- October 25, 2021
- Posted by: GBS
- Category: Economics
Twenty-eight wind power plants have qualified for the incentive feed-in tariff for early operation which the government offered to stimulate investment in renewable energy.
For 20 years they will enjoy the feed-in tariff of 9.8 cents per kilowatt-hour for offshore projects and 8.5 cents for onshore projects offered to projects that go on stream before Nov. 1. Of them 23 were approved this month.
Together they have a capacity of 1,247 MW, according to Vietnam Electricity (EVN), They account for over 22 percent of total registered capacity of 5,655 megawatts from 106 farms. local media report.
Industry insiders had claimed earlier it would be very difficult for the remaining projects to qualify for the incentive feed-in tariff since construction was delayed due to Covid-19.
Those that fail to become operational before Oct. 31 will go through a bidding process to determine the tariff.
The country aims to produce 10.7 percent of its electricity from renewables by 2030, mainly solar and wind power.
The Vietnam Energy Association wants the wind power generation capacity to be increased sevenfold from the Ministry of Industry and Trade’s current proposal of 2-3 GW in the country’s energy development plans for the next decade. This translates into a capacity of 15-20 GW, according to VNExpress.