Last Friday (December 1), Vietnamese Prime Minister Pham Minh Chinh said his country was working with G7 governments and lenders to develop a method to make use of billions of dollars in approved funds to cut back dependence on coal. The announcement was made on the launch of the Resource Mobilization Plan with EU partners on the COP28 international climate meeting in Dubai.
The resource mobilization plan also implements the political agreement to ascertain a Just Energy Transition Partnership (JETP) between Vietnam and the International Partnership Group (IPG).
The announcement was made within the presence of senior officials including the President of the European Commission (EC), Ursula von der Leyen, ministers and senior representatives of several IPG member states including the UK, Japan, Germany, Italy, Canada, Denmark and the Vice-Chairman of Glasgow Financial Alliance for Net Zero (GFANZ). The event was also attended by leaders of several international organizations, financial institutions and funds.
Under an agreement reached last 12 months with foreign investors, Vietnam will receive $15.5 billion over three to 5 years, mostly in the shape of economic loans at market rates. The fund is a component of the Just Energy Transition Partnership (JETP), a program developed by wealthy countries to assist developing countries reduce their coal consumption more quickly to fight climate change. Countries equivalent to South Africa, Indonesia, India and Senegal also joined the JETP agreement.
In his speech, the Prime Minister of Vietnam emphasized that a just energy transition is the important thing to his country’s strategic direction in the event of the domestic energy sector. By setting a net zero emissions goal by 2050 and specializing in people-centric sustainable development, Vietnam has taken drastic and impressive measures to speed up its energy transition.
In particular, he highlighted 12 specific measures, including the establishment of assorted policies, green planning, emission reduction and renewable energy development projects. One of the most recent initiatives is the implementation of a project to develop 1 million hectares of high-quality, low-emission rice.
He also stressed the necessity for a people-centered global approach and international cooperation based on equality and mutual profit. On this basis, Prime Minister Chính encouraged relevant parties to quickly reach an agreement to support modern projects price USD 15.5 billion. The aim is to speed up a just energy transition in Vietnam and make a major contribution to making sure a prosperous future for Vietnam through economic growth, independence and energy security.
By announcing its resource mobilization plan, Vietnam has taken step one in implementing JETP. This step has a major impact on the implementation of Vietnam’s national energy development strategy and the achievement of the Global Declaration
