Workers at a high-tech farm in HCM City. VNA/VNS Photo

HÀ NỘI Việt Nam-Japan cooperation in the development of green growth, a cornerstone in the two nations' future economic relations, still has enormous untapped potential, heard participants at a seminar themed: "Việt Nam-Japan cooperation towards green growth" in Hà Nội on Tuesday, September 12.

The seminar is part of a series of activities leading up to the 50th anniversary of the establishment of diplomatic relations between Việt Nam and Japan (21/9/1973 - 21/9/2023).

The seminar was co-organised by the Việt Nam News, the country's English launguage daily newspaper under the Vietnam News Agency, and the Ministry of Agriculture and Rural Development (MARD).

Green growth remains one of Việt Nam's key objectives in the country's next phase of economic development. Building on the time-tested and strong Việt Nam-Japan relationship, during a recent bilateral high-level economic conference, Prime Minister Phạm Minh Chính stressed the importance of a new direction in the cooperative relationship between the two countries, one with a focus on sustainable development and green growth.

He said sustainable development and green growth have become top priorities among Việt Nam's developmental goals, given the challenges of climate change. In addition, pursuing green growth is also about fulfilling its commitments at the COP26 conference and its responsibilities as a member of the international community.

In October 2021, the Prime Minister's Office approved the National Strategy for Green Growth for the 2021-23 period, with a vision to 2025, setting a framework for sustainable development on a nationwide scale with clear objectives, including a harmonious relationship between pursuing economic activities and preserving the environment, leveraging advanced technologies and human resources towards a green economy.

In order to realise said objectives, Việt Nam has recognised Japan as a key partner as the advanced East-Asian economy possesses the technologies, experiences and capital investment required.

Speaking at the seminar, Phạm Quang Hiệu, Ambassador of Việt Nam in Japan, said: "Việt Nam-Japan bilateral relationship is at its height in the history of the two nations, deserving of an extended strategic partnership built on sincerity, trust and mutual support."

"In the medium and long term toward the goals of 2030-2050, both countries have significant potential for further cooperation in green technology, energy transition and bilateral research collaboration in applying Japanese technology that aligns with Việt Nam’s needs and transition roadmap.”

On the other hand, the Japanese government and businesses have identified Việt Nam as an important economic partner and among the most attractive investment destinations in the Southeast Asia region.

As of August 2023, Japan has 5,167 active projects with a total registered investment capital of more than US$71 billion. Japan currently ranks third among 143 countries and territories investing in Việt Nam.

According to the Japan External Trade Organization (JETRO) in Việt Nam, focusing on green growth will help tackle some of the most pressing issues faced by the Southeast Asian country in the coming decades such as water quality, air pollution, waste treatment, recycling, energy saving and carbon emission.

JETRO advised the Vietnamese government to implement stricter environmental protection regulations soon, extend manufacturers' environmental responsibilities, especially in waste treatment and recycling, and speed up the country's transition to renewable energies including solar, wind, biomass and hydro, as well as upgrade the national power grid to conserve and reduce power loss.

Japan has reaffirmed support for Việt Nam in its Nationally Determined Contributions, or NDCs, a set of self-defined national climate pledges under the Paris Agreement, according to the Japan International Cooperation Agency (JICA).

The agency has been working closely with the Vietnamese agencies to bolster Việt Nam's ability to plan and implement carbon emission reduction, and towards the country's net-zero goal.

JICA said key areas of interest include water resource management, collaboration with agriculture firms, improving human living conditions, and the application of modern technologies to help mitigate adverse effects of climate change and natural disasters.

Wind turbines at a solar farm in Ninh Thuận Province. VNA/VNS Photo

In addition, the agency highlighted bilateral cooperation in the development of renewable energy projects including the Đa Nhim Hydropower Plant, the Hàm Thuận-Đa Mi Hydropower Plant, the Thác Mơ Hydropower Plant, the Đại Ninh Hydropower Plant the Tây Ninh Solarpower Plant, the Phú Yên Solarpower Plant and the Quảng Trị Windpower Plant with a total output of 1,588MW.

According to the World Bank's data, Việt Nam ranks 8th among the top 10 countries with the highest investment in renewable energy in the world, with a total capital of $7.4 billion. The country's renewable energy development rate currently ranks 4th in the world.

According to Boston Consulting Group (BCG), in terms of boosting green growth, the country's transition to wind and solar power alone could contribute $70-80 billion to GDP annually and create about 90,000-105,000 jobs; the hydrogen ecosystem based on renewable energy could contribute $40-45 billion to GDP annually and create 40,000-50,000 jobs.