Within the framework of COP27, the Vietnam delegation led by the Minister of Natural Resources and Environment Tran Hong Ha has been discussing fair and just energy transition for Vietnam, asking for assistance helping Vietnam to take advantage of available resources and opportunities, especially in terms of finance, technology, and investment mobilisation.

“This is also the task assigned by the Prime Minister, which is to soon take advantage of technology transfer opportunities to build large industrial and renewable energy centres, helping Vietnam have the opportunity to mobilise resources for development,” said Ha.

On November 7, the Vietnam delegation met with Ravi Menon, managing director of the Central Bank of Singapore, on promoting the formation of a carbon market in Vietnam in the near future. The meeting aimed to implement the contents of the MoU under Article 6 of the Paris Agreement between the Ministry of Natural Resources and Environment and the Singaporean Ministry of Trade and Industry.

Menon said, “In order for Vietnam to achieve its commitment to achieve zero net emissions by 2050, it is necessary to promote the formation of a carbon market for Vietnam, create high-quality credits, and attract more investors.”

He added, “Credit demand in Vietnam is forecasted to increase. Meanwhile, Singapore, as well as other countries in the region, need carbon credits. This is an opportunity for Vietnam to create high-quality carbon credits and expand credit exchange,” he said.

Minister Ha said that Vietnam is not only forming a carbon market, but also building a financial market. The exchange and purchase of credits can go beyond ASEAN and join the world market to other continents. Vietnam requested Singapore's support to soon complete the legal framework for market formation, and then the institution for governance.

On the same day, the delegation also had a working session with John Kerry, the US special envoy for climate change, to discuss cooperation in implementing Vietnam's climate commitments and energy transition.

In the presence of the French Minister of State for Development, Francophonie, and International Partnerships, Chrysoula Zacharopoulou, Minister Ha and Rémy Rioux, general director of the French Development Agency signed an MoU to strengthen the bilateral cooperation on the reduction of carbon emission and energy transition in Vietnam.

France and Vietnam join forces to support the low carbon transition

As one of the most vulnerable countries to the impacts of climate change, hazards, and natural disasters with significant economic and social consequences, Vietnam committed to net zero emissions by 2050.

“An economic development model with low carbon emission and circular economy are of prevailing tendency of the world. Vietnam joins its efforts with the international community to achieve common climate goal. International cooperation is one of our main pillars of action for the implementation of our national climate change strategy and our commitment to net zero,” said Ha.

Pham Van Tan, deputy director of the Department of Climate Change under the Ministry of Natural Resources and Environment, said that after COP26, Vietnam has received strong support from development partners.

"Earlier this year, the government approved a decree on the mitigation of greenhouse gas emissions and protection of the ozone layer, detailing several articles of the Law on Environmental Protection. The prime minister has promulgated a national system of monitoring and evaluation of climate change adaptation activities," Tan said.

On November 8, Vietnam submitted its second updated Nationally Determined Contributions to the United Nations, reflecting its strong commitments in reducing methane emissions by 30 per cent compared to 2020 and strengthening climate change adaptation efforts.

“Especially coming to this COP27, Vietnam will continue to work with other countries around the world to exchange and perfect mechanisms and policies to mobilise resources from developed countries, distribute them in a transparent, and balance between the issue of adaptation tasks that developing countries are facing,” Minister Ha said.