German Agency for International Cooperation launches biomass improvement project in Vietnam

Southern biomass power plant. Photo: © GIZ
Southern biomass power plant. Photo: © GIZ
The German Agency for International Cooperation (GIZ) has launched a project that aims to improve the preconditions for sustainable use of biomass for power generation in Vietnam.
The project will focus on strengthening the country’s planning, technical and financial capabilities.
Vietnam has strong potential for bioenergy as the available biomass resources in the country include post-harvesting and post-processing agro-forest residues and waste such as bagasse, straw, rice husk, coffee husk, coir, wood residues and other agricultural/industrial byproducts, as well as livestock waste for biogas.
To facilitate this, the Vietnamese Government has promulgated key policies and support mechanisms on biomass energy development.
The project, entitled Climate Protection through Sustainable Bioenergy Markets in Vietnam (BEM), has three main action areas.
The first surrounds legal and regulatory frameworks. Adjustments to regulations on planning and licensing biomass energy projects, particularly at provincial level, will be supported.
The BEM project will update or assess governmental stakeholders’ needs to facilitate the development of biomass energy, develop strategies for provincial biomass development plans and draft recommendations for the improvement of the approval process of biomass energy investment projects.
The second action area is capacity development. The project aims to improve private sector capacities for the development of biomass investment projects, as well as enhance financial institutions’ capacities to finance biomass energy investment projects.
Activities will include the conduct of a capacity-need-assessment for biomass energy consultants, developers and investors; consultation on the design of criteria to assess the bankability of biomass energy investment projects; and the design for a financing mechanism based on biomass energy financing needs and official development assistance (ODA)/climate funding sources.
The third action area addresses technology cooperation. The project aims to facilitate technology cooperation and networks between Vietnamese and international enterprises, research institutions and universities on the use of biomass for electricity and heat generation.
Activities will be match-making events, the analysis of subsectors (e.g. in industry, agriculture, food processing), study trips and symposiums.
Southern biomass power plant. Photo: © GIZ

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