Rising fuel prices

The Government Office last week issued Dispatch No.4648/VPCP-KTTH to the Ministry of Finance (MoF) requiring it to continue proposing a reduction of taxes and fees related to fuel and consumption, especially those that can cause an increase in input costs for production and business. Rough waters remain in fuel price pressure “This aims to help reduce costs and selling prices of products in service of exports, production, and business, contributing to controlling inflation and supporting the government’s monetary policy in the short and medium term,” the dispatch stated. The MoF has also proposed to the government a plan to halve the preferential import tax for petrol and oil from the existing 20 to 10 per cent, in order to help reduce the prices of these items in the local market. Meanwhile, the Vietnamese government has also submitted to the National Assembly a plan on reducing the special consumption tax and VAT for October. According to the General Statistics … [Read more...] about Rough waters remain in fuel price pressure

Seizing the opportunity laid out by its clean energy resources and phasing out coal could be key for Vietnam’s green growth path. Vietnam’s Prime Minister Pham Minh Chinh has set a deadline for sectors to build plans for their sustainable development within the first quarter (Q1) of this year as part of efforts to materialize the country’s sustainable development. Vietnam’s Prime Minister Pham Minh Chinh speaks at COP26 in Glasgow, the UK in November 2021. Photo: VNA The PM demanded in Q2 a comprehensive program to implement Vietnam’s net-zero target that he pledged at the 2021 United Nations Climate Change Conference in Glasgow (COP26) in November 2021. Accordingly, authorized agencies are tasked with eight issues, namely energy transition, reducing greenhouse gas emissions; lowering methane emissions; developing electric cars; planting forests to absorb carbon dioxide; building construction materials and urban development suitable for green and sustainable … [Read more...] about [Net-zero strategy] Which way is possible for Vietnam’s net zero journey?

According to a forecast from the Ministry of Industry and Trade (MoIT), thermal power plants across the country will need 35 million tonnes of coal to serve power production this year, the major part of which needs to be imported. The figure is expected to increase to 46.5 million tonnes in 2025 and 123.7 million tonnes in 2045. The soaring increase in foreign currency used to import coal stems from the rising demand around the globe, causing a cost escalation and a shortage of supply. At its peak, the selling price on the global market was pushed up to $450-490 per tonne. The MoIT is increasing coal imports from Australia and South Africa to ease the recent shortages that resulted in power losses at manufacturing facilities and to ensure national energy security. Along with this, thermal power plants are also working with partners to diversify the fuel supply sources for their facilities. A representative of the Nghi Son thermal power plant in the central province … [Read more...] about Vietnam spends $5 billion on coal imports