Vietnam’s Renewable Energy Capacity Set to Reach 112 GW by 2035

Vietnam’s renewable power capacity is projected to hit 112.1 GW by 2035, growing at a compound annual growth rate (CAGR) of 14.3% between 2024 and 2035, according to GlobalData’s latest report, “Vietnam Power Market Outlook to 2035, Update 2025 – Market Trends, Regulations, and Competitive Landscape.”

GlobalData noted that Vietnam’s renewable generation rose from 21.1 TWh in 2020 to 38.5 TWh in 2024, a CAGR of 16%, and is expected to reach 179.6 TWh in 2035, expanding at 15% CAGR over the next decade.

The report highlights Vietnam’s strong potential for wind, solar, and biomass power, supported by policies such as feed-in tariffs (FiTs) and the revised Power Development Plan 8 (PDP 8). PDP 8 outlines a diversified energy mix—spanning natural gas, coal, hydro, solar, and wind—while targeting net-zero emissions by 2050.

Attaurrahman Ojindaram Saibasan, senior power analyst at GlobalData, said PDP 8 aims to triple installed capacity by 2030, strengthen renewable energy growth, and safeguard national energy security. While hydropower is already close to full exploitation, wind, solar, and biomass resources remain largely untapped.

He added that Vietnam’s large-scale renewable and LNG projects require significant capital investment, but financing is often hindered by regulatory uncertainty, a lack of bankable power purchase agreements (PPAs), and limited access to affordable long-term funding. The government is working to address these challenges by rolling out more investor-friendly policies to attract capital into the sector.