Wind energy drives Vietnam's green economy ambition in South-East Asia - The Star
Published June 03, 2026
Wind Energy Fuels Vietnam's Green Economy Initiatives in Southeast Asia
Vietnam is positioning itself as a leader in renewable energy within Southeast Asia, with wind energy playing a pivotal role in its green economy ambitions. The country has set an ambitious goal to generate 20% of its energy needs from renewable sources by 2030, with wind energy being a significant contributor to this target.
According to the Ministry of Industry and Trade, Vietnam has the potential to harness approximately 160 gigawatts (GW) of wind energy, given its extensive coastline and favorable wind conditions. The government has already initiated several projects to tap into this potential, with over 4 GW of wind power capacity installed by 2022. This capacity is expected to increase significantly as more projects come online.
In 2020, Vietnam's wind power capacity was just 1.5 GW, indicating a rapid growth trajectory. The country’s wind energy sector is attracting considerable investment from both domestic and international stakeholders. In recent years, there has been a surge in foreign direct investment (FDI) in renewable energy projects, particularly from countries such as Denmark, Germany, and Japan, which are keen to participate in Vietnam's green transition.
The Vietnamese government has implemented various policies and incentives to stimulate the growth of renewable energy. A feed-in tariff (FiT) scheme was introduced to encourage investment in wind projects, offering a guaranteed price for electricity generated from wind sources. This initiative has resulted in a number of wind farms being developed across the country, particularly in coastal provinces like Binh Thuan and Ninh Thuan.
In addition to the FiT, the government is also working on a national power development plan that aims to integrate renewable energy into the national grid effectively. This plan includes the establishment of energy storage systems and grid upgrades to accommodate the increasing share of renewable energy. The transition to a more sustainable energy mix is crucial for Vietnam, which is facing growing energy demand as its economy continues to expand.
As of 2021, Vietnam's total installed power capacity reached approximately 69 GW, with renewable energy sources accounting for around 10% of the total. The government aims to increase this share to 30% by 2030, with wind energy being a key component of this strategy. With the right policies and investments, Vietnam is on track to become a significant player in the renewable energy sector in Southeast Asia.
One of the most notable projects contributing to Vietnam's wind energy capacity is the Trung Nam Wind Power Project in Ninh Thuan Province. This project, which became operational in 2020, has a total capacity of 150 MW and is one of the largest wind farms in the country. It is expected to generate approximately 500 million kilowatt-hours (kWh) of electricity annually, providing power to around 200,000 households.
Another significant project is the Bac Lieu Wind Farm, which was completed in 2013 and has a capacity of 99 MW. This farm has been instrumental in demonstrating the viability of wind energy in Vietnam and has paved the way for further investments in the sector. The Bac Lieu Wind Farm was also the first large-scale wind project in Vietnam and has set a precedent for future developments.
In addition to large-scale projects, Vietnam is also exploring the potential of offshore wind energy. The country’s extensive coastline offers substantial opportunities for offshore wind farms, which can generate higher capacity due to stronger and more consistent winds. The government has identified several locations for potential offshore wind projects, with the aim of developing a sustainable offshore wind energy industry in the coming years.
Vietnam's commitment to renewable energy comes in response to the global challenge of climate change and the need for sustainable development. The country has pledged to reduce its greenhouse gas emissions by 8% by 2030, with the possibility of increasing this target to 25% with international support. Transitioning to renewable energy is a crucial step in achieving these climate goals while also ensuring energy security and economic growth.
As Vietnam continues to develop its wind energy sector, challenges remain. Issues such as regulatory hurdles, land acquisition, and grid integration need to be addressed to ensure the successful implementation of renewable energy projects. The government is aware of these challenges and is actively working to create a more conducive environment for renewable energy investments.
The future of wind energy in Vietnam appears promising, with numerous projects in the pipeline and a growing interest from investors. The government’s proactive approach to promoting renewable energy, combined with the country's natural resources, positions Vietnam as a potential leader in the renewable energy landscape of Southeast Asia.
In conclusion, Vietnam's wind energy initiatives are integral to its broader green economy ambitions. With significant investments and supportive government policies, the country is making strides toward achieving its renewable energy targets. As it continues to harness its wind energy potential, Vietnam is set to play a crucial role in shaping the future of renewable energy in the region.