Vietnam. Both countries have plenty of sunshine, making solar power a viable alternative for renewable energy creation. Chinese solar panel producers, renowned for their efficiency and cost, have built a strong presence in the Vietnamese market.
Since 2014, Chinese solar power businesses have been expanding their industrial chains in Vietnam, with over a dozen companies investing more than $2 billion to construct Vietnam's largest solar power industry cluster.
Vietnam is experiencing a substantial increase in electricity demand, driven by strong economic growth. To meet this growing energy demand, the country is increasingly turning to its neighbours for power imports. Le Van Luc, deputy head of the Electricity and Renewable Energy Authority, predicts that annual electricity imports from China and Laos will increase from 1,000 MW to 3,000 MW by 2025, and to 5,000 MW by 2030.
Despite its reliance on imports, Vietnam confronts hurdles in the domestic power generation sector. The country has practically exhausted its hydroelectric potential, with the majority of large and medium-sized hydropower plants currently functioning. As a result, hydropower's contribution to total electricity supply is predicted to fall to 12.4 percent by 2030, worsening the current power supply crisis.
Compounding the matter, power plant development in Vietnam has been beset by delays. The total capacity of power sources planned to be operational between 2016 and 2030 is roughly 78,300 MW, which is more than 17,500 MW less than the updated national electricity development plan.
China and Vietnam are working together to increase the adoption of Electric Vehicles (EVs) in order to overcome the issues and promote sustainable transportation. Both countries have set high targets for EV penetration, acknowledging the environmental and economic benefits of electric transportation. This collaboration includes investments in charging infrastructure and battery technology to support the rapidly expanding EV market.
The electric vehicle cooperation between China and Vietnam is rapidly altering Southeast Asia's transportation scene. Both countries are aiming for aggressive EV adoption targets as they work to move to cleaner and more sustainable sources of transportation. Taking advantage of China's experience in EV technology and manufacture, Vietnamese consumers are increasingly drawn to models that combine cost, performance, and range.
Furthermore, the relationship goes beyond car manufacture to the creation of an integrated EV ecosystem. Joint ventures are working to develop a robust network of charging stations throughout Vietnam, guaranteeing EV owners have quick access to charging facilities. Additionally, China's proficiency in battery technology is being utilised to enhance Vietnam's EV capabilities, aiming to establish a domestic battery supply chain and reduce reliance on imports.
As the partnership between China and Vietnam in the EV sector deepens, it is expected to drive substantial economic growth, create employment opportunities, and enhance air quality. By combining China's technological advancements with Vietnam's expanding market, the two countries are poised to emerge as regional leaders in electric mobility.
The collaboration in new energy between China and Vietnam underscores the strengthening ties between the two nations. By amalgamating China's technological prowess with Vietnam's market potential, significant progress is being made towards a sustainable and low-carbon future.
China and Vietnam collaborate on wind power, solar energy, and EVs.
Chinese companies invest in Vietnam's wind power sector.
Phu My Solar Power Plant in Vietnam is a cornerstone of the nation's energy plan.
Source: CGTN