Vietnam encourages development of new energy
Vietnam is encouraging development and usage of new and recycled energy by funding studies, researches, trial manufacturing, development of typical case studies of new and recycled energy, said Hoang Trung Hai, deputy prime minister.
Speaking at the “Vietnam-France Economic and Financial Forum” held on November 17 and 18, the deputy prime minister said that Vietnam’s target in the upcoming time is developing and using domestic energy resources properly, efficiently; supplying sufficient energy with increasingly high quality and reasonable prices for socio-economic development; ensuring national energy security.
Vietnam will diversify various forms of energy investment and businesses; gradually establish and develop a competitive energy market; promote new and recycled energy resources in order to satisfy demand for fast, efficient and sustainable industry development and develop energy accompanied with environment protection.
The deputy prime minister hoped that with France’s efficient energy usage and development, French experts will cooperate with Vietnamese experts in order to have useful research results of sustainable energy development.
At the forum, French ambassador to Vietnam Hervé Bolot assessed that this is favourable time for the two countries to further promote cooperation, discussion of long-term strategies, identification of basic targets of sustainable energy development, efficient energy usage, proposals of proper measures for Vietnam within the framework of the 2010-2015 strategy.
Vietnam should find suitable criteria and raise capital to produce energy in order to meet increasing high demand of the country. The priority targets in the two countries’ cooperation are sustainable development, training for economic-commercial development, expansion.
The forum focused on such issues as impacts of energy policies on CO2 emission; electricity generation; energy efficiency and economic growth; finance raising and regulating for energy policies.
Vietnamese and French experts presented researches on medium and long-term challenges of energy policies; policies on combining fast economic development with environment protection and reducing emissions that cause green house effects.
According to reports presented at the forum, Vietnam’s economy in recent decades has posted strong development, with high economic growth, which has led to fast increase in energy demand.
Within nearly 20 recent years, Vietnam’s primary energy consumption has risen by 2.56 times, end-use energy consumption 2.43 times, consumption of product electricity 10.7 times (around 66 billion kWh in 2008).
Vietnam’s electricity consumption is lower than many nations in the world, particularly developed countries in Asian and Asean regions. Vietnam’s energy industry has reported strong development in exploration, development, production, transmission, distribution, import, export of energy. The scope of coal electricity, oil and gas has far exceeded 10 years ago. The energy industry has basically met sufficient demand for the country’s socio-economic development.
Although being relatively diversified, Vietnam’s energy supply sources for socio-economic activities basically still depend on such traditional energy sources as coal, oil, natural gas and hydro-electricity.
The usage of recycled energy is higher and higher however the rate of recycled energy on total energy consumption reduced to 36.4 percent in 2007 from 74.1 percent in 1990. Such reliance will be heavier in many the coming decades.
Meanwhile, the energy usage in Vietnam has not yet been economical and inefficient. The rate of energy consumption used to produce gross domestic product is also relatively high, 1250 kWh/1000 USD. Energy exploration, conversion and usage technologies in Vietnam have been upgraded but remain out of date. Some low-performing equipment, industrial boilers in 1970s of the previous century is now still used.
The electricity transmission and distribution system has been quickly developed but many areas still have to use out-of-date equipment.
Category: Business
