Vietnam to add biomass power to its direct power purchase agreement (DPPA) mechanism

January 26, 2025 |

In Vietnam, The Investor reported that Vietnam’s Ministry of Industry and Trade plans to add biomass power to the direct power purchase agreement (DPPA) mechanism, according to its draft decree to replace Decree 80/2024 on DPPA mechanism.

The current DPPA mechanism features solar and wind power of at least 10 MW.

The addition of biomass power can lead to socioeconomic and environmental improvements, the ministry emphasized. The move can help diversify the DPPA, while biomass power potential in Vietnam is great thanks to the massive amount of organic waste, such as agricultural byproducts and trees, the report added.

Vietnam currently has nine biomass power plants of over 10 MW each, totaling 332 MW. The figure can reach 14 plants of 300 MW in 2030, the ministry said.

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Category: Fuels

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