Europe supports Vietnam in overcoming obstacles in the implementation of the JETP


TN&MTOn March 15th, Deputy Minister of Natural Resources and Environment (MONRE) Le Cong Thanh received EU Ambassador to Vietnam Julien Guerrier, European Commission Director for the Middle East, Asia and Pacific in the Directorate-General for International Partnerships (DG INTPA) Peteris Ustubs, along with the delegation from the European Union (EU).

Representing the EU delegation, Director of INTPA Peteris Ustubs discussed with Deputy Minister of MONRE Le Cong Thanh regarding issues pertaining to the implementation of the Just Energy Transition Partnership (JETP) in Vietnam. Specifically, Mr. Peteris Ustubs expressed the delegation's interest in hearing Vietnam's perspectives and challenges in implementing the Just Energy Transition Partnership (JETP) mechanism, jointly led by the EU and the United Kingdom. Additionally, the delegation also desired to enhance coordination between the EU and Vietnam within the EU-Vietnam Multiannual Indicative Programme for the period 2021-2027, focusing on sustainable green growth and climate action.

Responding to Mr. Peteris Ustubs, Deputy Minister Le Cong Thanh expressed gratitude to the EU and the United Kingdom for their leadership role in implementing the JETP. He remarked that this was an important step towards successfully implementing a model partnership between developed and developing countries in the transition process, contributing to collective efforts to reduce greenhouse gas emissions while ensuring fairness and justice in climate action initiatives.

Europe supports Vietnam in overcoming obstacles in the implementation of the JETP

Deputy Minister of Natural Resources and Environment Le Cong Thanh received European Commission Director for the Middle East, Asia and Pacific in the Directorate-General for International Partnerships Peteris Ustubs

However, the JETP is a new and interdisciplinary issue, hence Vietnam is still encountering numerous obstacles and challenges. Recognizing these challenges, the Ministry of Natural Resources and Environment (MONRE), as the Secretariat for JETP implementation, is continuously learning from the experiences of Indonesia and South Africa, two countries that have been involved in the JETP previously. Additionally, MoNRE is actively engaging with numbers of ministries and sectors to catch opportunities and address difficulties.

According to Deputy Minister Le Cong Thanh, the Secretariat for JETP implementation consists of four groups, each led by the Ministry of Natural Resources and Environment, the Ministry of Industry and Trade, the Ministry of Planning and Investment, and the Ministry of Finance, respectively. Among these, the Ministry of Natural Resources and Environment strongly support to promote the JETP from the process of development to implementation.

Therefore, Decree 06 on carbon credit management is being amended by the MONRE, which moving towards piloting the carbon market in 2025 and formally launching it in 2028. Consequently, carbon pricing will serve as an incentive for various sectors of Vietnam's economy to transition towards emission reduction. Additionally, amendments are being made by the Ministry to simplify administrative procedures for granting research areas in offshore wind power, as well as environmental procedures for energy projects.

Deputy Minister Le Cong Thanh also provided information on several difficulties and challenges in other areas, including public debt transparency, management of projects with mixed funding sources, electricity transmission technology, and electricity pricing issues.

In the transition to renewable energy, Deputy Minister Le Cong Thanh noted that Vietnam is facing significant challenges regarding the energy foundation. Renewable energy must go along with the energy foundation. To solve these challenges, a plan to implement the Power Development Plan VIII has been developed.

Regarding the electricity transmission system, there is an imbalance between supply and demand in the northern and southern regions of Vietnam. Acknowledging this issue, the Vietnamese government has been developing regulations to attract various investment sources for electricity transmission, particularly in building a smart grid and facilitating direct power purchase agreements between producers and consumers. Deputy Minister Le Cong Thanh hoped that Vietnam will soon introduce new regulations related to direct electricity trading.

Currently, Vietnam are exerting efforts to address and resolve the challenges mentioned above, including streamlining procedures for ODA projects, direct electricity trading, and the implementation plan for the Power Development Plan VIII.

These issues will also continue to be discussed at the National Steering Committee meeting to implement the COP26 commitments, where the Prime Minister of Vietnam will provide directions to accelerate efforts to achieve initial results in implementing the JETP, including pilot projects that may be endorsed at this conference. The EU highly valued Vietnam's efforts in fulfilling environmental commitments and implementing the JETP. According to Mr. Peteris Ustubs, the EU is deeply interested and eager to continue cooperation, supporting Vietnam in overcoming obstacles and promoting the implementation of collaborative agreements between the two parties in a practical and effective way.
 Thu Huyen


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