Registered capital in the green energy area in Vietnam from 2009 – 2016. Source: Foreign Investment Agency
Accordingly, 16 out of 110 power generation and gas production FDI projects are in the green energy area, accounting for 14.5% in terms of project numbers and 6% in terms of total registered investment capital.
In accordance with the Foreign Investment Agency, in the green energy area, wind power generation projects attract the highest interests from foreign investors, with the total registered capital of USD 577 million, making up 74% of the total registered capital.
Followed by power generation from solar energy with the total registered investment capital of USD 137.38 million; and the last is biomass power generation with the registered investment capital of USD 59.2 million, representing 8% of the total registered investment capital.
Most of the FDI projects in the green energy area in Vietnam are located in Ninh Thuan, Ben Tre, Tra Vinh, and Soc Trang provinces. Among which, Ninh Thuan province ranks first with the total registered investment capital of USD 224.67 million; followed by Ben Tre, Tra Vinh, Soc Trang provinces with the registered investment capital of USD 152 million, 120 million and 70 million, respectively.
The average capital scale of a green energy project is approximately USD 48 million, higher than the average capital scale of a FDI project (around USD 13 million), but much lower than the average investment capital scale of a power generation project (roughly USD 115 million).
Up to now, 9 countries having FDI projects in the green energy area are South Korea, Germany, France, India, America, Singapore, Russian Federation, Belgium and China. Among which, South Korean investors rank first with the total registered investment capital of more than USD 371 million, accounting for 48%; Germany is the second largest investor with the total registered investment capital of USD 226.68 million, constituting 29.3%; followed by French, Indian, American investors with the total registered investment capital of USD 77.12 million, 59.22 million and 26 million correspondingly.