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capacity has reached and maintained a high level from 2021 to 2023 with a high
proportion but decreased slightly to 37.11% in 2023 with an absolute value of 17,077

Megawatt (MW). Thanks to sound policies and strategies by the Vietnamese
government, solar energy has experienced rapid growth in installed capacity, reaching
more than 16,500 MW in 2020. In 2022, solar power capacity increased marginally by
37 MW, equivalent to 0.22% compared to 2021. In 2023, solar power capacity increased
by 379 MW, equivalent to 2.27% compared to 2022. The capacity of wind energy is also
growing, surpassing 600 MW, with plans to expand its share in the nation’s overall
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power generation to 11% and nearly 30% by 2025 and 2030, respectively . In 2022,
wind power capacity increased substantially by 947 MW, equivalent to 23% compared

to 2021. In 2023, wind power capacity increased by 823 MW, equivalent to 16.25%
compared to 2022. In the Southeast Asian country, hydroelectric power continues to
play a crucial role in renewable power production, contributing about 40% of the
nation’s total electricity supply. Despite its importance, there are growing worries about
the ecological consequences of major hydropower installations. As a result, Vietnamese
authorities are investigating alternative options, including small-scale hydropower

projects and energy derived from biomass resources.
Table 2. Solar and wind power capacity in Vietnam in the period 2021 - 2023
Difference Difference
Types of 2021 2022 2023 between between
renewabl 2022 and 2023 and

e energy 2021 2023
MW % MW % MW % +/- % +/- %

Solar 16661 38.75 16698 37.36 17077 37.11 37 0.22 379 2.27
energy
Wind 4118 9.58 5065 11.33 5888 12.8 947 23 823 16.25
energy

Total
renewabl 43000 100 44691 100 46012 100 1691 3.93 1321 2.96
e energy

Source: IRENA (2024), “Renewable energy statistics 2024”, International
Renewable Energy Agency, Abu Dhabi.
Vietnam had become the leader in Southeast Asia for installed solar capacity in
2020, largely owing to attractive feed-in tariffs - FIT. However, the country’s power

grid infrastructure proved inadequate, resulting in excess electricity generation and
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issues with curtailment and grid linkages . To reach its goal of net-zero emissions in
2050, Vietnam needs to greatly expand the country’s renewable power capacity,

25 “Current status of renewable energy in Vietnam: Potential and development”.
Https://pc1epc.vn/thuc-trang-nang-luong-tai-tao-tai-viet-nam
26 Ketelsen, T., Le, T.H.T, Tran, Q. B., Huynh, N. L., Nguyen, Q. K. (2023). Managing Vietnam’s Grid Issues for
Effective Energy Transition, Energy Transition Roundtables, Policy Brief Series No.3.

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