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Vietnam's Energy Consumption to Double in 10 Years

Because of the country’s rapid rate of development, Vietnam’s power consumption is expected to almost double in less than a decade.

According to a report by BMI Research, quotes Bloomberg, from 2016 to 2026, Vietnam’s energy consumption will increase from an estimated 144.4 terawatt-hours to 271.4 terawatt-hours. “Vietnam is a clear outperformer in terms of power consumption growth when compared with the rest of Asia,” said Georgina Hayden, BMI head of power and renewables.

Most of Vietnam’s electricity is currently produced by PetroVietnam (PV), the country’s second-largest power producer, which earns 90% of its income from power generation. The company is planning to boost its production by 153% to 10,650 megawatts to catch up with the increase in demand.

At the moment, PV’s power output, mostly from gas-fired electricity, only amounts to 15% of the nation-wide demand, but it has plans to increase this figure to 20% by 2026.

“We are about to be a key player in gas-fired power plant production, as liquefied natural gas is the future of energy for Vietnam,” PV President and Chief Executive Officer Nguyen Xuan Hoa told Bloomberg at his Hanoi headquarters. “This is an exciting time for the country’s power industry.”

PV is currently preparing for its initial public offering (IPO). A company representative shared that they expect the sale of a 49% stake to strategic investors and the IPO to bring in about US$600 million combined.

[Photo via PVC]

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