Vietnam accounted for 69% of ASEAN’s solar and wind generation last year and was the region’s main growth driver in renewable energy development in recent years, a report has found.
Vietnam’s share of renewable electricity generation led the 10-country bloc last year at 13% and it was followed by Cambodia, Thailand and the Philippines, according to a report released last week by U.K.-based energy thinktank Ember.
ASEAN recorded a 43% average annual growth in solar and wind generation between 2015 and 2022, and the introduction of Vietnam’s feed-in tariff policy in 2017 was the primary driver behind the growth, it said.
In the period, Vietnam recorded the largest growth of wind power generation (+8 terawatt hours) and solar power generation (+26 terawatt hours).
Competitive feed-in tariffs, land lease exemptions, and tax exemption were among key policies that helped renewable projects boom, the report said.
But last year ASEAN recorded a growth slowdown in renewable generation at 15%, compared to 67% in 2021, due to the phasing out of Vietnam’s incentive feed-in tariff scheme.
Ember estimates that over 99% of wind and solar power potential in ASEAN remains untapped. Supportive policies, including attractive pricing mechanisms, may attract more investment, it added.
It added that several new policies that can boost the region’s growth include Vietnam’s auction mechanisms, Malaysia’s green electricity tariffs, and Thailand’s rooftop solar incentives.
Source: VnExpress