Vietnam's Power Sector LNG Demand to Jump
Demand for LNG in Vietnam’s power sector is expected to reach 8.5mn metric tons/year by 2030, the country's industry and trade ministry said on September 28.
The ministry expects demand for LNG in the power generation sector to reach 1.2mn mt/yr by 2025. At present, Vietnam does not import any LNG. The southeast Asian country is promoting gas-fired power as it moves away from coal and oil-based generation. However, coal is expected to retain its dominant position. The ministry sees demand for coal in power generation reaching 35mn mt/yr in 2025 and 45mn mt/yr by 2030.
In June this year, PetroVietnam Power Corp (PV Power), a subsidiary of state-run PetroVietnam, announced plans to build four new gas-based power plants. In the same month, the Vietnamese government said US major ExxonMobil was looking to invest in gas-to-power projects.
Under its latest plan, Vietnam's government aims to build three to four LNG terminals in 2021-2025, with capacities of 1-3mn mt/yr each. These terminals will mainly be located in the southern Vietnam.
The ministry noted the country would need $13bn of investment in its power sector during 2021-2030. Vietnam expects its overall generation capacity to reach 138 GW by 2030.