As many as 11 sugar mills are producing electricity from sugarcane bagasse with a combined installed capacity of 351.6 megawatts and connect it to the national grid.
Could you tell me more about the benefits of biomass energy, especially for a country like Vietnam where the sugar industry is quite large?
The benefits of biomass energy are numerous. First of all, biomass energy plays an important role to reduce Vietnam’s emissions, especially offsetting the need for coal power. The revised Power Development Plan 7 (PDP7) estimates up to 6,000MW of biomass energy contribution by 2030, taking up 2.1% of all power sources.
Secondly, biomass power development is socially inclusive – providing an extra income source to Vietnam’s farmers.
Thirdly, the development of biomass energy will contribute strategically to the development of the sugar industry in Vietnam, thus increasing jobs improving livelihoods. This is done through firstly the improvement of energy efficiency in the mills, creating meaningful savings/increasing the competitiveness of the mills domestically and internationally, and secondly the generation of extra income and profit centers for the sugar businesses.
As biomass energy is quite new in Vietnam, which countries can Vietnam learn from to develop this industry in a sustainable way?
Vietnam is in a good position to develop biomass energy given that there has been significant international experience providing best practices and lessons learnt.
In biomass energy, Brazil has led the way in utilizing biomass resources from agriculture production for energy. It is estimated that solid biomass energy in Brazil reached over 13,000 MW in 2016 (IRENA).
Thailand is also an international leader in this field, with over 3,000 MW biomass energy installed in 2016. Other countries that Vietnam can learn from include the United States and European countries (e.g. Sweden, Germany, the UK, and Finland).
Whilst the types of biomass resources can be different from those available in Vietnam, experience from these countries would still be useful in terms of technology and policy development.
How can international organizations such as GIZ, USAID, GGGI help Vietnam in this sector?
Whilst Biomass energy is in the forefront of renewable energy development in Vietnam, it is still relatively new for Vietnam.
To achieve the target set out in the revised PDP7, there is still a lot to be done, including i) setting the right incentives for the industry to take off, ii) building the capacity for not only the government agencies but also to the sugar mills, the financial sector (e.g. commercial banks) and the consultancy sector to support the industry to develop high quality proposals and iii) mobilizing finance for biomass energy projects.
GGGI is committed to supporting Vietnam to develop the enabling policy for biomass energy development, to build the capacity needed and to access sustainable finance for the sector.
Thank you very much!
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Từ khóa: USAID, Vietnam, BizLIVE