France's Total to build solar panels in renewable-hungry Vietnam

KCN has announced the agreement to install 280,000 square meters of solar panels on the roofs of factories and warehouses, producing 51 gigawatt-hours of power annually. The announcement did not include a price for the deal.

The decision was made as oil and gas firms prepare for a time when their industries are predicted to become obsolete. For example, Eneos plans to purchase Japan Renewable Energy, while BP has established a wind joint venture in the U.S.

According to KCN, Total has changed its name to TotalEnergies, will run the photovoltaics for 20 years, and prevent 23,390 tons of carbon dioxide emissions annually.

"We have been looking for a reliable and experienced partner to help provide clean energy to our tenants," Chief Operating Officer Tran Huynh said.

"We have been looking for a reliable and experienced partner to help provide clean energy to our tenants," stated Chief Operating Officer Tran Huynh.

"I don't think that people just say 'sustainable' for marketing purposes," she said. "But you've got to really do it. And [deciding] when is the right timing, when you pull the trigger, is a critical point."

Companies that own manufacturers in Vietnam, such as the toymaker Lego, the Swiss sportswear company Mammut, and Apple suppliers, are asking for the use of alternate energy sources. Manufacturers have global targets to cut out fossil fuels, but these goals will be challenging to achieve without Vietnam as it integrates more deeply into their supply chains.

But because the legacy grid system relies on coal, gas, and hydropower, the supply of wind and solar electricity has not kept up with demand, and authorities have not given the green light for companies to purchase renewable energy directly from private producers.

Source: Nikkei Asia