Brookfield, Foxconn Forge Vietnam Renewable Energy Alliance

Brookfield and Foxconn have announced a strategic partnership focused on developing up to 1 gigawatt (GW) of utility-scale renewable energy projects in Vietnam. This significant renewable energy alliance will cover wind, solar, and battery storage capacity, all underpinned by a long-term power purchase agreement, ensuring stable and predictable energy supply.

This initiative signifies a joint effort in both the investment and asset management of targeted renewable energy projects. Brookfield’s involvement will be primarily through its Catalytic Transition Fund, a dedicated vehicle designed to foster and facilitate the shift towards net-zero emissions, particularly in emerging markets and developing economies across Southeast Asia.

Speaking on the renewable energy alliance, Daniel Cheng, head of Energy at Brookfield Asia Pacific, said, “Brookfield’s partnership with Foxconn underscores the scale of corporate demand for renewable power in Vietnam, one of Asia’s fastest-growing economies. As global manufacturers increasingly turn to renewables for its cost-competitiveness, speed to market and energy security benefits, we’re seeing strong and rising demand for long-term supply from across the region.”

James Tu, chief investment officer of Foxconn, said, “We are pleased to be a strategic partner to Brookfield to secure long-term access to renewable energy for our operations and supply chain in Vietnam. This initiative, where we’re investing and managing alongside Brookfield, ensures stable and cost-effective power supply for our continued growth in the region.”

The advancement of this renewable energy alliance is expected to align with Vietnam’s evolving direct power purchase agreement (PPA) framework. In parallel, a Foxconn subsidiary based in Vietnam has recently increased its charter capital by nearly $40 million, spread across two separate adjustments.

Brookfield Asset Management, a global investment powerhouse with over $1 trillion in assets under management, is making its initial renewable energy investments in Vietnam, Thailand, and the Philippines through this initiative. This effort is instrumental in building a substantial decarbonisation platform across Southeast Asia.