#Japan #Tokyo #ONE-VALUE #DPPA #Vietnam Power

ONE-VALUE Hosts Seminar on Vietnam's Electricity Market

Overview

On June 11, 2026, ONE-VALUE Corporation, headquartered in Koto, Tokyo, held a seminar titled "New Phase of Vietnam's Electricity Market: Preparations for the Direct Sale Era". The seminar aimed to educate Japanese companies about the latest developments in Vietnam's electricity and renewable energy markets. Key topics included recent policies, the revised PDP8, the Direct Power Purchase Agreement (DPPA) system, opportunities post-FIT (Feed-in Tariff) system conclusion, and potential partnerships for investments in renewable energy projects.

Context of the Seminar

Vietnam's electricity demand is experiencing a consistent surge due to the country's ongoing economic growth and industrial expansion. However, the electricity supply system, transmission networks, and mechanisms for renewable energy integrations are also undergoing significant transformations. The introduction of the DPPA system paves the way for large electricity consumers and renewable energy producers to engage in direct transactions, contrasting with the traditional model centered around the Electricity of Vietnam (EVN). This system change presents new business opportunities for various stakeholders, including renewable energy producers, industrial parks, infrastructure investors, and financial institutions.

Key Content Covered During the Seminar

1. Latest Trends in Vietnam's Electricity Market
Participants were briefed on Vietnam's economic landscape, the surge in electricity demand, and the current capacity of power plants. While the installed capacity for renewable energy continues to grow, challenges such as transmission network constraints and price mechanism shortcomings limit the effective output of these projects. Attendees learned the importance of not just considering generation capacity in renewable energy investments but also understanding aspects like transmission networks, PPA contracts, pricing structures, and consumer connectivity.

2. Revisions to the PDP8 and Development Plans
The revised PDP8 outlines a strategic pivot away from coal dependency, maximizing the incorporation of solar, wind, offshore wind, biomass, BESS (Battery Energy Storage Systems), and nuclear power. Participants were educated on the distinctions between the old and revised PDP8, investment forecasts for various power sources by 2030, and the anticipated funding needs for improving the transmission grid.

3. Understanding the DPPA System
The seminar also explained the DPPA system in detail, elaborating on two main transaction models: one utilizing private transmission lines allowing direct transactions between energy producers and large users; another leveraging the national grid which involves multiple regulatory and pricing considerations.
Special attention was given to understanding the eligibility, contract types, pricing mechanisms, and prospective alterations within the DPPA framework.

4. Investment and M&A Opportunities from DPPA
The seminar indicated that the DPPA framework might amplify the attractiveness of transitional projects that missed out on the FIT system. Discussion points included aspects to consider for potential investments in renewable projects, joint ventures, and acquisitions.

5. Increasing Demand for Green Power Among Large Consumers and Industrial Parks
As multinational corporations and industrial parks show heightened interest in sourcing clean energy, the seminar addressed the motivations driving this trend, such as sustainability targets from global headquarters and compliance with international regulations like CBAM (Carbon Border Adjustment Mechanism). This shift also highlighted new business prospects for Japanese companies offering energy management systems, solar installations, and energy-efficient technologies.

ONE-VALUE's Insight on Entry Points in the Vietnam Electricity Market

ONE-VALUE posits that there are three key points for Japanese companies aspiring to enter the Vietnamese electricity market:

1. Understand Practical Operations, Not Just Regulations
Japanese firms are encouraged to grasp the operational realities behind Vietnam's electricity regulations, including negotiation dynamics with EVN and practical contract implementations.

2. Comprehend Both Supply and Demand Sides
Recognizing who will purchase the electricity generated, at what contract prices, and for what decarbonization needs is crucial for successful renewable energy operations.

3. Integrated Approach for Market and Project Exploration
Investors must synergize their market analysis with understanding regulations, compiling project lists, hearing from stakeholders, and conducting M&A considerations comprehensively.

Additional Support Offered by ONE-VALUE

ONE-VALUE facilitates various services aimed at supporting companies operating within Vietnam's electricity and renewable energy space. These services encompass:

• - Regulatory research on electricity laws like PDP8 and DPPA.
• - Market and project analysis for renewable energy sectors.
• - Development of business models harnessing DPPA opportunities.
• - Networking support for local partners, producers, and potential electricity consumers.
• - Assistance for M&As and investment structuring, including due diligence.

Contact Information

For firms interested in entering the Vietnamese electricity market, the DPPA system, renewable energy initiatives, and energy efficiency solutions, please reach out to ONE-VALUE at [email protected].

ONE-VALUE Corporation stands as a leading provider of consulting services, tailored to the unique dynamics of Japan-Vietnam business interactions, ensuring actionable insights that translate into effective business strategies.