Power outages are leaving Vietnamese homes and businesses without power for hours at a time, as a prolonged drought and high temperatures strain the fast-growing economy’s capacity to keep up. Know more:
. Vietnam pledged to phase out coal power by 2040 at the United Nations climate change conference in Glasgow in 2021
The gradual shift away from coal won’t wean Vietnam from fossil fuels, given its goal of expanding use of LNG — cooled natural gas that is made predominantly of methane whose production and transportation leaks contribute to global warming. Road lights are seen switched off to save energy in Hanoi, Vietnam, on June 8, 2023. Vietnam has released a long-anticipated energy plan meant to take the country through the next decade and help meet soaring demand while reducing carbon emissions.
“It’s good that the plan gives clarity for investors. However, a big risk is that LNG assets will become stranded, as it is happening now with coal. How to mobilize enough investments in something that may not be viable in the next decade or so is a challenge that I see,” she said.
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