On grid solar storage project financing options in Vietnam 2026

What does Vietnam's Solar Policy update mean for energy storage?

Vietnam’s solar policy update highlights growing role of energy storage. (Photo: iStock) Vietnam’s Ministry of Industry and Trade (MOIT) has announced a new round of feed-in tariffs (FIT) for solar power, introducing location-based pricing and, for the first time, incorporating energy storage systems.

Is Vietnam ready for a competitive bidding mechanism for solar energy?

Vietnam is now developing a competitive bidding mechanism for solar energy to improve grid efficiency, promote competition, and ensure a stable energy supply, but it’s currently in the works and hasn’t been implemented yet. As such, Vietnam has been in a transition phase since the end of the FiT policy.

How does fit affect solar energy development in Vietnam?

FiT mechanisms set a fixed price for solar energy, overlooking regional variations in solar potential. This resulted in underdevelopment of solar PV in northern Vietnam, where solar radiation is low, while leading to overdevelopment in the south-central and southern regions, where solar radiation is high.

What are the conditions for solar storage in Vietnam?

Conditions for systems with storage include a minimum storage capacity of 10% of the solar plant’s installed capacity, a charge/discharge time of 2 hours, and at least 5% of total generation used for charging the storage system. Overall, projects with storage receive higher FIT rates. Previously, Vietnam’s FiTs were relatively low.

How much does a solar project cost in Vietnam?

Overall, projects with storage receive higher FIT rates. Previously, Vietnam’s FiTs were relatively low. In January 2023, the top rate was NT$1.49/kWh for ground-mounted solar and NT$1.89/kWh for floating solar, with no regional or storage-based distinctions.

How much energy does Vietnam need in 2027?

of 10.9 per cent to 2027 (see Figure 1). Its primary energy demand is expected to increase from 67.7 Mt in 2010 to 186.0 Mt in 2035, an annual growth rate of 4.1 per cent, while its final energy demand has an expected C ent over he same period4. 2026605.299Figure 1. Gross Domestic Product of Vietnam from 2017