With the advantage of abundant marine resources combined with rich solar and wind power, Vietnam has the potential to become a leading green hydrogen production hub in Asia.
- Ms. Huynh Thi Kim Quyen - Chairwoman and General Director
- The Green Solutions Group Joint Stock Company
This remark was shared by Ms. Huynh Thi Kim Quyen - General Director of The Green Solutions Group Joint Stock Company - at the conference to implement Vietnam's Hydrogen Energy Development Strategy to 2030, with a vision to 2050, organized by the Ministry of Industry and Trade on the morning of February 22.
Great Potential for Green Energy
As the investor of the first green hydrogen project in Tra Vinh, Ms. Quyen highlighted that Vietnam boasts a coastline stretching 3,260 km along with immense advantages in developing renewable energy, thereby having abundant sunshine, wind, and seawater - the foundational raw inputs for sustainable green hydrogen production.
"This represents a tremendous opportunity for Vietnam that few nations globally possess. We have sunshine, wind, and seawater - an endless supply of feedstock to forge new fuel for mankind. However, converting opportunity into reality requires strong commitments from the Government and ministries in issuing technical standards and development policies in support of green hydrogen," Ms. Quyen stated.
Sharing insights into the ongoing 1.4-billion-USD project in Tra Vinh, Ms. Quyen explained that prior to project commencement, the group spent two years researching green hydrogen, consulting international technologies, and selecting alkaline water electrolysis - the world's most proven and widely used technology.
Nevertheless, major challenges remain in perfecting policy mechanisms, safety standards, high-tech engineering, and human resource development. Furthermore, green hydrogen production currently entails elevated capital and operating costs; hence, supportive policies are imperative to drive down unit costs and scale up sustainable commercial deployment.
Additionally, the CEO of The Green Solutions noted a major monetization vector for green hydrogen lies in carbon credit trading via green ammonia production. This represents a golden opportunity for Vietnam amid the emerging global carbon credit market. As a result, the Tra Vinh green hydrogen project has successfully secured green finance from international banking institutions and financial funds.
Resolving Bottlenecks, Accelerating Green Hydrogen
"If Vietnam successfully builds and deploys a domestic green hydrogen industry upon these inherent strengths and foundations, our economy can transition directly from an agricultural foundation toward a clean green industrial powerhouse, bypassing legacy carbon-heavy industrial stages," Ms. Quyen emphasized.
According to the master plan, basic civil works have commenced under granted construction permits. Technical engineering and specialist studies are currently being expedited to launch official full-scale implementation in Q3-2024. Construction completion is scheduled for 2026, yielding first commercial output by early 2027.
Minister of Industry and Trade Nguyen Hong Dien
Vietnam's Hydrogen Energy Development Strategy was formally approved by the Prime Minister in Decision No. 165 dated February 7, 2024, unlocking new developmental horizons for Vietnam's energy sector toward clean, modern, and sustainable paradigms.
Accordingly, the primary objective is cultivating a comprehensive hydrogen energy ecosystem grounded in renewables - encompassing domestic production, storage, transportation, distribution, domestic consumption, and international export, supported by synchronized and modern infrastructure, directly underpinning the national goal of achieving Net Zero emissions by 2050.
The strategy outlines holistic solutions such as diversifying capital and investment sources, mobilizing private non-state capital and international partners, intensifying R&D investments and specialized engineering training, while applying market-driven instruments to champion green growth, low-carbon economics, and the circular economy.
Minister of Industry and Trade Nguyen Hong Dien affirmed that to effectively enact the strategy and spearhead investment projects, the Ministry will promptly advise and submit specific action plans to competent authorities to guarantee uniform and synchronized execution.
Concurrently, focus will be placed on reviewing, revising, and enacting dedicated regulatory frameworks and legal mechanisms regarding hydrogen energy, coupled with close monitoring and supervision of project execution to resolve practical bottlenecks in an agile and timely manner.
Source: Tuoi Tre Newspaper
