Vietnam Expertise

  • Power demand and supply outlooks (Rapid growth)

  • Institutional and regulatory frameworks (Competition & investment law)

  • Generation mix and fuel security (Industry structure)

  • Private sector participation

  • Renewable energy (Investment promotion) and efficiency promotion

  • Cross-border power trade opportunities

Governance & Regulation

Vietnam’s power sector is overseen by the Ministry of Industry and Trade (MOIT), which is responsible for energy planning, market design, and sector regulation. The Electricity Regulatory Authority of Vietnam (ERAV) operates under MOIT, handling tariff approvals, licensing, and market oversight. The Prime Minister ultimately approves national Power Development Plans (PDPs), which guide long-term generation and transmission expansion.

Market Structure

Vietnam operates under a state-led model with gradual steps toward competition. The system is dominated by the state-owned utility Electricity of Vietnam (EVN), which owns most transmission and distribution networks. Generation has been partially opened to private and foreign investors through Independent Power Producer (IPP) contracts and Build-Operate-Transfer (BOT) schemes. A competitive generation market was launched in 2012, and Vietnam plans to expand toward a wholesale and eventually a retail electricity market, though progress has been slow.

Private Participation & Renewables

Private sector participation has increased through BOT and IPP investments, particularly in coal, gas, and renewable projects. Vietnam has become a regional leader in renewables thanks to generous feed-in tariffs (FiTs) for solar and wind introduced between 2017–2021, which triggered a boom in capacity additions. Future renewable deployment is guided by PDP8 (approved 2023), which sets ambitious targets for wind, solar, and offshore wind, while scaling down coal development and increasing LNG imports.

Industry Participants

  • Electricity of Vietnam (EVN): Dominant player, owning most transmission and distribution, and acting as the single buyer of electricity.

  • Power Generation Corporations (GENCOs): Subsidiaries of EVN created to introduce competition in generation.

  • Independent Power Producers (IPPs): Growing role, particularly in renewables, often with foreign investment.

  • Foreign Investors: Active in LNG-to-power, wind, solar, and industrial-scale energy projects, mainly through BOT structures.

Cross-Border Trade Opportunities

Vietnam is both an electricity importer and exporter within the Greater Mekong Subregion. It imports hydropower from Laos and China and exports power to Cambodia and Laos. Cross-border interconnections are being expanded to support regional trade and enhance system reliability. Over the longer term, Vietnam is expected to play a larger role in the ASEAN Power Grid, especially as its offshore wind potential grows.