Developing clean energy: An inevitable trend

DNHN - Renewable energy, derived from nature, is unlimited and has gradually become a global trend.

On September 29, the Ratcliffe-on-Soar coal power plant in Nottinghamshire, an icon in electricity generation for the United Kingdom for 57 years, officially shut down. This event marks the end of the UK’s 142-year reliance on coal, starting in 1882 when the world's first coal-fired power plant began operation in London.

The UK's "farewell" to fossil fuels in electricity production not only significantly reduces carbon emissions but also helps save approximately £2.9 billion annually, thanks to wind and solar energy. The UK aims to achieve a carbon-free power system by 2030, and the closure of this coal power plant is a testament to their strong commitment to transitioning to green energy.

Coherent policies are key

Renewable energy, sourced from nature, is unlimited and has become a global trend. In Vietnam, with a geographical position in the tropics and annual sunshine hours ranging from 1,400 to 3,000, the country has great potential to develop clean energy.

The transition from coal to renewable energy requires strong government policy support, along with commitments to reducing carbon emissions and creating favorable conditions for investors in wind and solar energy. Many developing countries like Lebanon, Ethiopia, Tanzania, Zimbabwe, and South Africa have taken the lead in this transition by committing to reduce fossil fuel subsidies, promoting renewable energy, and increasing employment in the clean energy sector.

In Vietnam, the government has issued numerous policies to encourage the development of wind and solar power since 2017 and recently announced Power Plan 8, particularly in the context of the Prime Minister's commitment at COP26 to promote clean energy transition and cease coal use. Developing renewable energy not only contributes to environmental protection but also ensures Vietnam's competitiveness in a world increasingly moving towards low-carbon emissions.

Challenges from policies and legal procedures

Despite having strategies for renewable energy development, the process still faces many obstacles due to inconsistent policies and the lack of specific guidelines, leaving businesses struggling with various procedures. Specifically, many clean energy projects have encountered overlaps in the legal system, from the Land Law, Investment Law, Bidding Law to the Environmental Resources Law, leading to legal "entanglements."

154 clean energy projects had to appeal to the government for help due to these legal obstacles. No clean energy company wants to be “named and shamed,” but when the legal system is still being improved, stumbling blocks are unavoidable. Furthermore, the Covid-19 pandemic caused many projects to face difficulties in meeting deadlines to enjoy the "FIT" price, adding complications to the development process.

Towards a green and sustainable future

Globally, the energy transition is happening rapidly with strong commitments from many countries. However, in Vietnam, the process is slowing down. Despite the clear benefits of clean energy, the transition still faces many challenges, from technology, green finance, to human resources and governance. On the other hand, policy barriers remain overlapping in terms of strategic vision and lack of strong incentives for clean energy development.

Vietnam needs to continue its efforts to remove barriers, build coherent policies, and make stronger commitments to join the world in moving towards a cleaner and more sustainable future.

Thành Nhân