Japan’s utility giant JERA is considering investing in a natural gas-fired power plant in Vietnam, as part of the region’s shift from coal to liquefied natural gas (LNG). With Vietnam’s power sector rapidly evolving, gas-fired plants are expected to make up 24.8% of the country’s installed capacity by 2030, totalling 37.33 GW, with LNG playing a major role.
JERA’s investment decisions align with energy transition policies across Asia and the decline of local natural gas reserves. Despite LNG’s rise, coal remains Southeast Asia’s dominant energy source, though governments are expanding LNG infrastructure to meet increasing demand.
Additionally, JERA and IHI launched a test facility in Japan to explore co-firing coal with ammonia, marking the world’s first trial to reduce emissions in power generation.