- The Straits Times/ANN
HANOI: Vietnam will start to pilot the implementation of an emissions trading system (ETS) from June 2025, working towards official operation in 2028 and connection with international markets from 2030, according to the Natural Resources and Environment Ministry (MNRE).
To realise these goals, Vietnam needs to develop a roadmap for energy transition, together with a plan for operating and managing the ETS appropriate to the country’s conditions.
Nguyen Tuan Quang, deputy director of the MNRE Climate Change Department, said that as a country heavily affected by climate change, Vietnam had actively participated in international efforts on climate change and had made bold commitments to reduce greenhouse-gas emissions.
Specifically, Vietnam had committed to achieve net zero by 2050.
Among the methods to achieve the goal is to accelerate the transition from brown energy to green energy, strengthen the efficient use of energy and resources through the application of advanced, low-emissions technologies and circular economic models, according to Quang.
Vietnam also needs to promote green production together with the development of forests and ecosystems to increase greenhouse-gas absorption.
For example, in the agricultural sector, a project to develope one million ha of low-emissions high-quality rice is estimated to help reduce emissions by three to five tonnes of carbon dioxide per ha.
Another critical component is carbon pricing.
About 70 countries and territories in the world are applying carbon taxes for a carbon market that currently encompasses about 11 billion tonnes of carbon, equivalent to 20% of global emissions, according to the ministry.
“This is an inevitable trend and Vietnam is also preparing to establish a domestic carbon market,” Quang said.
“As planned, Vietnam will start to allocate quotas and pilot the trading from June 2025, so there is not much time left for preparations.
“The legal framework has been established. What needs to happen now is to assess the impacts at macro level and on companies, from which the operation and management plan for the ETS will be developed to ensure appropriateness to Vietnam.” — Viet Nam News/ANN
