Navigating the Australia-Vietnam green economy: AVGEP briefing paper no. 1

Deepening ties between Australia and Vietnam are underpinned by increasingly aligned views on a range of issues, including the green economy. Recent statements from both leaders have articulated shared concerns about the impact of climate change, including the pressing issues of rising sea levels and intensifying weather patterns across Asia. These concerns have underscored the need for collaborative efforts, and the green economy has emerged as a promising area for cooperation.

Australia’s aspirations in this area complement the ambitions of Vietnam. Australia’s potential to be a renewable energy superpower could enable it to play a pivotal role in the region’s green economy transition. Similarly, Vietnam places increasing focus on diversifying its power generation, focusing on investment in renewable energy sources such as wind and solar. Deepened bilateral cooperation would contribute to regional efforts to mitigate the destructive effects of climate change. Building meaningful cooperation in the green economy will require greater effort by both government and business.

This is the first in a series of five briefing papers. It seeks to situate Vietnam’s green economy in the broader political, economic and geopolitical context. Subsequent papers will delve into more detail about opportunities and challenges across key aspects of the green economy.

The Australia-Vietnam Green Economy Program, an initiative led by Asialink and Climateworks Centre and supported by the Department of Foreign Affairs and Trade, aims to foster collaboration between government and business in the green economy. The program will do this by developing commercial opportunities, knowledge, connections and business capabilities for Australian businesses.

The program is dedicated to harnessing the green economy's potential, focusing on sustainable development, the creation of jobs and growth and the transition to renewable resources and net-zero emissions. It will incorporate a series of insightful briefing papers and roundtables, culminating in a capstone summit and training academy. Businesses will gain unparalleled insights into the opportunities and challenges of realising Vietnam and Australia’s shared ambition and imperative to transition to a clean energy economy. The program aims to enhance the enabling environment for trade and investment, foster robust connections, and enhance the knowledge and capabilities of Australian businesses to tap into the green economy.

In March-April 2024, the program ran:

• training courses (the Australia-Vietnam Green Economy Academy)
• a summit (the Australia-Vietnam Green Economy Summit).

It also published a series of 5 guides for businesses aiming to invest in Vietnam’s green economy sector:

1. Navigating the Australia-Vietnam green economy
2. Decarbonising Vietnam’s energy generation
3. The supply chain of key decarbonisation technologies in Vietnam
4. Enabling investment for Vietnam’s energy transition
5. Green skills for Vietnam’s climate transition