The United States and Japan will assist Vietnam to develop its liquefied natural gas (LNG) power projects with the participation of businesses of the three countries in order to help the country realize its Power Development Plan 8.
The LNG Terminal warehouse of the Vietnam Oil and Gas Group (PetroVietnam).
The recent 2020 Trilateral Vietnam-U.S.-Japan Commercial Liquefied Natural Gas (LNG) Forum released a statement, emphasizing the importance of energy transitions through LNG utilization in Vietnam, according to the media release by the US Embassy in Hanoi.
In the statement, the three countries acknowledged the importance of a realistic and pragmatic energy policy that utilizes all energy sources and all technologies for achieving both the goal of economic recovery and private sector-led growth following the COVID-19 pandemic, and the goal of reduction of greenhouse gas emissions.
They upheld the essential role of LNG in improving energy supply security, reducing air pollution, and supporting the gradual transition towards a low carbon future in Vietnam. They valued the contributions LNG projects approved in the Power Development Plan 7 revised, as well as LNG power projects being considered for Vietnam’s Power Development Plan 8 (PDP8), will make towards the country’s energy transition
The three countries stated that the energy transition in Vietnam is focusing not only on shifting from fossil fuels to renewables, but also to affordable, reliable, flexible, and resilient cleaner energy options and technology that would also contribute towards a post-pandemic economic recovery.
To this end, the US and Japan agreed to support LNG to Power and LNG Terminal projects in Vietnam, in which companies of Japan, the US, and Vietnam participate and have access to the financial tools of Japan and the US.
They were committed to supporting capacity building for Vietnam, such as providing technical assistance on procurement and tender processes that promotes best practices, high standards, a culture of transparency.
Both countries agreed to assist Vietnam to realize the goals Vietnam has set in its PDP8. They will exchange information on the content and implementation of essential policies related to LNG, such as LNG procurement, supply diversification, market deregulation, and the promotion of open gas infrastructure, including LNG re-gasification terminals, underground gas storage, and pipelines.
They also agreed to hold joint meetings that enhance trilateral cooperation and reflect private sector consultation concerning private sector investment challenges and opportunities.