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Description:
The paper guides three scenarios of power planning for Vietnam for the 2018-2030 period under CO2 emission targets. The analysis employs a model of energy expansion in the form of an optimization problem with the objective of the discounted entire system cost minimization. With each CO2 emission allowance, a scenario of the newly installed capacity structure will be carried out. The results indicate that instead of 42.6% coal-fired installed capacity as indicated in the National Power Development Master Plan for the 2011-2020 period with the Vision to 2030 (known as PDP VII), by 2030 the share of this power source will be around 29% (8% CO2 reduction scenario) and 19% (25% CO2 reduction scenario). Also, the lower emission sources such as hydro, wind, and solar power will be a priority for investment in the next decade. There is an existence of coal-fired power plants replacement by natural gas stations.