Samsung Electronics Vietnam accelerates climate action by expanding renewable energy procurement – ​​Samsung Global Newsroom

Samsung Electronics Vietnam is on track to strengthen its climate action by expanding renewable energy procurement.

On July 3, the Vietnamese government issued a decree on direct power purchase agreements (DPPAs), allowing companies to purchase renewable energy from private producers without intermediaries.

The agreement allows companies above a certain size to conclude renewable energy contracts with private producers, not just with the state-owned power company Vietnam Electricity (EVN). Until now, companies have mainly procured renewable energy through small solar panels on the roofs of their company premises or by purchasing renewable energy certificates (RECs).

By implementing the DPPA, Samsung Electronics Vietnam can strengthen the institutional basis for securing renewable energy.

Samsung Electronics has been working tirelessly with various stakeholders, including the Vietnamese government and civil society organizations, to introduce the DPPA system and put the climate strategy into practice. Since the initial DPPA discussions began in 2019, Samsung has emphasized the need to implement the renewable energy procurement mechanism as soon as possible to achieve net-zero carbon emission goals and provided technical advice on the stable implementation of the mechanism. Samsung has also continued to communicate with stakeholders through the Asia Clean Energy Coalition (ACEC), a coalition of renewable energy buyers, in collaboration with sellers and financiers to strategically change policies in key Asian markets, including Vietnam.

“Through the DPPA, we aim to engage with large renewable energy producers that match the scale of Samsung Electronics Vietnam’s operations and make competitive purchases of renewable energy,” said Executive Vice President Joo Ho Choi, General Director of Samsung Vietnam Complex. “We will continue to work with the Vietnamese government to advance Vietnam’s renewable energy infrastructure.”