Despite the Government's push to develop wind power, Vietnam has onlythree plants that use this alternative source of energy. It is said thatthe country lacks experts in the field and prices remain low.
"Thecurrent wind power buying price (set by the Government) of 7.8 cents[US dollar], which includes 1 cent subsidised by the Government, is thelowest price for this source of energy in the world," said Bui VanThinh, Vice Chairman of the Binh Thuan Wind Energy Association in thecentral province of Binh Thuan.
Thinh spoke at a workshop on wind power development held in Ho Chi Minh City on April 17.
Thelow prices paid by Electricity of Vietnam, the sole buyer of electricalpower sources in the country, is the biggest challenge for theindustry, besides high production costs, lack of financial resources, ashortage of skilled engineers and an underdeveloped support industry,Thinh said.
"With a 3,000 km-long coastline, Vietnam has anoverwhelming advantage for the development of wind power compared withother countries in Southeast Asia," he said.
To meet its economicdevelopment, the country is in dire need of more energy sources as itseeks to depend less on fossil fuels. In addition, there are fewer sitesfor new hydropower plants, Thinh said.
The Government's renewable-energy development plan targets wind power capacity of 1,000MW in 2020 and 6,200MW in 2030, he said.
Policieson price subsidies, taxes and lending incentives for wind powerprojects have been created, but some investors remain skeptical.
Adirector of a Hanoi-based company, who has an investment license tobuild a wind power project in Binh Thuan province, said he had not evenbegun the project because Government support policies had not metinvestors' expectations.
"Investors would bravely carry out their projects if the buying price for wind power was more than 10 cents," he said.
DrPushkala Lakshmi Ratan, regional vice president of renewable energy andindustry services for TUV SUD Asia Pacific, said that global prices forrenewable energy were almost always higher than conventional powerbecause the starting capital for wind farms was expensive.
The governments of many countries have provided incentives to encourage the development of this kind of green energy, she said.
SathishKumar Somuraj, General Director of TUV SUD Vietnam, said, "Manygovernments around the world are reducing carbon emissions by turning towind power as a key component of their clean energy mix. Vietnam isdoing the same."
At the workshop on April 17, TUV SUD signed aMemorandum of Understanding with the association in which it will offertechnical support for the association and its members' wind powerprojects in Vietnam.
The two parties have also agreed to organise public workshops for Vietnamese wind-power related businesses.
Theobjectives of this partnership are to develop Vietnam's nascent windpower industry and further reduce the country's dependency onconventional energy sources, he said.
With its experience, TUVSUD can support the wind power industry in Vietnam to achievesustainable growth and minimize risks for the industry to ensure thatthe project is gaining maximum returns with minimum risks.
BinhThuan, the national wind power leader, has set a target to generateabout 700 MW of wind power by 2020, and 2,500 MW by 2030, Thinh said.
Companies have registered to invest in 15 wind power projects, with a total capacity of 1,182 MW in the province, he said.-VNA
"Thecurrent wind power buying price (set by the Government) of 7.8 cents[US dollar], which includes 1 cent subsidised by the Government, is thelowest price for this source of energy in the world," said Bui VanThinh, Vice Chairman of the Binh Thuan Wind Energy Association in thecentral province of Binh Thuan.
Thinh spoke at a workshop on wind power development held in Ho Chi Minh City on April 17.
Thelow prices paid by Electricity of Vietnam, the sole buyer of electricalpower sources in the country, is the biggest challenge for theindustry, besides high production costs, lack of financial resources, ashortage of skilled engineers and an underdeveloped support industry,Thinh said.
"With a 3,000 km-long coastline, Vietnam has anoverwhelming advantage for the development of wind power compared withother countries in Southeast Asia," he said.
To meet its economicdevelopment, the country is in dire need of more energy sources as itseeks to depend less on fossil fuels. In addition, there are fewer sitesfor new hydropower plants, Thinh said.
The Government's renewable-energy development plan targets wind power capacity of 1,000MW in 2020 and 6,200MW in 2030, he said.
Policieson price subsidies, taxes and lending incentives for wind powerprojects have been created, but some investors remain skeptical.
Adirector of a Hanoi-based company, who has an investment license tobuild a wind power project in Binh Thuan province, said he had not evenbegun the project because Government support policies had not metinvestors' expectations.
"Investors would bravely carry out their projects if the buying price for wind power was more than 10 cents," he said.
DrPushkala Lakshmi Ratan, regional vice president of renewable energy andindustry services for TUV SUD Asia Pacific, said that global prices forrenewable energy were almost always higher than conventional powerbecause the starting capital for wind farms was expensive.
The governments of many countries have provided incentives to encourage the development of this kind of green energy, she said.
SathishKumar Somuraj, General Director of TUV SUD Vietnam, said, "Manygovernments around the world are reducing carbon emissions by turning towind power as a key component of their clean energy mix. Vietnam isdoing the same."
At the workshop on April 17, TUV SUD signed aMemorandum of Understanding with the association in which it will offertechnical support for the association and its members' wind powerprojects in Vietnam.
The two parties have also agreed to organise public workshops for Vietnamese wind-power related businesses.
Theobjectives of this partnership are to develop Vietnam's nascent windpower industry and further reduce the country's dependency onconventional energy sources, he said.
With its experience, TUVSUD can support the wind power industry in Vietnam to achievesustainable growth and minimize risks for the industry to ensure thatthe project is gaining maximum returns with minimum risks.
BinhThuan, the national wind power leader, has set a target to generateabout 700 MW of wind power by 2020, and 2,500 MW by 2030, Thinh said.
Companies have registered to invest in 15 wind power projects, with a total capacity of 1,182 MW in the province, he said.-VNA
