Vietnam - Sweden cooperation promotes smart, sustainable power grid

Promoting cooperation in building modern power systems

With rising electricity demand, rapid renewable energy deployment and ambitions to export green electricity to neighboring countries, Vietnam is facing major challenges in stabilizing the grid, transmitting and integrating renewable energy sources.

In response, Vietnam is looking for large-scale, affordable transmission solutions and smart grid technology for long-distance transmission, real-time monitoring and industrial power quality assurance. Meanwhile, Sweden is a world leader in energy infrastructure and digital grid innovation, providing deep expertise and a proven model of cooperation.

On that basis, the Swedish Embassy and the Swedish Trade Office organized the event "Thematic Exchange: Energy Connection - Building Efficient Power Infrastructure for a Sustainable Future" on the afternoon of December 1.

In his welcoming speech, Mr. Johan Ndisi, Swedish Ambassador to Vietnam, affirmed that the event has practical significance for the energy transition process of both Vietnam and Sweden.

Mr. Johan Ndisi, Swedish Ambassador to Vietnam, spoke at the event.

Mr. Johan Ndisi, Swedish Ambassador to Vietnam, spoke at the event.

Regarding bilateral relations, Ambassador Johan Ndisi emphasized that Vietnam and Sweden have a long history of cooperation, based on a foundation of trust. This year, Prime Minister Pham Minh Chinh's visit to Sweden marked the signing of a Strategic Partnership Agreement by sector, establishing a common vision on science - technology , innovation and digital transformation, in which energy continues to be an important pillar.

The Ambassador assessed that Vietnam is making a strong shift in energy development , with electricity demand expected to increase by 10-15% next year and installed capacity approaching 88 GW. These results pose higher requirements for system stability, long-distance transmission and renewable energy integration in the context of increasingly complex climate change.

From that reality, Ambassador Johan Ndisi affirmed that Sweden has enough experience to accompany Vietnam. More than 98% of Sweden's electricity comes from renewable energy and nuclear power, operating on a transmission system with top reliability. In addition, Sweden is also a leading country in HVDC technology, power quality solutions, smart grids and AI diagnostics, suitable for the conditions of uneven supply and demand distribution by geography, similar to Vietnam.

The Ambassador affirmed that the event is an opportunity for parties to exchange views, connect and seek policy and technical solutions to achieve the goal of net zero emissions.

“ A stable electricity system and modern transmission infrastructure are prerequisites for the green transition; the strong partnership between Vietnam and Sweden will continue to be the foundation towards a sustainable energy future for the two countries, ” the Swedish Ambassador emphasized.

Shaping a modern, synchronous national power grid

At the event, Mr. Cao Duc Huy, Department of Power System Development (Institute of Energy), presented the paper "Adjusted Power Plan VIII: Power grid targets to 2030 and 2050".

Accordingly, every year, the Energy Institute implements about 200 projects, providing strategic advice, planning and investment in the energy sector, while maintaining cooperation with many domestic and foreign partners, including the Swedish Development Cooperation Agency.

Mr. Cao Duc Huy said that the adjusted Power Plan VIII sets very high load and power capacity targets. It is forecasted that by 2030, the power load will reach about 100 GW, equivalent to the load level of Korea in 2025; by 2050 it will increase to 228 GW. This is a growth rate that is nearly double in just the next 5 years compared to the present.

Mr. Cao Duc Huy, Power System Development Department, Institute of Energy, presented the paper

Mr. Cao Duc Huy, Power System Development Department, Institute of Energy, presented the paper "Adjusted Power Plan VIII: Power grid targets to 2030 and 2050".

Regarding power sources, the installed capacity by 2030 is estimated to reach 236 GW, an increase of nearly three times compared to the present. By 2050, the installed capacity could reach 839 GW, of which renewable energy accounts for a large proportion. The above-mentioned growth in load and source volume places extremely large demands on the transmission system.

Therefore, the goal is not only to expand the scale but also to modernize, flexibly and ensure smart operation to meet the high rate of renewable energy. The Institute of Energy builds a corresponding grid development program for each stage. By 2030, the transmission system will still mainly use 500 kV AC lines, with an expected addition of 8 inter-regional lines, with a total length of about 2,400 km, or 1.5 times the length of the existing 500 kV system.

Besides, after 2030, the demand for North - Central - South transmission will increase dramatically due to the concentration of renewable energy sources in the Central and Southern regions, while the North has lower potential.

It is forecasted that by 2035, the transmission demand from the Central region to the North could reach 69,000 MW over a distance of 700 - 1,000 km. With this scale, AC technology is no longer suitable, forcing consideration to switch to HVDC.

Mr. Cao Duc Huy said that in the adjusted Power Plan VIII, the Institute proposed to build at least two three-pole HVDC transmission systems, with an expected voltage of 800 kV, a capacity of 5,000 - 10,000 MW, and a length of 700 - 1,000 km. In addition, the plan also takes into account backup routes from the South Central or the South to the North. By 2050, the two-way transmission system is expected to reach a scale of 52 - 72 GW at the converter station and 7,200 - 13,300 MW for the conductors.

However, according to the representative of the Energy Institute, the total investment demand for transmission according to the plan is estimated at 3 billion USD per year, much higher than the current investment level. The biggest challenge is not only "how much to invest" but "how to invest".

Although the adjusted Power Plan VIII has roughly divided the state investment part and the socialized part, the profit mechanism and capital mobilization for socialized transmission projects are currently unclear.

Accordingly, the three main groups of challenges raised by Mr. Cao Duc Huy include the capacity to mobilize capital, human resources and land funds; lack of experience in deploying new technologies such as HVDC, system operating equipment with a high renewable energy ratio and mechanism and policy issues such as profit mechanisms for transmission investors and ancillary service mechanisms.

“ The adjusted Power Master Plan VIII has very ambitious goals, entailing great challenges in terms of investment, technology and policy. In that context, international cooperation, including cooperation with Sweden, will play an important role in supporting Vietnam to achieve these goals, ” added Mr. Cao Duc Huy.

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