Renewable Energy Facility - GET FiT Vietnam

active

The Vietnamese government has set ambitious expansion targets for renewable energies as part of its Power Development Plan VII revised (PDP) of 2016. However, the expansion is being slowed down by various barriers, above all by inadequate feed-in tariffs, which prevent wind and solar energy projects from being economically viable. The project aims to address these obstacles and thus promote private investment in renewable energies in particular. The aim of the project is to enable investments in grid-connected renewable energies through result-oriented premium payments to developers and operators. The premium payments close the gap between the production costs from the perspective of investors in RE systems and the official feed-in tariffs. In this way, the project contributes to the economic, ecological and socially fair provision and use of energy and strengthens the capacities of state and non-state actors in the energy sector to implement the goals and specifications of the Green Growth Strategy (GGS) and the Power Development Plan (PDP) (DC program objective). The recipient of the grant is the government of the Socialist Republic of Vietnam. The project sponsor is EVN, the state-owned energy supplier on behalf of the Ministry of Industry and Trade (MoIT). The investors who benefit from the premium payments are selected in a transparent public competition process with the support of an international implementation consultant. Co-financing by other donors (in particular the EU via the Asia Investment Facility) is being sought.