United States, Ministry of Industry and Trade Launch $36 Million Clean Energy Project

Press Release Shim

Speeches Shim

For Immediate Release

Friday, June 3, 2022

HANOI, JUNE 3, 2022 -- Today, U.S. Ambassador Marc Knapper joined Vietnam’s Vice Minister of Industry and Trade Đặng Hoàng An and the U.S. Agency for International Development (USAID) Mission Director Ann Marie Yastishock to launch USAID’s $36 million, flagship clean energy project.  U.S. Vice President Kamala Harris first announced the project during her visit to Vietnam in August 2021.

The project, called the Vietnam Low Emission Energy Program II (V-LEEP II), builds on the success of V-LEEP I, which ran from 2015 to 2020. Under V-LEEP I, USAID worked with the Ministry of Industry and Trade (MOIT) on the development of its Eighth National Power Development Plan and the design of the Direct Power Purchase Agreement (DPPA) pilot program. The DPPA will allow businesses in Vietnam to purchase electricity directly from private firms producing renewable energy, instead of through local power utilities. V-LEEP I also worked with the private sector to mobilize more than $311 million to build 300 megawatts of wind and solar projects.

V-LEEP II will continue its work with MOIT to increase clean energy deployment, through mobilization of private sector investment, project design support for developers, and technical assistance for lenders. The new project aims to support 2,000 megawatts of renewable energy commissioned between 2020 and 2025 through private sector engagement. Through the project, USAID and the Government of Vietnam will also continue collaboration to improve energy planning and operations practices to enhance energy sector performance.

“The U.S. government is proud to be a partner to Vietnam in its clean energy transition journey,” said Ambassador Knapper. “We applaud your commitment at COP-26 to transition to a net-zero emissions economy by 2050, with international support.  This USAID V-LEEP II program will be a cornerstone of U.S. support to Vietnam in achieving your climate change commitments.”

“Through V-LEEP II, USAID will continue to support Vietnam’s transition to a clean, secure and market-based energy sector,” said USAID Mission Director Yastishock. “Not only will renewable energy help Vietnam meet soaring energy demand in a sustainable way, but it will also increase its energy security while advancing its COP-26 commitments.”

Through V-LEEP I and continuing with V-LEEP II, USAID supports the Government of Vietnam in designing and implementing a strategic plan to guide Vietnam on energy generation and transmission to meet energy needs as the country moves away from a coal-based power system to a greener, cleaner system based on renewable energy and natural gas.

For more information about USAID’s support for Vietnam’s clean energy transition, please visit: https://www.usaid.gov/vietnam/clean-energy.

For photos, visit: https://flic.kr/s/aHBqjzSdAX

Last updated: August 09, 2022

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