Vietnam: Six Ways to Keep Up the Renewable Energy Investment Success

Abstract

Vietnam is one of the most attractive destinations for renewable energy investment in ASEAN. In 2018, the country attracted USD 5.2 billion. In 2019, the share of renewable energy in the energy mix was 9%, thus already exceeding the 7% target set for 2020. If Vietnam is to continue its success and compete globally for investment in renewable energy, it will need to further develop its investment climate. The competition is heating up in this area, and an increasing number of countries have similar conditions and frameworks for renewable energy investment. Therefore, every improvement may help boost a market’s relative attractiveness. We propose six actions that can further enhance the attractiveness of Vietnam’s renewable energy sector for investment from both domestic and international investors: prioritise renewable energy in the governance system; streamline the regulatory framework; facilitate market entry for investors; improve transparency and communication about the investment regime; improve grid expansion planning; join IRENA to further build the capacity for renewable energy governance.