Long-term vision is needed when investing in renewable energy and green transformation.

Deputy Prime Minister Tran Hong Ha hopes that GFANZ will proactively participate in leading the implementation of the commitment to reduce net greenhouse gas emissions to zero, the Just Energy Transition Agreement - Photo: VGP/Minh Khoi

Welcoming Ms. Alice Carr and her delegation to visit and work in Vietnam, the Deputy Prime Minister reiterated some of the discussions with Ms. Alice Carr on solutions and roadmap to implement the commitment to reduce net greenhouse gas emissions to zero (net zero), the Just Energy Transition Agreement (JETP) as well as the work that Vietnam has implemented.

"Vietnam has prepared very carefully, the problem is choosing specific projects to implement effectively and practically," said the Deputy Prime Minister, hoping that GFANZ will proactively participate in leading the implementation of net zero and JETP.

According to the Deputy Prime Minister, energy transition is an irreversible trend, a new development direction for the economy. Finance, along with technology and human resources, are the three most important factors for energy transition. Therefore, financial institutions need to reform and change their organization, methods, and operational goals to adapt to the current energy transition trend.

Currently, Vietnam has renewable energy projects (wind power, solar power) with a capacity of about 9,000 MW. The Power Plan VIII also allocates a large space for renewable energy, including plans to build a number of offshore wind power centers, develop rooftop solar power, build a smart grid, ensure the balance and stability of the energy system, encourage self-production and consumption of solar power on site, etc.

Some Vietnamese enterprises will be assigned to pilot a number of energy conversion projects to improve technology, institutions, investment policies, technology, etc. and related issues. Besides energy, Vietnam also prioritizes green conversion projects in many other fields, such as transportation, agriculture, etc.

The Deputy Prime Minister said that it is necessary to have a medium- and long-term vision for renewable energy conversion projects with sustainable financial resources to solve social and employment issues when gradually reducing the use of fossil fuels; helping businesses confidently implement green transformation. The effectiveness of renewable energy projects is not only for investors, but also beneficial to global goals on climate change response.

In addition, Vietnam is also interested in education, training and research activities on renewable energy and new fuels; and hopes that GFANZ will transfer experience in developing renewable energy in developing countries, thereby establishing an effective form of connection and cooperation with Vietnam.

Ms. Alice Carr said that it is necessary to quickly form a global financial policy framework to promote the Just Energy Transition Agreement - Photo: VGP/Minh Khoi

Thanking the Deputy Prime Minister for taking the time to meet her, Ms. Alice Carr highly appreciated Vietnam's issuance of the Power Plan VIII as a basis for implementing the goals set in net zero and JETP.

Ms. Alice Carr affirmed that the participation of GFANZ and member financial institutions is very important to develop specific and prioritized plans in the energy transition process and develop a green economy.

Sharing the issues raised by the Deputy Prime Minister, Ms. Alice Carr said that it is necessary to strongly promote the rapid formation of a global financial policy framework to promote JETP.

"GFANZ wishes to cooperate closely with Vietnam in the energy transition process, identifying priority areas, based on its own comparative advantages, such as developing smart grids, offshore wind power, researching new fuel production, storage, transportation and use technologies...", GFANZ's Executive Director of Public Policy expressed.

Ms. Alice Carr shared her wish that GFANZ would be facilitated to regularly participate in the activities of the JETP Implementation Secretariat; as well as pilot projects on energy transition to determine the most effective and suitable model and structure in the use of financial resources, with the highest competitiveness, suitable for the people's ability to pay.

GFANZ will also allocate funds for technological innovation in smart grids, fossil energy conversion, etc.

Source: https://baotainguyenmoitruong.vn/can-tam-nhin-dai-han-khi-dau-tu-nang-luong-tai-tao-chuyen-doi-xanh-360771.html