Vietnam’s Journey Towards Net-Zero Emissions: A Comprehensive Overview
As the world grapples with the pressing challenge of climate change, Vietnam stands at a critical juncture in its environmental and economic development. Under the leadership of figures like Ha Quang Anh, the director of the Centre for Ozone Protection and Low Carbon Economic Development at the Ministry of Natural Resources and Environment, Vietnam is making strides towards achieving net-zero emissions. This ambitious goal is not merely about halting emissions but rather balancing development with environmental sustainability.
Understanding Net-Zero Emissions
Net-zero emissions refer to the equilibrium between the amount of greenhouse gases emitted and the amount removed from the atmosphere. This balance can be achieved by enhancing natural absorption mechanisms, such as forests, while simultaneously reducing emissions across various sectors. In Vietnam, transportation is a significant contributor, with projections indicating that by 2030, the country will emit approximately 89 million tonnes of CO2 from this sector alone.
The Vietnamese government, led by the Prime Minister, has mobilized a comprehensive political response since 2021, resulting in numerous legal frameworks aimed at fostering sustainable practices. However, the onus now lies on communities and businesses to implement these regulations effectively, a task for which many are still unprepared.
Challenges in Implementation
One of the primary hurdles in Vietnam’s transition to a low-carbon economy is the lack of awareness and financial resources. Businesses are required to adapt their production technologies, which necessitates significant investment. Striking a balance between growth and environmental responsibility is crucial for sustainable development.
Moreover, there is a notable shortage of human resources dedicated to emission reduction and climate change mitigation. Many local officials are tasked with these responsibilities as secondary duties, leading to inefficiencies. Similarly, environmental departments within businesses often operate with limited staff, complicating the implementation of new regulations.
Despite these challenges, Vietnam’s political engagement and prior experiences with climate change provide a solid foundation for progress. The country possesses substantial potential for developing green vehicles, which could play a pivotal role in reducing emissions.
Advancements in Green Transportation
Nguyen Huu Tien, the deputy director general of the Department of Science, Technology, and Environment at the Ministry of Transport, highlights the ministry’s proactive approach in developing a detailed implementation plan for green transportation. This includes reviewing legal regulations and facilitating the operation of green vehicles on the roads.
In an impressive feat, Vietnam assembled and imported 68,000 electric vehicles (EVs) in the first eight months of 2024. Major cities like Hanoi and Ho Chi Minh City are planning to introduce electric buses next year and are actively working on a roadmap to phase out fossil fuel-powered vehicles.
The ministry is also exploring the use of carbon credits to ease the financial burden on businesses and citizens during this transition. Incentive policies, such as reduced excise taxes on EVs and adjusted registration fees, have been introduced to encourage the adoption of electric vehicles.
The Role of the Petroleum Sector
Bui Ngoc Bao, president of the Vietnam Petroleum Association, emphasizes the need for specific regulations and policies to address the challenges posed by fossil fuels and emissions. With approximately 60 million motorcycles and over five million cars in Vietnam, transitioning to a target of 10% EVs by 2030 is ambitious yet necessary.
Vietnam’s roadmap for emission standards has seen progress, but many issues remain unresolved. The state regulation of electricity poses additional challenges, making it imperative to establish clear policies to facilitate the transition to greener fuels and vehicles.
Consumer Awareness and Safety
Dr. Le Xuan Nghia, president of the Consultancy on Development Institute, underscores the importance of effective communication strategies in fostering consumer acceptance of EVs. Many consumers prioritize safety and reliability over price, and addressing their concerns is vital for promoting the adoption of electric vehicles.
The government must support businesses and citizens in their efforts to reduce greenhouse gas emissions, ensuring that safety and convenience are prioritized in the transition to greener transportation options.
Financial Incentives and Taxation
Tran Thi Bich Ngoc, head of the Department of Administration Supervision on Tax, Fees, and Charges at the Ministry of Finance, outlines the proposed changes to the Special Consumption Tax (SCT) for EVs. The SCT rate for electric vehicles will be significantly lower until March 2027, while fossil fuel-powered vehicles will face much higher rates.
These financial incentives, along with adjustments to registration fees, aim to promote the adoption of electric and hybrid vehicles. Additionally, the government is prioritizing investment in high-tech industries related to battery production and charging infrastructure.
Infrastructure and Future Considerations
As the number of electric vehicles on the road increases, Tran Anh Thai, CEO of ATS JSC, warns that the power system must be prepared for the additional load. By 2035, the number of EVs is expected to increase significantly, necessitating comprehensive planning for charging infrastructure and power distribution.
Regulations must be established to ensure that charging stations are compatible with various vehicle types and that they do not monopolize the market. Common standards for payment and transparency will also be essential for fostering consumer trust and encouraging the widespread adoption of electric vehicles.
Conclusion
Vietnam’s journey towards net-zero emissions is fraught with challenges, but the commitment from government officials, businesses, and the community offers a glimmer of hope. By fostering awareness, implementing effective policies, and investing in green technologies, Vietnam can pave the way for a sustainable future. The collaborative efforts of various stakeholders will be crucial in achieving the ambitious goals set forth, ensuring that economic growth and environmental protection go hand in hand.