Vietnam is becoming a major player in the global Liquefied natural gas (LNG) market. (illustrative image)

Vietnam recently approved its eighth Power Development Plan (PDP8), which sets ambitious targets for wind and gas energy capacities.

According to Reuters, the new plan will require more than 134 billion USD in funding, a portion of which is expected from foreign investors, including a 15.5 billion USD commitment from the G7 nations. A strategic shift towards cleaner energy, backed by substantial financial commitments, underscores Vietnam’s emerging role as a new LNG importer.

In the immediate term, Vietnam’s focus on LNG suggests a notable increase in global demand. Although Vietnam currently has no LNG imports, it has produced about 9 GW of natural gas domestically. PDP8 anticipates that, by 2030, LNG will form a significant portion of Vietnam’s energy matrix.

By 2030, renewables like wind and solar are slated to cover nearly 31% of Vietnam’s energy needs. But LNG will still make up a significant 24.8% of total energy production.

By 2050 Vietnam aims for carbon neutrality and LNG is expected to serve as a reliable, cleaner alternative to coal.