HCM City (VNA) – The Vietnam-UScooperation in gas power and infrastructure development in the liquefiednatural gas (LNG) sector was the focus of a seminar in Ho Chi Minh City onDecember 6.

US Ambassador to Vietnam Daniel J. Kritenbrinksaid that issuing energy policies and relevant decisions is not always easy formany countries. Like the US and some other nations, Vietnam needs to make some importantand difficult decisions in the energy sector.

He added Vietnam’s investment choices willaffect its energy security, environmental quality, and capability of sustaininggrowth. Therefore, the readiness of the business community and the USGovernment to assist the Southeast Asian nation will help them to achievesustainable development.

The US Government will promote bilateralcooperation within the framework of the Asia Enhancing Development and Growththrough Energy (EDGE) initiative, through which it will provide both financialand specialised aid.

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The US Trade and Development Agency (USTDA) hasassisted Vietnam with millions of US dollars to implement feasibility studieson wind power, solar power, and smart power grids. Meanwhile, the US Agency forInternational Development (USAID) is helping the country build an energydevelopment plan and a direct power purchase agreement mechanism.

Le Van Luc, Deputy Director of the Electricityand Renewable Energy Authority at the Ministry of Industry and Trade, said thatVietnam is now at a turning point in its energy transition, gradually reducingits dependence on polluting and outdated coal-fired power systems. This willcreate conditions for it to apply modern technologies in solar, wind, andnatural gas power. Additionally, the country also boasts abundant solar andwind energy resources, especially in the southern region – where the energydemand is very high and still growing.

However, he noted, these renewable energyresources are unstable. Meanwhile, with the energy demand growing by 8 percentin 2018, southern localities are facing considerable challenges in how tosustain their growth. In the next three years, they are likely to face anannual shortage of 1.5-1.6 billion kWh of electricity.

Therefore, LNG projects will continue to bedeveloped mainly in the south, the official said.

Ian Steff, Deputy Assistant Secretary forManufacturing at the US Department of Commerce's International TradeAdministration, said Vietnam-US relations are now more developed than ever. Thepresence of leading US businesses has affirmed their country’s support forVietnam in reaching their set energy targets. 

Furthermore, the growth of Vietnam’s energymarket is also a big opportunity for the US companies that export energy andrelated products, particularly in advanced energy technologies, he added.

At the seminar, the USTDA announced itsintentions of supporting the Vietnam Electricity (EVN) group to develop a LNGport in the south of Vietnam. –VNA