Vietnam Energy Situation

• Countries Portal
• Countries Group
• All Vietnam Articles

Vietnam

Capital:

Hanoi

Region:

Coordinates:

21.0333° N, 105.8500° E

Total Area (km²): It includes a country's total area, including areas under inland bodies of water and some coastal waterways.

331,340

Population: It is based on the de facto definition of population, which counts all residents regardless of legal status or citizenship--except for refugees not permanently settled in the country of asylum, who are generally considered part of the population of their country of origin.

98,858,950 (2023)

Rural Population (% of total population): It refers to people living in rural areas as defined by national statistical offices. It is calculated as the difference between total population and urban population.

61 (2023)

GDP (current US$): It is the sum of gross value added by all resident producers in the economy plus any product taxes and minus any subsidies not included in the value of the products. It is calculated without making deductions for depreciation of fabricated assets or for depletion and degradation of natural resources.

429,716,969,050 (2023)

GDP Per Capita (current US$): It is gross domestic product divided by midyear population

4,346.77 (2023)

Access to Electricity (% of population): It is the percentage of population with access to electricity.

100.00 (2022)

Energy Imports Net (% of energy use): It is estimated as energy use less production, both measured in oil equivalents. A negative value indicates that the country is a net exporter. Energy use refers to use of primary energy before transformation to other end-use fuels, which is equal to indigenous production plus imports and stock changes, minus exports and fuels supplied to ships and aircraft engaged in international transport.

-15.11 (2013)

Fossil Fuel Energy Consumption (% of total): It comprises coal, oil, petroleum, and natural gas products.

69.82 (2013)

Source: World Bank

---

Introduction

Vietnam remains one of world’s fastest growing economies, having sustained an average growth rate of 6.8% over the last seven years, and currently has a per capita GDP of about £1,100. In spite of these impressive gains, the vast majority of the population continues to live in rural areas where incomes are far below the national average, and is largely dependent on small-scale farming or animal husbandry. In addition, Vietnam is highly vulnerable to adverse impacts of climate change, which may eliminate the much of the gains made in poverty reduction and economic development.

In the last decade, fast industrialization and the economy’s expansion lead to its rapidly growing energy consumption. An increased dependency on fossil fuels is foreseen, and Vietnam is already a net energy importer. Vietnam targets to increase the share of renewable energy in total, commercial, primary energy from 3% in 2010 to 5% in 2020 and 11% by 2050.

►Go to Top

Energy Situation

[Show/hide]

Rural Energy Supply

Wood is still the main source of energy for over 56% of the country, mainly rural people, over 80% of the country uses wood on a daily basis for cooking purposes. Wood collection time has increased, and wood purchase prices also continue to increase. The BUS2011-2012 survey showed that the households were spending on average around 390.000 VND (€ 14) on fuel costs, of which around 75.000 VND (€ 2,5) was for firewood, 95.000 VND (€ 3) for coal and around 100.000 (€ 3,5) for LPG.

Biogas

Historically, three factors have favoured investment in biogas plants in Vietnam. Firstly, the country has a hot and humid climate, which is a precondition for the efficient functioning of a bio-digester. Secondly, it has a large animal husbandry sector, which provides ample feedstock for bio-digesters, Vietnam had the world fourth-largest population of pigs, after China, the USA and Brazil) (2010). Thirdly, most of Vietnam’s animal husbandry sector is managed by small family farms, and small biogas plants are financially more attractive and are readily affordable. Most biogas plants have a capacity below 50m³, and are almost exclusively in use by rural households and small farms involved in raising pigs.

In recent years, several developments have taken place that favour further growth of the biogas sector.

• Rapid growth of the animal husbandry sector: From 2000 to 2010, the population of pigs in Vietnam increased by about 35%, from about 20 million to over 27 million, and Ministry of the Agriculture and Rural Development (MARD) expects this number to increase to almost 35 million by the end of 2020. Cattle breeding increased at even higher rates, and the cattle population is expected to double from 5.8 million in 2010 to 12.5 million in 2020. Because of animal diseases, both the pig and cattle population declined from 2009 to 2011, but recent data indicate that growth has resumed.
• Increasing environmental awareness: Both the Government of Vietnam (GoV) and the public have become increasingly concerned about environmental pollution. “Biogas User Surveys” undertaken by National Biogas Program (BPD) during 2007-2012 indicate that reducing environmental pollution is a primary consideration of the farmer for the purchase of a bio-digester. Because Vietnam is highly vulnerable to the adverse impacts of climate change, there is also an increasing awareness of the need to reduce greenhouse gas (GHG) emissions, and domestic bio-digesters will make a significant contribution to those reductions.
• High and rising energy prices: Biogas is used for cooking, lighting and other activities (some of which are income generating like tofu making and/or rice wine production), thereby reducing traditional fuel use and costs. In recent years, fuel prices have increased at much higher rates than the construction cost of biogas plants.

►Go to Top

Policy Framework, Laws and Regulations

[Show/hide]

Energy Policy

Since 2011, the Government put the Energy Efficiency Laws in force. According to the National energy strategy document (Master Plan VII), the share of RE in electricity generation was set to increase from 3.5% in 2012 to 4.5% in 2020 and 6% in 2030. In order to adapt the shortage of fuels, bio fuels are an option of the energy development strategy. The goal is to reach 5 million tons of E5, B5 whcih is equivalant to 1.0% national demand for gasoline and diesel by 2015; by 2025 the Government wants to reach 1.8 million tons of ethanol and vegetable oil, or 5% of oil and gasoline demand by 2025.

►Go to Top

Further Information

[Show/hide]

• Country portal on energypedia

References

[Show/hide]

►Go to Top