In 2024, Vietnam's electricity consumption is split into two main categories: fossil energy and low-carbon energy. Fossil energy accounts for the majority, with more than half of the electricity being generated from coal and gas sources. Coal alone contributes to almost half of the country's electricity consumption, while gas adds a smaller portion. On the clean energy front, low-carbon sources make up almost 44% of the total electricity. Hydropower is the dominant low-carbon source, providing more than 31% of the total, with solar and wind contributing smaller but significant portions at around 8% and 4%, respectively. It's clear that while Vietnam has made strides in embracing low-carbon energy, there remains a heavy reliance on fossil fuels for electricity.
Is Electricity Growing in Vietnam?
The growth of electricity consumption in Vietnam is evident, with 2024 seeing a total of 3074 kWh per person, marking an increase from the previous year where it was 2776 kWh per person. This rise indicates an upward trend of nearly 300 kWh per person, showcasing the country's expanding demand for electricity. Low-carbon generation has also seen growth, reaching 1348 kWh per person in 2024 from a previous high of 1316 kWh in 2022, with an increase of 32 kWh per person. While the increase in low-carbon electricity is a positive step, the overall growth rate of clean energy doesn't match the overall electricity consumption increase, indicating a need for further expansion of sustainable energy sources.
Suggestions
To boost low-carbon electricity generation further, Vietnam can learn key lessons from countries that have successfully increased the share of clean energy in their electrical grids. Denmark and Ireland, for example, have excelled in harnessing wind energy, generating over 50% and 32% of their electricity from wind, respectively. These countries have invested in technology and infrastructure that support variable renewable energy sources. Similarly, Vietnam could emulate countries like Lebanon and Chile, who have significantly advanced their solar energy capabilities, reaching around 31% and 22%, respectively. By adopting strategies from these nations, Vietnam could enhance its solar and wind capacities, thereby reducing its reliance on fossil fuels and contributing to a cleaner, more sustainable energy future.
History
Vietnam's history with low-carbon electricity generation has experienced both growth spurts and declines, particularly in hydroelectric power. In the early 2000s, through the 2010s, hydropower steadily increased with significant annual additions, notably in 2011, 2012, and 2017. However, there have been dips, such as in 2015 and 2019, signifying challenges that need to be addressed. In recent years, there has been a welcome growth in solar energy; from 2019 to 2021, solar electricity witnessed an impressive increase, indicating a shift towards diversifying the clean energy portfolio. Wind energy has also begun contributing in meaningful ways since 2022. These trends highlight the need for continued commitment and investment in low-carbon technologies to sustain and accelerate the transition to a green energy future for Vietnam.
Electrification
We estimate the degree of electrification by comparing electricity and total energy emissions. More about methodology.