Norway willing to support Vietnam in energy development

Norwegian Ambassador to Vietnam Hilde Solbakken

Could you tell us how has trade cooperation between Vietnam and Norway developed in recent years? Is energy a potential cooperation area between the two countries in the future?

The Vietnam - Norway trade turnover has increased more than threefold over the past decade. Currently, enterprises from both two countries are increasingly interested in seeking mutual cooperation, investment and business opportunities, especially areas related to green economic development, circular economy, sustainable development, including renewable energy, marine economy. These areas will make important contributions to the development of both countries and in line with major trends in the world in the next two decades.

Regarding energy cooperation, Norway and Vietnam are both strongly committed to reducing emissions according to the Paris Agreement. Vietnam aims to achieve net zero emissions by 2050, while Norway aims to be carbon neutral by 2030.

Within the framework of the Just Energy Transition Partnership (JETP), Norway and the G7 member countries are committed to supporting Vietnam to phase out coal and develop renewable energy with an investment of US$250 million. Norway also shared its experience in developing a marine spatial planning in Vietnam, and is expected to carry out a pilot project in 2025.

I believe that the free trade agreement between Vietnam and the European Free Trade Association (EFTA), when completed, will be an important driving force to boost bilateral cooperation in the coming time.

What can Vietnam learn from Norway about the energy development model and what is Vietnam supposed to do to attract and retain Norwegian energy investors?

Norway is gradually shifting to renewable energy, especially offshore wind power, and developing hydrogen as a clean energy source in the future. Vietnam can refer to this model.

In addition, marine spatial planning is also one of the many solutions that Norway is implementing to promote the energy sector, with economic, environmental and social benefits integrated into the master plan.

More Norwegian companies are interested in the Vietnamese market, especially in the field of renewable energy

Regarding attracting investment resources, I think that effective coordination between the Government, the private sector and research institutions is a sustainable solution. In the energy sector, despite improvements, Vietnam needs more specific regulations on pricing mechanisms, power sources, along with ensuring investment capital safety, simplifying administrative procedures, and improving labor force skills, which are decisive factors to increase attractiveness and maintain sustainable development.

In the coming time, what plans will the Norwegian Embassy in Vietnam implement to promote investment cooperation between the two countries?

The most specific investment plans currently are within the framework of JETP, with US$250 million from the Norwegian climate fund ready to be disbursed in Vietnam. More than 40 Norwegian companies are operating in Vietnam, and more are interested in this market, especially in the fields of renewable energy, aquaculture, circular economy, and green transport in the maritime industry.

I hope that in 2025, the Green Strategic Partnership Agreement between Norway and Vietnam will officially be signed. This will be an important foundation for promoting bilateral cooperation, and will also create a great momentum to further expand trade relations between the two countries.