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14th April 2026

Vietnam's energy sector seeks qualitative growth

Efficiency and sustainability are the focus as Vietnam energy sector seeks qualitative rather than quantitative growth.

Vietnam’s energy sector has moved beyond a phase of rapid expansion and is entering a period of deep, quality-driven growth. Rather than racing to add capacity, the market is now focused on operational efficiency and sustainability, marking a strategic turning point that will redefine what is considered the “lifeblood” of the economy.

According to the Ministry of Industry and Trade (MoIT), total installed power capacity as of the end of 2025 stood at approximately 87,600 MW. Of this, renewable energy sources (wind, solar, and biomass, etc.) accounted for some 24,453 MW, or 27.9 per cent. These figures indicate that renewable power is steadily establishing itself as a key pillar of national energy security and Vietnam’s commitment to achieving net-zero emissions by 2050.

Clean energy surge

Within the overall power mix, solar energy (both utility-scale and rooftop systems) remains the largest renewable source, with total capacity reaching approximately 17,200 MW as of the end of 2025. However, the most notable shift compared to the pre-2021 period is the strong transition from large-scale solar farms to self-consumption rooftop solar systems.

This shift stems from incentive policies introduced in late 2024 and early 2025, notably Decree No. 135/2024/ND-CP dated October 22, 2024, on rooftop solar for self-generation and self-consumption, and Decree No. 58/2025/ND-CP dated March 3, 2025, detailing provisions of the Law on Electricity on renewable and new energy development. While Decree No. 58 replaced Decree No. 135, it largely retains previous provisions while simplifying administrative procedures and improving accessibility for businesses and households.

Data from the MoIT reveals rapid growth in rooftop solar projects at industrial parks across northern, central, and southern Vietnam during 2024-2025. Total installed rooftop solar capacity at industrial parks has exceeded 3,200 MWp, with some 25 per cent of systems integrated with battery energy storage systems (BESS). Technical potential is estimated at over 40,000 MWp, with around 20,000 MWp likely achievable by 2030.

Notably, BESS integration is becoming a standard requirement in new projects, helping ease grid pressure during peak periods and minimize curtailment. Large-scale storage facilities in Ninh Thuan (now part of Khanh Hoa province) and Binh Thuan (now part of Lam Dong province) have helped address the mismatch between real-time demand and solar generation, allowing solar power to remain effective even after sunset.

Wind power - onshore and nearshore - had reached an estimated 6,000 MW as of the end of 2025. However, offshore wind has yet to see any commercial projects enter into operation, largely due to challenges related to marine spatial planning and survey licensing frameworks. Most large-scale projects remain in early-stage preparation or preliminary surveys. According to the Vietnam Energy Association, offshore wind will be “key” not only to achieving energy self-sufficiency but also to positioning Vietnam as a clean power export hub in ASEAN over the next decade via cross-border transmission lines.

A major driver of renewable energy growth in recent years has been the stable implementation of the Direct Power Purchase Agreement (DPPA) mechanism. The Electricity Authority of Vietnam at the MoIT reported that, as of early 2026, more than 60 DPPA contracts had been signed between clean energy developers (such as T&T, BCG, and Trung Nam) and multinational manufacturers (including Samsung, Apple, Heineken, and Google).

The growing preference among large FDI enterprises, particularly in technology and electronics, to use 100 per cent clean energy not only helps them meet international green certification standards but also fosters a more competitive market, reduces pressure on public investment, and alleviates the financial burden on Vietnam Electricity (EVN). The DPPA mechanism has effectively become a magnet for foreign capital inflows into large-scale wind and solar projects.

Unlocking transmission

From a regulatory perspective, the MoIT has identified the socialization of power transmission as a key policy priority for 2026. The operation of the 500 kV transmission line (Circuit 3) from Quang Trach (in Quang Binh, now part of Quang Tri province) to Pho Noi (in Hung Yen province) since mid-2024 has significantly alleviated transmission bottlenecks for renewable projects in central Vietnam and the central highlands.

According to operational reports from the National System and Market Operator (NSMO) and EVN, renewable energy curtailment rates (wind and solar) have dropped sharply, from peaks of 10-20 per cent during 2020-2022 to below 2 per cent by late 2024, thanks to improved transmission capacity.

This progress has strengthened investor confidence in the transparency and efficiency of Vietnam’s power system. Energy experts also agree that the shift from fixed feed-in tariffs to competitive bidding has brought renewable energy prices closer to conventional power costs, paving the way for a more equitable and transparent energy economy.

However, challenges remain. Despite rising installed capacity, the system still requires clearer pricing mechanisms for large-scale BESS to ensure grid stability. There is also a pressing need to accelerate the development of a high-quality domestic workforce to gradually replace foreign experts in operating and maintaining complex offshore wind projects. In addition, the planned launch of a domestic carbon credit market in 2028 will require robust systems for measurement and certification of renewable energy projects.

At this stage, Vietnam’s renewable energy sector has moved beyond its volatile early phase and is entering a period of stable, in-depth development. The combination of flexible government policies, support from industry associations, and sustained FDI inflows is creating a promising green energy ecosystem. At this pace, Vietnam is well positioned to achieve the medium-term targets of the revised National Power Development Plan VIII in 2021-2030, with a vision to 2050 (PDP8), ahead of schedule, laying a solid foundation for a green industrial transformation.

Renewable energy is no longer a stopgap solution and has become a core driver of economic growth, enhancing national competitiveness and reinforcing Vietnam’s credibility in global climate action efforts. While challenges remain, strong government commitment and business alignment are making a clean, self-reliant energy future increasingly tangible.

Source: Huyen Vy

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ThaiGroup plans $4.9 bln tourism-resort complex in northern Vietnam

12th May 2026

Vietnam’s multi-sector corporation ThaiGroup plans to implement a VND128 trillion ($4.86 billion) tourism and resort complex in the northern province of Ninh Binh, home to the UNESCO-recognized Trang An scenic landscape complex, later this year.

The project is expected span more than 1,000 hectares and include between 15,000 and 20,000 hotel and resort rooms, significantly expanding accommodation capacity in Ninh Binh.

ThaiGroup said the project aims to diversify the province’s tourism offerings beyond traditional heritage tourism by adding large-scale entertainment, leisure and nighttime economy attractions designed to encourage visitors to stay longer.

The company expects the average tourist stay in Ninh Binh could increase to four-five days once the complex is operational.

The firm said the project is intended to help reposition Ninh Binh as an international destination for tourism, entertainment and experiential travel rather than solely a cultural and heritage site.

It estimated that the development may contribute over VND35 trillion ($1.33 billion) in land-use fees to the state budget.

To support the project’s planning and design, ThaiGroup has partnered with U.S.-based architecture and urban planning firms Populous and Skidmore, Owings & Merrill (SOM).

Ninh Binh, located about 90 kilometers south of Hanoi, has emerged as one of Vietnam’s fastest-growing tourism destinations in recent years, benefiting from its UNESCO-recognized Trang An scenic landscape complex and limestone mountains. The province is also home to Bai Dinh Pagoda – one of the largest Buddhist temple complexs in Southeast Asia.

After an administrative merger with neighboring Ha Nam and Nam Dinh provinces last July, Ninh Binh province now spans 3,642 km2 with a population of over 4.4 million people.

According to the provincial tourism watchdog, Ninh Binh welcomed nearly 9.9 milion tourist arrvials in the first quarter of 2026, including one million foreign visitors.

ThaiGroup, formerly known as Xuan Thanh Group, was founded in 1976 by businessman Nguyen Duc Thuy, also known as “Bau Thuy.” It initially operated in construction and cement production before expanding into real estate, transportation, insurance and financial services.

Samil Pharmaceutical expands manufacturing footprint in Vietnam

12th May 2026

VOV.VN - The Republic of Korea’s Samil Pharmaceutical is expanding its operations in Vietnam to reduce production costs and seek new growth opportunities.

The move comes as the company’s Chairman Heo Seung Beom increases his shareholding to support the company’s third-generation leadership transition.

Established in 1947, Samil Pharmaceutical is widely known in the Republic of Korea for its children’s antipyretic medicine Brupen. It also manufactures and markets pharmaceuticals and nutraceuticals including Libact, Foributin and Monoprost.

Under its strategic shift, the company is increasingly focusing on overseas production. In 2022, Samil Pharmaceutical completed a contract development and manufacturing organisation (CDMO) facility in Vietnam specialising in ophthalmic products.

The plant spans about 24,800 square metres and has an annual production capacity of 330 million eye-drop units.

The company aims to take advantage of lower labour costs in Vietnam to strengthen its price competitiveness. However, the facility has not yet entered full-scale commercial production, as it awaits Good Manufacturing Practice (GMP) approvals in key target markets.

Following GMP certification from Vietnamese authorities in 2024, Samil Pharmaceutical is now seeking approval from the RoK’s Ministry of Food and Drug Safety in the second half of this year. The company said the approval process is expected to take around two to three months.

The unit prices under this Contract shall remain unchanged throughout the contract execution period

12th May 2026

Việt Nam spent approximately US$2.93 billion importing nearly 3.37 million tonnes of petroleum products in the first quarter of 2026, an increase of 77.8 per cent in value and over 44 per cent in volume compared to the same period last year.

HÀ NỘI — Việt Nam's energy imports have increased sharply in the first three months of 2026, reflecting a rapid recovery in domestic consumption demand along with pressure to secure supply in the face of geopolitical instability and global energy price fluctuations.

Data from Việt Nam Customs shows that the country spent approximately US$2.93 billion importing nearly 3.37 million tonnes of petroleum products in the first quarter of 2026, an increase of 77.8 per cent in value and over 44 per cent in volume compared to the same period last year.

Aside from refined petroleum products, many other energy products also recorded a sharp increase, including coal imports, which rose by 76.4 per cent to nearly $2.8 billion, and crude oil, which surged by 381 per cent to $2.4 billion.

In the first half of April, the upward trend in imports continued, with import value of crude oil and petroleum products approaching $1.25 billion.

Experts attributed the sharp increase in energy imports this year to the rebound of domestic consumption in the wake of a recovered industrial production. The steel, cement, chemical, thermal power and transportation sectors have all recorded higher fuel consumption compared to the same period last year.

Meanwhile, domestic energy supply has not met demand. Domestic crude oil production has been declining for many years due to major fields entering a natural depletion phase.

At the same time, the country's two main refineries, Dung Quất and Nghi Sơn, although operating, are still insufficient to fully meet market demand, especially during periods of significant global oil price fluctuations.

Another factor causing the surge in energy imports was the impact of global geopolitical instability. Conflict in the Middle East in the first quarter caused international oil prices to surge at times, leading to escalating energy import costs. According to the Ministry of Industry and Trade, key businesses have had to significantly increase imports since March to ensure domestic supply and maintain safe inventory levels.

Experts forecast that the trend of sharply increasing energy imports will continue for the next few years as the economy maintains its high growth target, while many gas-fired power, petrochemical and heavy industry projects are put into operation. This will put a significant pressure on trade balance as well as national energy security strategy.

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